United States Construction Industry Report 2025: A $1.59 Trillion Forecasted Market by 2029, with CAGR of 4.4% During 2025-2029

The U.S. construction market is set to expand at a robust 5.6% annually, reaching USD 1.27 trillion by 2025. With a CAGR of 4.4% anticipated from 2025-2029, the sector will grow from USD 1.20 trillion in 2024 to approximately USD 1.59 trillion by 2029. This comprehensive report offers over 100 KPIs, detailing growth dynamics and market opportunities across residential, commercial, industrial, and institutional construction. Key challenges include inflation, labor shortages, and regulatory hurdles, with digital innovation and sustainability driving sector trends.


Dublin, April 23, 2025 (GLOBE NEWSWIRE) -- The "United States Construction Industry Databook Series - Market Size & Forecast by Value and Volume, Q1 2025 Update" has been added to ResearchAndMarkets.com's offering.

The United States construction market is set to grow by 5.6% annually, reaching USD 1.27 trillion by 2025. From 2020 to 2024, the construction sector grew at a CAGR of 7.3%, and it is projected to rise to USD 1.59 trillion by 2029, with a CAGR of 4.4% for 2025-2029.

The sector's expansion highlights significant opportunities in building and infrastructure industries, with emerging prospects in residential, commercial, industrial, and institutional construction.

Residential Construction is poised for growth due to advancements in digital innovation and sustainable design, despite challenges like inflation and labor shortages. Robust risk management is crucial as market players navigate potential interest rate hikes. Key projects in metropolitan areas like New York and Los Angeles are transforming urban landscapes with mixed-use developments that cater to diverse housing demands. Government support through policies such as the HOME Investment Partnerships Program is crucial in addressing housing shortages.

Commercial Construction is embracing flexible and technology-driven spaces, capitalizing on modern office and retail trends. Economic uncertainties pose challenges, but tenant demands drive the evolution of high-density urban projects. With major developments in Chicago and San Francisco, the market focuses on modernizing office spaces and integrating retail with community-centered amenities. Public-private partnerships and municipal support are pivotal in urban revitalization efforts.

Industrial Construction is benefiting from e-commerce and reshoring trends, with a strong focus on automation and infrastructure modernization. While inflation and supply chain issues present risks, strategic investments in high-tech manufacturing and distribution centers are pushing sector growth. Collaborative public-private initiatives and investor confidence are driving ongoing developments in logistics hubs.

Infrastructure Construction offers vast economic potential through modernization efforts underpinned by legislation like the Infrastructure Investment and Jobs Act. Although high capital requirements and regulatory complexities remain challenges, strategic investments in transportation, energy, and water systems are crucial. Major metropolitan projects aim to improve connectivity and operational efficiency, supported by federal and state government initiatives and financial incentives to attract private sector participation.

The construction market across the U.S. is leveraging new technologies like Building Information Modeling, smart systems, and sustainable construction practices to improve efficiency and reduce costs. With a robust investment pipeline, supported by both public funding and private investments, the construction industry is positioned for sustained growth, adapting to evolving technological and economic landscapes.

This comprehensive analysis offers stakeholders data on growth dynamics, construction cost structures, and market opportunities. Key performance indicators cover over 40 segments, ensuring strategic insights for adapting to industry trends and managing construction projects effectively amid market pressures.

Market Data and Insights:

This report provides market size and forecast across 40+ construction segments for ten years from 2020 - 2029 in United States.

KPIs covered include the following:

  • Market size by value
  • Market size by volume of construction
  • Number of units

Report Scope

  • United States Economic Indicators
  • United States Top Cities Construction Data
  • United States Residential Building Construction Coverage
  • United States Residential Green Building Construction Coverage
  • United States Commercial Building Construction Coverage
  • United States Commercial Green Building Construction Coverage
  • United States Industrial Green Building Construction Coverage
  • United States Institutional Building Construction Coverage
  • United States Institutional Green Building Construction Coverage
  • United States Infrastructure Construction Sectors
  • United States Green Infrastructure Construction
  • United States Construction Cost Structure Analysis

Reasons to buy

  • Comprehensive Insight into Construction Market Dynamics: Gain a deep understanding of the construction market, including opportunities, industry trends, and key drivers across over 40+ market segments and sub-segments.
  • Detailed Analysis of Construction Costs: Explore construction costs broken down by type, including material and labor costs. The report provides detailed information on costs by construction type and worker.
  • Top Ten Cities Construction Value: Access valuable data on the construction market size for major cities, focusing on key city-level sectors.
  • In-Depth Volume and Value Data: Obtain a thorough understanding of the market from both value and volume perspectives, covering historical data and forecasts by activity and units.
  • Strategic Market-Specific Insights: Formulate targeted strategies by identifying growth segments and opportunities and assessing key trends, drivers, and risks within the construction industry.
  • City-Level Trend Analysis: Get detailed trend analyses for tier-1, tier-2, and tier-3 cities, offering actionable insights for urban-focused strategies

For more information about this report visit https://www.researchandmarkets.com/r/7uqo5d

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