New data from ConstructConnect shows more projects were abandoned in May than in any other month on record.
The group’s Project Stress Index, which examines projects that have been abandoned, paused or experienced a delayed bid date, increased 11.4% and shows a project stress index of 22.8% more than baseline levels from 2021.
Most of the increase was fueled by abandonments in the private sector, many of which were blamed on uncertain market conditions combined with high interest rates.
Project abandonments were up 30.3% in May. On-hold activity was largely unchanged, and delayed bids fell 1.9%.
Abandonment activity has increased 66.5% since the end of 2024. Bid delays are up 4.3%, and on-hold activity is down 18.5%.
Roughly $8B in clean energy manufacturing projects were canceled, closed or downsized in Q1, according to the report, including the $1.2B KOREplex plant in Buckeye. (Source)