BISMARCK – North Dakota’s taxable sales and purchases for the third quarter of 2023 are up 5.5% compared to the same time frame in 2022, according to the North Dakota Tax Department. Taxable sales and purchases for July, August and September of 2023 were $7.1 billion.

“After eight consecutive quarters of strong, double-digit growth, the most recent quarter suggests economic activity in the state is moderating,” said Tax Commissioner Brian Kroshus. “While overall results were still favorable, with most sectors showing increases over last year, gains weren’t as pronounced as in previous quarters.”

Twelve out of 15 major industry sectors reported taxable sales and purchases increases when compared to the second quarter of 2022. Most notably, the mining and oil extraction sector increased by $98.1 million, or 14.5%, and the utilities sector went up by $32.5 million, a 70.3% increase. Conversely, the construction sector posted a 4.6% decrease.

“The construction sector, an important indicator of economic health, experienced a modest decline this quarter, influenced in part by higher lending rates,” Kroshus said. “In the coming months, we’ll keep a watchful eye on other industry segments, to determine whether this was a temporary lull or beginning of a broader slowing of the state’s economy.”

Percent changes for the third quarter of 2023 compared to the third quarter of 2022 for the four largest cities in North Dakota were Bismarck, up 0.1%; Fargo, down 1.8%; Grand Forks, up 2.4%; and Minot, up 4.8%.

Of the 50 largest cities in North Dakota, New Town had the largest increase with 96.6%, followed by Hettinger, Belfield, Surrey and Hazen. Surrey saw a 26.3% increase and Hazen had a 24.4%

Among counties, Golden Valley had the highest percentage of increase with 50.6%, followed by Adams with 47.1% and Mountrail with 42.2%.