In November 2014, the economic climate has improved slightly in the building construction industryMonthly survey of building - November 2014

According to the business managers surveyed in November 2014, the situation has improved in the building construction industry. The composite indicator has stopped its decline started in May 2014. Compared to October, it has increased by four points after reaching its lowest level since 1996. However, it stays below its long-term average. The turning-point indicator is in the neutral zone.

Informations rapides
No 268
Paru le : 25/11/2014
Prochaine parution le : 26/09/2017 at 08:45 - September 2017

According to the business managers surveyed in November 2014, the situation has improved in the building construction industry. The composite indicator has stopped its decline started in May 2014. Compared to October, it has increased by four points after reaching its lowest level since 1996. However, it stays below its long-term average. The turning-point indicator is in the neutral zone.

Climate – Composite indicator

TurningPoint – Turning-point indicator

  • Lecture: close to 1 (respectively -1), it indicates a favorable climate (respectively unfavorable).

Tableau1 – Building industry economic outlook

Balances of opinion, in %, SA
Building industry economic outlook
Mean* Aug. 14 Sept. 14 Oct. 14 Nov. 14
Composite indicator 100 89 88 86 90
Past activity –3 –28 –35 –33 –21
Expected activity –6 –29 –30 –34 –24
Gen. business outlook –19 –46
Past employment –4 –27 –30 –32 –25
Expected employment –3 –28 –28 –26 –24
Opinion on order books –21 –52 –53 –59 –58
Order books (in month) 5,3 6,6 6,5 6,5 6,4
Productive capacity utilisation rate 88,8 85,4 85,0 84,6 84,5
Obstacles to production increase (in %) 33 20 19 17 22
- Because of workforce shortage (in %) 15,0 4,1 3,8 3,3 3,5
Recruiting problems (in %) 59 41
Expected prices –14 –34 –34 –35 –35
Cash-flow position –9 –25
Repayment period 29 44
  • * Mean since September 1993.
  • Source: French business survey in the building industry - Insee

Fewer business manager than in October indicate a fall in their activity

In November 2014, fewer business managers than in October have deemed that their activity has deteriorated in the recent period (balance of opinion of –21 after –33) and will decrease for the next few months (balance of opinion of –24 after –34). However, the corresponding balances remain significantly below their long-term average.

Activity – Activity tendency in the building industry

Business manager a little less pessimistic about employment

Fewer business managers than in October have pointed out a fall in past (balance of opinion of –25) and expected employment (balance of opinion of –24) but the corresponding balances stay substantially below their long-term average.

Workforce – Workforce size tendency in the building industry

Order books are considered lower than normal

In November, business managers have still considered their order books lower than normal.

OrderBooks – Order books

Still underused productive capacity

The productive capacity utilization rate is almost stable and stays below its long-term average. Slightly more business managers than in October have declared having difficulties increasing their activity. However, theses obstacles have concerned just a little more than one business manager out of five, against one out of three in average since 1993.

Pcur – Productive capacity utilization rate

Tight prices

In November, as many business managers as in October indicate price downturns. The corresponding balance of opinion is clearly below its long-term average.