NEW YORK, Nov. 21, 2024 - Global construction consultancy Linesight has published its latest report, Construction Market Insights - Americas: Industry Update, forecasting a steady annual growth rate of 2.2% for the U.S. construction industry from 2025 to 2027, even as the broader economy faces a mild slowdown.

Short-Term Growth Driven by Non-Residential Sectors

‍In 2024, the industry is projected to expand by 2.5%, fueled by strong investment in non-residential areas such as data centers, manufacturing, infrastructure, and energy/utilities. However, skilled labor shortages, particularly in MEP trades, remain a critical challenge, especially in regions with significant high-tech and mission-critical projects.

Supply Chain Pressures Persist

‍The report highlights ongoing supply chain pressures, particularly in AI computing and data center expansion, which have driven high demand for power and cooling solutions in 2024. Risks from fluctuating freight costs, labor strikes, and port disruptions remain a concern, though proactive planning and supplier investments provide optimism for 2025.

Patrick Ryan, Executive Vice President for Linesight Americas, cautioned:
"While the outlook for construction growth is generally positive within certain sectors, we would caution clients to adopt diligent risk mitigation strategies to ensure stability in the current environment."

Challenges and Opportunities Ahead

‍The report notes that growth may be tempered by rising labor and production costs as well as potential policy shifts under the new administration. Additionally, recent natural disasters have caused billions of dollars in damages, adding further strain to the industry.

Despite these hurdles, Linesight foresees strong opportunities ahead, leveraging its expertise in mission-critical sectors, clean energy, and advanced manufacturing to support clients navigating complex challenges.

About Linesight

‍Linesight is a global consultancy with over 50 years of experience, specializing in cost, schedule, program, and project management across diverse sectors, including life sciences, data centers, high-tech industrial, healthcare, and retail. The firm’s tailored project teams focus on delivering faster timelines, cost efficiency, and maximum value for clients.

For more information, visit www.linesight.com.