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Deep Dive // 2026 Outlook5 construction trends to watch in 2026
Contractors will be keeping tabs on material costs, data center demand, interest rates and more this year.
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What construction leaders need to know for 2026
It’s anyone’s guess what the next 12 months will look like. Here, nonresidential building pros share insights on data centers, immigration and more to bring the year into focus.
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3 economic factors determining construction’s winners and losers: ABC
The economy has “become more extreme” as strong sectors boom even more, and weak sectors face more challenges, said Anirban Basu, ABC chief economist.
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Dan Zukowski/Construction Dive
3 transit leaders explain how they fund major projects
Chicago, New York and Seattle transit leaders outlined their solutions to revenue shortfalls, legal challenges and inflationary pressures at an American Public Transportation Association conference.
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Alamy
Borrowing costs still too low to cool inflation, economists say in survey
Business spending will likely grow at a 12.6% annual rate this year before slowing to 6.2% in 2027, according to economists surveyed by Wolters Kluwer.
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Courtesy of Northrop Grumman / U.S. Air Force
Northrop Grumman, Air Force start on $4.5B expansion
With cash from the One Big Beautiful Bill, the California build will add more than 1 million square feet to produce B-21 Raider machines.
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Courtesy of Kaiser Permanente
DPR breaks ground on $230M Kaiser Permanente project in Colorado
The contractor will use prefabricated and modular construction to build the offices, cutting down on jobsite complexity.
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Q&AA $6 trillion question hangs over the AI construction boom
Four factors will need to go right to justify eye-popping investments into the sector, said Peter Hanbury, a partner at global management consulting firm Bain.
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Courtesy of Blue Origin
Blue Origin, PPG and more invest in manufacturing facilities
Additionally, Cleveland-Cliffs provided an update on its Butler Works expansion in Pennsylvania, Xingyu announced its first U.S. facility in North Carolina and Re:Build is tripling production in South Carolina.
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Courtesy of Alberici
JE Dunn-Alberici JV breaks ground on $3.2B Texas shipyard
The greenfield shipyard under construction for military contractor Saronic is the first in the U.S. since World War II, according to the JV.
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OpinionThe future of the construction trades depends on what employers do next
Recruiting more craft workers is key, but investing in career education and upskilling are vital to the labor shortage, writes an executive at Adolfson & Peterson.
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Fisk Electric wins $24M modular contract for Houston data center
The win for the subsidiary of Tutor Perini reflects the heavy civil contractor's priority shift toward data centers, which it emphasized on recent earnings calls.
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Courtesy of Hensel Phelps
Punch List: Bechtel teams with Ted Danson, Hensel Phelps breaks ground on new HQ
Plus, Sakrete brings back “Concrete Combat,” McCarthy appoints a new exec, HUD taps NIBS for multifamily modular and Rosendin touts its nonprofit’s grants.
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Courtesy of MBP
Education, healthcare projects boosted construction planning in September
Strength outside the data center boom helped lift the Dodge Momentum Index 3.7% above its September 2025 level.
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Courtesy of Anduril Industries
Anduril, US Navy to build $6.6B shipyard in Maryland
The facility, dubbed Arsenal-2, will manufacture components for Virginia-class submarines. The new project follows DOD’s new Project Meridien initiative, which Anduril co-founder Palmer Luckey is co-leading.
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Courtesy of HITT Contracting
HITT breaks ground on $500M solid rocket motor manufacturing site
The new manufacturing plant for Avio USA in Hurt, Virginia, will support tactical missile programs under Lockheed Martin and Raytheon.
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DOL to up minimum wage to $14 per hour for federal contractors
Despite the increase, the rate remains below Biden-era levels, which hit $15 per hour.
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Megaprojects grab 1 in 4 nonresidential construction dollars
Construction appears strongest in areas connected to infrastructure, power, advanced manufacturing and data centers, economists say. Other segments, not so much.
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Sage acquires Paperless Environments for construction payroll tech
The move furthers Sage’s M&A strategy and builds on deal momentum across construction.
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The image by Jbs666 is licensed under CC BY-SA 3.0
Constellation, Google strike 890-MW nuclear deal to meet data center power demand
Constellation Energy has signed 20-year power purchase agreements with both Google and Amazon in the last week, supporting almost 1.1 GW of nuclear expansions.
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Courtesy of Skanska
Skanska goes back to school with $418M in education builds
The Sweden-based contractor announced three wins with a collective value of $351 million as it began a fourth project worth $67 million.
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Permission granted by Suffolk Construction / Tom Harris
Suffolk targets sports, stadiums with new division
The contractor tapped a former Nike exec to lead the unit as clients continue to ask builders to deliver more features in less time on these venues.
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DOT awards $426M for critical infrastructure projects
The largest awards include $85.1 million for an 8-mile, four-lane highway in Kentucky and $85 million to add lanes along about 20 miles of I-4 in Florida.
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Tutor Perini unit, Skanska land Coast Guard jobs worth a combined $586M
Perini Management Services has started work at Base Kodiak in Alaska, and Skanska has begun replacing the agency’s homeport pier in Newport, Rhode Island.
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Natalie Behring via Getty Images
Data center contractors learn to live with the backlash
Contractors strive to be “active listeners” to community concerns, but say scrutiny has done little to cool demand.
