OREANDA-NEWS. Private U.S. construction appears set for another strong year of growth albeit at a slightly lower rate, according to Fitch Ratings in a new report.

This after a strong finish to 2015 for U.S. construction activity led by growth in the private sector. Overall, construction spending advanced 9.2% during fourth-quarter 2015 and was 10.5% higher for all of 2015. Fitch projects private residential construction will increase about 9.5% this year, private nonresidential to grow 7% and public construction to improve 4% for 2016.

Private construction spending grew 11.6% during the quarter, with residential construction increasing 11.5% and nonresidential construction improving 11.7%. Growth in public construction spending slowed down a bit, advancing 3.0% during the quarter compared with the 6.7% increase reported for the first nine months of 2015.

Aggregates producers again reported solid gains during the quarter, driven by strong pricing and higher shipments during the quarter. Based on Producer Price Index data, prices for wallboard, architectural coatings and roofing products were slightly lower year-over-year as input costs remain generally subdued for these products.