GDP Quarterly from the Construction Sector

Quarterly GDP Analysis of the Construction Sector in Mexico: Growth and Labor Dynamics

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The construction sector in Mexico is a fundamental pillar of the economy, with a direct impact on infrastructure development and job creation. In the second quarter of 2024, this sector showed significant growth, recording a gross domestic product (GDP) of $2.39 trillion Mexican pesos (MX), representing a 10.9% increase compared to the previous quarter. This growth reflects the dynamism of the sector and its ability to drive the national economy.

Economic Units and Geographical Distribution

According to the National Directory of Economic Units (DENUE) 2024, the construction sector has 27,145 economic units throughout the country. The federal entities with the highest concentration of these units are Mexico City, with 2,391 units; Jalisco, with 1,913; and Nuevo León, with 1,845. These figures highlight the regional importance of the sector, particularly in these metropolitan areas that act as key economic engines.

Gross Production and Sector Income

According to the 2019 Economic Census, the total gross production of the construction sector amounted to $530,428 million MX. The states with the highest contribution to this figure were Mexico City, with $117,538 million MX, and Nuevo León, with $51,671 million MX. In terms of income, the sector reached $540,570 million MX in 2019, with Mexico City and Nuevo León once again leading with $121,279 million MX and $52,534 million MX, respectively.

Affinity of Economic Activities in Construction

Affinity between economic activities is measured by the similarity in the knowledge and inputs they require. In 2014, the states with the greatest affinity in activities related to construction were Baja California Sur (0.9), Sinaloa (0.89), Chihuahua (0.85), San Luis Potosí (0.85), and Sonora (0.83). These states show a strong specialization in construction, which could indicate a regional focus in this sector.

Labor Dynamics: Employment and Salaries

During the first quarter of 2024, the construction sector employed 8.38 million people, of which 96.9% were men and 3.1% were women. The average monthly salary in the sector was $7,710 MX. Occupations with the highest number of workers included masons, bricklayers and the like, construction support workers, and electricians and power line workers.

Regarding the geographical distribution of the employed population, the states of Mexico, Jalisco, and Veracruz stood out as the entities with the highest number of workers in the sector. The average age of workers in construction was 40.4 years, and the average schooling of the workforce was 8.77 years, suggesting a relatively mature workforce with a basic education.

Conclusion

The growth of the GDP in the construction sector in the second quarter of 2024 underlines the ongoing importance of this sector in the Mexican economy. With significant job creation and a substantial contribution to the GDP, the construction sector remains vital for the economic and social development of the country. Additionally, labor dynamics and the geographical distribution of economic units show a robust and expanding sector, with strong potential to continue driving the national economy in the coming years.