United States (US) Construction Market Size, Trend Analysis by Sector, Competitive Landscape and Forecast to 2027

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US Construction Market Report Overview

The US construction market size was valued at $2.1 trillion in 2022. The market is projected to achieve an AAGR of 3% during 2024-2027. The growth is attributed to the rising investments in the energy, transportation, housing, and manufacturing sectors.

US Construction Market Outlook, 2022-2027 ($ Billion)

US Construction Market

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The US construction market research report offers a comprehensive understanding of project types and construction activities in the country. It analyzes the mega-project pipeline, focusing on development stages, participants, and listings of major projects in the pipeline. The market report further discusses the key sectors in the construction market and their growth drivers. Along with reviewing the details of the construction projects, our analysts have elaborated on emerging trends and assessed key risks and opportunities that will influence the US construction market growth in the coming years.

Market Size (2022) $2.1 trillion
AAGR (2024-2027) 3%
Forecast Period 2023-2027
Historical Period 2018-2022
Key Sectors ·        Commercial Construction

·        Industrial Construction

·        Infrastructure Construction

·        Energy and Utilities Construction

·        Institutional Construction

·        Residential Construction

Key Contractors ·        Actividades de Construccion y Servicios SA

·        Tutor Perini Corp

·        Bechtel Group Inc

·        Skanska AB

·        Parsons Corp

·        Ferrovial SA

·        Zachry Construction Corp

Key Consultants ·        AECOM

·        Jacobs Solutions Inc

·        WSP Global Inc

·        HNTB Corp

·        Dar Al-Handasah Consultants Shair and Partners Holdings Ltd

·        M. Arthur Gensler Jr. & Associates Inc

·        STV Group Inc

·        Arup Group Ltd

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US Construction Market Segmentation by Sectors

Energy and utilities construction was the leading sector in the US construction market in 2022

The key sectors in the US construction market are commercial construction, industrial construction, infrastructure construction, energy and utilities construction, institutional construction, and residential construction.

Infrastructure construction: The project types in this sector include rail infrastructure, road infrastructure, and other infrastructure projects. The rise in execution of infrastructure programs by Federal and regional governments to expand transportation networks across the country will support the sector’s growth during the forecast period.

Residential construction: The project types in this sector include single-family housing and multi-family housing. The residential construction industry will grow over the forecast period owing to the government’s investments in building affordable housing units to address the current housing deficit of more than six million homes.

Energy and utilities construction: The project types in this sector include electricity and power, oil and gas, telecommunications, sewage infrastructure, and water infrastructure. Investments to increase renewable projects to meet the country’s goal of having 100% clean power by 2035 and cutting 2005 climate pollution levels in half by 2030, will drive the sector growth between 2024 and 2027.

Commercial construction: The project types in this sector include leisure and hospitality buildings, office buildings, outdoor leisure facilities, retail buildings, and other commercial construction. Factors such as an increase in tourism activities by 2027 and rising investments in data center and retail building projects will drive the commercial sector’s growth over the forecast period.

Industrial construction: The project types in this sector include chemical and pharmaceutical plants, manufacturing plants, metal and material production and processing plants, and waste processing plants. The government’s investments in stimulus and support programs, including CHIPS, the Science Act, and the IRA will drive the sector’s growth during the forecast period.

Institutional construction: The project types in this sector include educational buildings, healthcare buildings, institutional buildings, research facilities, and religious buildings. Factors such as investment in healthcare and education infrastructure will fuel the sector’s growth in the coming years.

US Construction Market Analysis by Sectors, 2022 (%)

US Construction Market Analysis by Sectors, 2022 (%)

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US Construction Market - Competitive Landscape

Actividades de Construccion y Servicios SA emerged as the leading contractor and AECOM as the leading consultant in the US construction market in 2022

A few of the leading contractors in the US construction market are:

  • Actividades de Construccion y Servicios SA
  • Tutor Perini Corp
  • Bechtel Group Inc
  • Skanska AB
  • Parsons Corp
  • Ferrovial SA
  • Zachry Construction Corp

Domestic contractors account for a majority share of the project pipeline for which a contract has been awarded, as they are involved in more than 80% of projects in the pipeline by value in the US.

US Construction Market Analysis by Contractors, 2022 (%)

US Construction Market Analysis by Contractors, 2022 (%)

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A few of the leading consultants in the US construction market are:

  • AECOM
  • Jacobs Solutions Inc
  • WSP Global Inc
  • HNTB Corp
  • Dar Al-Handasah Consultants Shair and Partners Holdings Ltd
  • Arthur Gensler Jr. & Associates Inc
  • STV Group Inc

Consultants with headquarters within the US are involved in most of the project pipeline by value. Firms based in the UK are involved in 28% of the project pipeline in which a foreign consultant is operating, followed by consultants from Canada.

US Construction Market Analysis by Consultants, 2022 (%)

US Construction Market Analysis by Consultants, 2022 (%)

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US Construction Market - Latest Developments

  • In October 2023, the government announced $7 billion in IIJA funding to build seven regional hydrogen hubs across Appalachia, California, the Midwest, the Gulf Coast, the American heartland, the Mid-Atlantic, and the Pacific Northwest.
  • In March 2023, the US President’s 2024 Budget proposes a historic investment of $209.7 billion for Federal Research and Development. This investment includes $101.2 billion for basic and applied research, a $3.5 billion increase over the 2023 enacted level.

Segments Covered in the Report

US Construction Sectors Outlook (Value, $ Billion, 2018-2027)

  • Commercial Construction
  • Industrial Construction
  • Infrastructure Construction
  • Energy and Utilities Construction
  • Institutional Construction
  • Residential Construction

Scope

This report provides:

  • A comprehensive analysis of the construction industry in the US.
  • Historical and forecast valuations of the construction industry in the US, featuring details of key growth drivers.
  • Segmentation by sector and by sub-sector.
  • Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors and projected spending on projects in the existing pipeline.
  • Listings of major projects, in addition to details of leading contractors and consultants.

Reasons to Buy

  • Identify and evaluate market opportunities using GlobalData’s standardized valuation and forecasting methodologies.
  • Assess market growth potential at a micro-level with over 600 time-series data forecasts.
  • Understand the latest industry and market trends.
  • Formulate and validate strategy using GlobalData’s critical and actionable insight.
  • Assess business risks, including cost, regulatory, and competitive pressures.
  • Evaluate competitive risk and success factors.

Table of Contents

  • 1. Executive Summary
  • 2. Construction Industry: At-a-Glance
  • 3. Context

    • 3.1. Economic Performance
    • 3.2. Political Environment and Policy
    • 3.3. Demographics
    • 3.4. Risk Profile

  • 4. Construction Outlook

    • 4.1. All Construction

      • 4.1.1. Outlook
      • 4.1.2. Latest news and developments
      • 4.1.3. Construction Projects Momentum Index

    • 4.2. Commercial Construction

      • 4.2.1. Outlook
      • 4.2.2. Project analytics
      • 4.2.3. Latest news and developments

    • 4.3. Industrial Construction

      • 4.3.1. Outlook
      • 4.3.2. Project analytics
      • 4.3.3. Latest news and developments

    • 4.4. Infrastructure Construction

      • 4.4.1. Outlook
      • 4.4.2. Project analytics
      • 4.4.3. Latest news and developments

    • 4.5. Energy and Utilities Construction

      • 4.5.1. Outlook
      • 4.5.2. Project analytics
      • 4.5.3. Latest news and developments

    • 4.6. Institutional Construction

      • 4.6.1. Outlook
      • 4.6.2. Project analytics
      • 4.6.3. Latest news and developments

    • 4.7. Residential Construction

      • 4.7.1. Outlook
      • 4.7.2. Project analytics
      • 4.7.3. Latest news and developments

  • 5. Key Industry Participants

    • 5.1. Contractors
    • 5.2. Consultants

  • 6. Construction Market Data
  • 7. Appendix

    • 7.1. What is this Report About?
    • 7.2. Definitions
    • 7.3. CRI Methodology

  • 8. About GlobalData
  • 9. Contact Us

Table

Table 1: Construction Industry Key Data

Table 2: The US, Key Economic Indicators

Table 3: The US, Commercial Construction Output by Project Type (Real % Change), 2018–27

Table 4: The US, Top Commercial Construction Projects by Value

Table 5: The US, Industrial Construction Output by Project Type (Real % Change), 2018–27

Table 6: The US, Top Industrial Construction Projects by Value

Table 7: The US, Infrastructure Construction Output by Project Type (Real % Change), 2018–27

Table 8: The US, Top Infrastructure Construction Projects by Value

Table 9: The US, Energy and Utilities Construction Output by Project Type (Real % Change), 2018–27

Table 10: The US, Top Energy and Utilities Construction Projects by Value

Table 11: The US, Institutional Construction Output by Project Type (Real % Change), 2018–27

Table 12: The US, Top Institutional Construction Projects by Value

Table 13: The US, Residential Construction Output by Project Type (Real % Change), 2018–27

Table 14: The US, Top Residential Construction Projects by Value

Table 15: California, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 16: California, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 17: California, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 18: Florida, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 19: Florida, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 20: Florida, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 21: Texas, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 22: Texas, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 23: Texas, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 24: New York, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 25: New York, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 26: New York, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 27: Pennsylvania, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 28: Pennsylvania, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 29: Pennsylvania, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 30: Georgia, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 31: Georgia, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 32: Georgia, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 33: Illinois, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 34: Illinois, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 35: Illinois, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 36: Ohio, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 37: Ohio, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 38: Ohio, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 39: Washington, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 40: Washington, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 41: Washington, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 42: North Carolina, Construction Output by Sector (Nominal $ Billion), 2018–27

Table 43: North Carolina, Construction Output by Sector (Real, $ Billion, 2017 Prices), 2018–27

Table 44: North Carolina, Construction Value-Add by Main MSAs (Real, $ Million, 2012 Prices), 2018–22

Table 45: The US, Key Contractors

Table 46: The US, Key Consultants

Table 47: The US, Construction Output Value (Real, $ Million)

Table 48: The US, Construction Output Value (Nominal, $ Million)

Table 49: GlobalData Construction Market Definitions

Table 50: Risk Dimensions

Table 51: Ratings, Scores and Definitions

Figures

Figure 1: North America, Construction Output (Real % Change), 2021–27

Figure 2: The US, Construction Output by Sector (Real % Change), 2021–23 and 2024–27

Figure 3: The US, Risk Summary

Figure 4: The US, Risk Regional Comparison

Figure 5: The US, Construction Output Value (Real, $ Million, 2017 Prices and Exchange Rate), 2018–27

Figure 6: The US, Construction Output Value, by Sector (Real, $ Million), 2018–27

Figure 7: The US, Value of Construction Put in Place ($ Billion, Nominal Seasonally Adjusted), Y-o-Y % Change

Figure 8: The US, Real Gross Output of the Construction Industry, in 2017 Chained Prices, In US$ Billion, Seasonally Adjusted at Annual Rates

Figure 9: The US, Number of People Employed in the Construction Industry, In Thousands

Figure 10: The US, Construction Projects Momentum Index

Figure 11: North America, Construction Projects Momentum Index

Figure 12: The US, Commercial Construction Output by Project Type (Real, $ Million), 2018–27

Figure 13: The US, Commercial Construction Projects Pipeline, Value by Stage ($ Million)

Figure 14: The US, Value of Lodging, Office, and Commercial Construction Put in Place ($ Billion, Nominal), Y-o-Y % Change

Figure 15: The US, Total International Tourist Arrivals

Figure 16: The US, Total Retail Sales Value (In $ Billion, Seasonally Adjusted, in Nominal Terms)

Figure 17: The US, Industrial Construction Output by Project Type (Real, $ Million), 2018–27

Figure 18: The US, Industrial Construction Projects Pipeline, Value by Stage ($ Million)

Figure 19: The US, Total Manufacturing Construction Put in Place ($ Million, Nominal)

Figure 20: The US, Industrial and Manufacturing Production Indices (2017=100, Seasonally Adjusted)

Figure 21: The US, Total Exports ($ Billion, Seasonally Adjusted)

Figure 22: The US, Total Manufacturing New Order Value ($ Billion, Seasonally Adjusted)

Figure 23: The US, Infrastructure Construction Output by Project Type (Real, $ Million), 2018–27

Figure 24: The US, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)

Figure 25: The US, Total Transportation Construction Put in Place (US$ Million, Non-Seasonally Adjusted), Y-o-Y % Change

Figure 26: The US, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2018–27

Figure 27: The US, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)

Figure 28: The US, Total Power Construction Put in Place (US$ Million, Non-Seasonally Adjusted)

Figure 29: The US, Construction Put in Place on Water Supply and Sewage and Waste Disposal Infrastructure (US$ Million, Non-Seasonally Adjusted)

Figure 30: The US, Total Communication Construction Put in Place (US$ Million, Non-Seasonally Adjusted)

Figure 31: The US, Institutional Construction Output by Project Type (Real, $ Million), 2018–27

Figure 32: The US, Institutional Construction Projects Pipeline, Value by Stage ($ Million)

Figure 33: The US, Total Educational, Healthcare, Public Safety, and Religious Buildings Construction Value Put in Place ($ Billion, Nominal)

Figure 34: The US, Residential Construction Output by Project Type (Real, $ Million), 2018–27

Figure 35: The US, Residential Construction Projects Pipeline, Value by Stage ($ Million)

Figure 36: The US, Total Residential Construction Value Put in Place (US$ Million, Non-Seasonally Adjusted)

Figure 37: The US, Total New Housing Units Permit Authorized (Seasonally Adjusted, In Thousand)

Figure 38: The US, Housing Starts (Unadjusted), In Thousands

Figure 39: The US, New Home Sales, in Thousands, In Seasonally-Adjusted Annual Rate

Figure 40: The US, Price Index of New Single-Family Houses Under Construction (2005=100)

Figure 41: California, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 42: California, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 43: California, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 44: Florida, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 45: Florida, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 46: Florida, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 47: Texas, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 48: Texas, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 49: Texas, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 50: New York, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 51: New York, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 52: New York, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 53: Pennsylvania, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 54: Pennsylvania, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 55: Pennsylvania, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 56: Georgia, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 57: Georgia, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 58: Georgia, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 59: Illinois, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 60: Illinois, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 61: Illinois, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 62: Ohio, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 63: Ohio, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 64: Ohio, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 65: Washington, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 66: Washington, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 67: Washington, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 68: North Carolina, Construction Output Value (Real, $ Billion, 2017 Prices), 2018–27

Figure 69: North Carolina, Construction Value-Add in Nominal and Real Terms (% change YoY)

Figure 70: North Carolina, New Privately Owned Housing Units Authorized by Building Permits (% change YoY)

Figure 71: The US, Headquarters of Key Contractors (% of Total Project Pipeline)

Figure 72: The US, Headquarters of Key Consultants (% of Total Project Pipeline)

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