Metal Construction Industry On Strong Footing For 2009

By Shawn Zuver, editorial/content editor

As we roll into 2009, this seems like the proper time to reflect on where the metal construction industry currently stands—and where it’s likely to be headed in the future. I’ll start with the obvious, saying that 2008 was one of the most volatile years that the construction industry has seen in a long, long time.

In nearly 25 years covering metal construction, I’ve witnessed a few deep drops in the construction market and a steel shortage/price run-up situation in 2004 that rocked the industry. Each time, we moved onward as an industry and each time we learned some lessons that will never be forgotten. Those experiences made us better people and helped to shape stronger companies. I’m confident that the same will hold true when the current downturn runs its course.

There will never be an end to the need for personal, business and institutional shelter, so we can all take comfort in knowing that construction is an industry that will always be in demand—both for new buildings as well as retrofit/remodel. More importantly for metal products, I’ll stick to my well-worn assertion that our sector of the industry will continue to earn a growing market share in the future for a number of reasons.

Metal Products Are Second To None

There’s no arguing that today’s building and home owners, architects, contractors and specifiers can select from the strongest lineup of products that have ever existed in the history of the metal construction industry. Metal roof, wall panel and building systems continue to evolve, as do cold-formed steel framing and countless other metal components, accessories and related products.

The demand for metal products will continue to increase as the world demand for environmentally-friendly structures expands. It’s already well-recognized that metal roof and wall systems can contribute to energy savings in a variety of ways, including cool coating (paint) formulations, high r-value insulation, and proper ventilation. Photovoltaic solar collection is also being integrated into metal roofs and walls with a great deal of success—an area that is sure to continue to gain importance in 2009 and throughout the next decade. Metal products have played significant roles in many LEED certified buildings, and it’s clear that they will make big contributions in the future as the movement grows toward sustainable and zero-energy construction projects.

A Wealth Of Quality Suppliers

There are many high-quality manufacturers and suppliers of products and services in the metal construction industry. This includes a blend of established companies with substantial infrastructure and credible histories in place, as well as entrepreneurial endeavors with fresh outlooks on the needs of the marketplace. When all is said and done, the healthy mix of competition and cooperation result in a solid base of innovation and reliability.

Outstanding Industry Support

Among the greatest strengths of the metal construction industry are the trade associations and related support groups who conduct research, help to promote technological benefits, and educate customers. The annual METALCON trade show is an excellent example of education, networking and promotion. Likewise the Metal Construction Association (MCA), The Metal Initiative (TMI), Metal Roofing Alliance (MRA), Metal Building Manufacturers Association (MBMA), American Iron And Steel Institute (AISI), Metal Building Contractors And Erectors Association (MBCEA), Steel Framing Alliance (SFA) and Cold Formed Steel Engineers Institute (CFSEI) are among the many groups who lend invaluable strength to the industry.

A Growing Awareness Of Metal Products

When I began working in the metal construction industry in 1985, it was more commonly known as the metal building industry. While there were companies who specialized in metal roofing and wall systems outside of metal building systems, the general perception was that metal roofs and walls were products to be used on metal buildings (pre-engineered steel buildings, as many people called them). And in many cases, metal buildings were grossly underestimated as box-like structures used for industrial purposes.

Since that time, through the tremendous efforts of the suppliers and trade groups, the entire industry—metal buildings, roofs and walls, cold-formed/light-gauge steel framing and beyond—has overcome most of those tired, old stereotypes. Today, metal products have gained stature and respect that has led them to be used on a broad spectrum of projects—from basic to monumental—throughout the world.

An Exciting Future Lies Ahead

So, where does the metal construction industry stand right now? In my opinion, our industry has the most impressive lineup of products that it’s ever seen, supplied by a strong group of quality manufacturers and suppliers who are prepared for the future, and supported by effective trade groups who are fulfilling their stated missions. And to complement all of that, there continues to be a healthy amount of investment in product improvements and future technologies. There’s no question that there is a bright long-term future for metal construction products.

Regarding 2009, the people I speak with are uncertain how this year will shape up, and that’s understandable given the volatility of the credit markets, manufacturing data and other pertinent factors in the last quarter of 2008. There’s a lot of caution in the U.S. construction marketplace, but there’s also a lot of optimism. Until the economy slowed in September-October 2008, I heard many reports of metal construction suppliers and contractors who were having very strong years—and many economists, including economics expert Steve Forbes (click here to listen to his interview with columnist Ted Garrison), believe an economic turnaround in the U.S. will kick in this Spring.

The new presidential administration is sure to have an impact on the economy (as discussed in columnist Scott Kriner’s most recent column, click here), and that effect may be felt even within the first quarter—particularly if proposed infrastructure spending moves quickly. We’ve seen that many of those early proposals target community centers and other building programs that are perfect prospects for metal construction products. Regardless the market conditions, it’s important to remember that metal construction products will continue to offer strong value and aesthetics which always make them a great choice.

Shawn Zuver is editorial/content director for DesignandBuildwithMetal.com. He has been covering the metal construction industry, including residential and non-residential construction, since 1985. To contact Shawn, call (419) 581-2051 or email shawnz@designandbuildwithmetal.com.

To view other columns by Shawn or other columnists, click here.