Strong construction demand is creating a capacity challenge for owners and contractors rather than a broad shortage of project opportunities. Skanska's Summer 2026 Construction Market Trends Report identifies labor availability, electrical power, equipment capacity and material costs as key factors affecting project delivery during the second half of the year.
Construction activity remains uneven across the U.S. market. Data centers, infrastructure, power generation, advanced manufacturing, pharmaceutical production and selected healthcare projects continue to attract substantial investment, while office, retail and other commercial development remain comparatively subdued.
Data centers have emerged as a particularly significant source of construction demand. The sector accounted for approximately 5.4% of private nonresidential building construction spending in 2025, compared with about 1.7% in 2019. Annual U.S. data center construction spending is expected to surpass $100 billion by 2030.
Healthcare and higher education activity varies by region, with population growth and policy conditions influencing project pipelines. Financing conditions also continue to affect some private-sector developments.
Capacity constraints are affecting procurement and project scheduling. Skilled labor shortages, power availability, municipal considerations and manufacturing capacity remain challenges in markets experiencing rapid development.
Structural steel lead times have reached 40 to 50 weeks in some markets, while HVAC equipment can require as much as 52 weeks. Demand for generators rated at 2 MW or larger is also placing pressure on available manufacturing capacity.
Equipment costs are facing similar pressures. Prices for generators ranging from 100 kW to 4.5 MW are projected to increase by 8% to 10% in 2026, while HVAC equipment prices could rise by 10% to 12%, depending on the manufacturer.
Material markets remain affected by tariff policies and geopolitical conditions. Steel, copper and aluminum prices remain elevated, while trade measures involving the U.S., Canada and other markets continue to introduce uncertainty into procurement planning.
Strong demand for structural steel from data center and advanced manufacturing projects is adding pressure to supply. Higher fuel and energy costs are also affecting transportation and petroleum-based construction materials.
For owners and contractors, the market conditions increase the importance of evaluating material availability, equipment capacity and labor resources during early project planning. Early procurement of long-lead components and earlier evaluation of structural alternatives can help project teams address supply constraints before they affect construction schedules.
The report points to a construction market where project demand and delivery capacity are increasingly disconnected. Owners pursuing data center, power, infrastructure, life sciences and advanced manufacturing projects face particular exposure to long equipment lead times, specialized labor requirements and material price volatility.
Early procurement, supply-chain monitoring and design decisions made with market availability in mind are becoming important components of project planning as high-growth construction sectors compete for limited resources.
Source: Skanska.
