Skip to main content

Business confidence

Business confidence in construction looks healthy in many countries around the world. Transport infrastructure remains a high priority for construction activity around the globe. China is continuing to develop its own internal transport network, while also funding a massive programme of works under its Belt & Road plan. The impact of the Belt & Road programme is being seen in Asia, Russia and also parts of Africa, with the aim of unlocking economic activity by boosting transport connections, whether by road
June 10, 2019 Read time: 3 mins
Business confidence in construction looks healthy in many countries around the world. Transport infrastructure remains a high priority for construction activity around the globe. China is continuing to develop its own internal transport network, while also funding a massive programme of works under its Belt & Road plan. The impact of the Belt & Road programme is being seen in Asia, Russia and also parts of Africa, with the aim of unlocking economic activity by boosting transport connections, whether by road, rail or sea.


The Russian Government has also actioned a series of highway and road development works to boost transport, a major change from past years. In much of Asia, massive highway projects are being started, particularly in India, Indonesia, Vietnam and Malaysia.

Clearly, countries in the developing world have seen the importance of improving transport connections. However, in the western developed nations, progress is rather slower.

During 2018, a major increase was seen in the total distance travelled in the US by road. A steady improvement in the US economy has resulted in the country’s drivers clocking up a total of 5.16 trillion km during 2018. This represented an increase of 19.52 billion km over the previous year. The total distance driven on public roads and highways in the US during 2018 is the highest on record. This is also the fifth year in a row to top 4.8 trillion km travelled. It is abundantly evident that the demand for road use is there. But the US Government is still proving unable to develop a coherent strategy to repair and expand its transport infrastructure. Many individual US states have set their own fuel taxes or developed tolling strategies to improve transport infrastructure, but the lack of a US-wide plan is providing a brake on economic growth.

Nor can this be seen as a problem purely for the US. Many nations in the developed world also are showing a great deal of complacency over their transport infrastructure, with limited budgets for expansion or even maintenance.

The development of the US Interstate system commenced in 1956 and has proven crucial for the country’s economic development since. This lesson has clearly been learned in many countries, China, India and Indonesia being notable examples at present. What is of concern is that many developed nations seem to have forgotten this lesson and insufficient transport development work is being carried out.

Related Content

  • Tolling model for funding road development
    April 4, 2017
    Road tolling is being used worldwide as a way to develop highway infrastructure, with road users paying for access. Tolled roads are not a new concept and date back centuries, but in recent times, as governments have struggled to fund highway development programmes directly, tolling has increased in popularity worldwide. In Africa, Asia, Europe, Latin America and North America, tolled highways are now extremely well established. The specifics of the business models vary but state-owned toll-road firms ty
  • US Senate approves federal highway programme
    June 24, 2014
    In the US, the Senate Environment & Public Works Committee has made a key move by approving a six-year reauthorisation of the federal highway programme. This is a landmark political step and is likely to have been the subject of much cross-party negotiation. The move will be of major importance for the transportation construction industry, which has suffered badly from low levels of business in recent years. This six-year package will provide a major stimulus to business for contractors and equipment firms
  • US road crashes increasing for 2015?
    August 19, 2015
    There is mounting concern in the US at the high number of crashes during 2015. For the first seven months of 2015, there has been a 14% increase in the number of traffic fatalities compared with the same period in 2014. The data shows that there were 18,630 road deaths in this period, with over 2.2 million serious injuries. This is a notable increase and should the trend continue it will mean that 2015 will have had the highest rate of road deaths since 2007. The cause (or causes) of the increase in road de
  • Conference highlights Mexico's highway investment
    February 27, 2012
    At the recent PIARC World Road Conference in Mexico City the country’s president, Felipe Calderon, made a keynote opening address. Calderon emphasised that infrastructure investment and expansion forms a crucial component in the country’s future economy and as such, has been a priority for his administration. Calderon took office in 2006 and by the end of this year Mexico will have built or rebuilt some 19,000km of roads and highways in the country. Due to its proximity to the US, Mexico is highly dependen