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Spring 2022 15 Geo Smith , Dealer Manager at Kubota, discusses what the construction industry is likely to face in the coming months, with changes to legislation expected and disruptions to materials and supply chains, rife in 2021, set to continue. I ndustry data tells us that, while commercial construction was slightly hampered in 2021, overall construction industry growth was in fact driven by residential building and public infrastructure projects. is helped account to a signi cant growth as an industry average. Of course, this was achieved through a number of di cult circumstances - the Covid-19 pandemic, supply chain disruptions and a shortage of materials to name a few. ese resulted in trying times for the industry - a perfect storm. Isolating sta , transport delays, shortages of materials to transport and labour gaps all contributed to industry disruptions and seemingly had an e ect on pricing too, with some suppliers looking to cover themselves in di cult times. After a tough previous year, industry growth is forecasted to continue increasing at around 5%. Some of the key drivers of industry change are foreseeable. Legislation will continue to impact trends andmost noticeably the Building Safety Bill, expected to become law in Summer 2022, and the Red Diesel usage changes in April. Unfortunately, the issues of last year are not immediately ceasing to exist, as this recovery will take time. Furthermore, a spike in Covid-19 cases saw a surge of positive tests in the rst fewweeks of 2022, isolating key workers and sta . Supply chain issues are expected to continue uctuating parallel to this as a result of driver availability and ongoing sta shortages. ese uncertain challenges highlight the need for foresight and importance of partnering with a supplier or manufacturer with industry expertise, to help manage uctuating lead times and negate any foreseeable disruptions to projects. Furthermore, sustainability will continue to increase in popularity as projects, suppliers and manufacturers look to hybridise their e orts, readying for a more sustainable future. Alongside sustainability, alternative fuels are expected to be high on forthcoming agendas, with reform and entitlement restrictions on the use of red diesel coming into law from April. A positive for the industry is the expectation of growth around public infrastructure works, which naturally fosters a demand for digging and mini-excavator equipment. is growth is fueled by regional and national infrastructure projects such as HS2 and National Highways construction plans, such as Smart Motorways, as the country continues its e orts to be better connected. Of course, the longevity of projects this size leaves availability for dealers to target the regionalised market to help with local requirements around civil and other works. << “After a tough previous year, industry growth is forecasted to continue increasing at around 5%.” CHALLENGES AHEAD FOR CONSTRUCTION INDUSTRY