The prospect of an infrastructure-focused, business-friendly administration in Washington, D.C., may bode well for the construction industry, analysts say, but opinions are mixed as to whether it will lift sales of equipment out of a two-year-long slump.
In the weeks leading up to Election Day, market specialist Chuck Yengst had forecast a slight sales uptick in 2017, pointing to an end to the protracted presidential race and construction market demand finally catching up with overstocked rental fleets. Now, following the GOP sweep of Congress and the White House, Yengst says the potential for tax cuts and reduced regulation brightens the outlook. “I can’t say by how much,” Yengst cautions, suggesting a potential 4% to 7% boost, “but 2017 will be better.”