The Peter Zeihan Podcast Series Keep an Eye on Industrial Construction Spending || Peter Zeihan
Jul 31, 2025
Dive into the world of U.S. industrial construction spending and discover revealing trends that shape manufacturing capacity. The discussion highlights how China's economic landscape and domestic production shifts impact these spending patterns. Learn about the historical context, the effects of government policies, and how the pandemic has influenced future economic readiness. It's an insightful look at a crucial economic metric that could shape industries.
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Industrial Construction Spending Insight
- Total construction spending tracks US investments in manufacturing capacity expansion.
- This metric reveals how well the US prepares for shifting global manufacturing realities.
Urgency to Localize Manufacturing
- China's impending collapse is accelerating, with about eight years left before major disruptions.
- US must increase local production to replace lost Chinese manufacturing capacity.
COVID Impact and Government Spending
- Construction spending was low in 2019-2020, influenced heavily by COVID uncertainty.
- Biden administration's policies like CHIPS Act boosted spending, but corporate moves drove most growth.