New construction starts in June dropped 15% from the previous month to a seasonally adjusted annual rate of $620.2 billion, according to Dodge Data & Analytics. The decline followed an especially strong May, which benefitted from a $9.0-billion liquefied natural gas (LNG) export terminal in Texas being entered as a May start.
By major sector, nonbuilding construction in June fell sharply as the result of a steep pullback by its electric utility and gas plant category while nonresidential building witnessed a less severe loss of momentum. Residential building in June was able to post a slight gain, helped by continued strength for multifamily housing. During the first six months of 2015, total construction starts on an unadjusted basis were reported at $336.0 billion, up 23% from the same period a year ago.