Construction input prices rose 0.2% in May, driven by spikes in iron, steel, copper, and aluminium costs, according to the Associated Builders and Contractors’ analysis of U.S. Bureau of Labor Statistics data. Annualised costs increased by 6%, with tariffs exacerbating price pressures. Contractors face potential cost spikes as new tariffs on steel and aluminium take effect. Despite rising costs, some contractors remain optimistic due to potential Federal Reserve interest rate cuts. However, uncertainty around tariffs and policy changes continues to impact construction investment decisions.

The construction backlog decreased to 8.4 months in May, retreating from a two-year high due to tariff-related project delays and cancellations, as reported by the Associated Builders and Contractors. Despite gains in heavy industrial work and growth in the Northeast, overall momentum slowed. Nearly 25% of contractors reported tariff-related cancellations, and 87% faced material price increases. While profit margin confidence improved, it may be short-lived due to recent tariff hikes. Nonetheless, 60% of contractors anticipate sales growth in the coming quarters.

The European Federation of Engineering Consultancy Associations (EFCA) has released a position paper urging a comprehensive reform of EU public procurement rules. Recommendations include limiting lowest-price criteria, mandating the Most Economically Advantageous Tender (MEAT), and enhancing digitalisation. EFCA highlights the role of sound procurement in supporting sustainable investment and achieving EU objectives like the European Green Deal, advocating for procurement as a strategic tool for quality and innovation.

The Eurozone’s construction activity saw an accelerated decline in May, with the HCOB PMI dropping to 45.6. Germany and France experienced sharper contractions, while Italy reported marginal growth. Despite the downturn, optimism is rising, with future activity indices reaching multi-month highs in Germany and Italy. However, France remains pessimistic. The UK shows signs of easing its downturn, with the PMI improving and business activity expectations rising. The sector’s optimism hinges on tangible recovery signals to sustain momentum.

Qatar’s Qilaa International plans an initial $2.5 billion investment to construct 1 million affordable housing units in Indonesia, with 50,000 apartment units to be built soon.

India’s construction equipment market is poised for significant growth, driven by a record USD 135 Bn infrastructure investment in the 2025-26 Union Budget. This investment supports major projects in transport, energy, and urban sectors, including the PM Gati Shakti Master Plan. While global OEMs expand in India, Chinese manufacturers like LiuGong and Sany are gaining ground with competitive pricing and local manufacturing. Indian OEMs, such as ACE, are also capitalising on export opportunities.

Los Angeles, Austin, and Honolulu are leveraging AI to streamline building permit processes, significantly reducing wait times. Austin and Los Angeles employ Archistar’s AI for rapid permit reviews, enhancing speed and accuracy. Honolulu plans to adopt Clariti and CivCheck to modernise its outdated systems, promising faster permit issuance. These AI technologies utilise computer vision and machine learning to ensure compliance with local codes, offering a robust solution to expedite construction projects.

Leica Geosystems introduces the Leica Xsight360, an AI-driven safety solution for construction vehicles, powered by Presien. Utilising up to six cameras, it offers 360-degree coverage, identifying hazards like people and objects. The system’s AI processor, trained on extensive real-world data, provides low-latency alerts, reducing blind spots and enhancing operator awareness. Connected to a cloud platform, it generates safety reports and benchmarks site performance, aiming to improve safety standards and minimise project delays.

Saint-Gobain Isover has reopened its upgraded Forssa glass wool insulation plant in Finland’s Kanta-Häme region. The facility operates on a 50:50 energy mix of biogas and hydroelectricity, cutting CO₂ emissions by 1500t annually. As Finland’s largest consumer of recycled glass, the plant incorporates 80% recycled glass in its raw materials, reinforcing its sustainability focus.

Qatar has commenced the 3D printing of two public schools, each spanning 20,000 square meters, using the world’s largest construction printers, BODXL. Supplied by COBOD, these printers measure 50m x 30m x 15m. UCC Holding leads the project, assembling a specialised team to optimise concrete mix and printing precision. The schools’ design, inspired by Qatar’s desert formations, showcases 3D printing’s geometric flexibility. Completion is anticipated by the end of 2025.

South Korea’s ready-mix concrete shipments are projected to decline by 18% year-on-year in 2025. This marks a 36% drop from the 2021 peak of 146Mm³. The decline is attributed to stagnant commercial construction and delays in infrastructure projects, exacerbated by a political crisis that began in December 2024.

Five construction tech startups have raised over $100 million, targeting automation, AI monitoring, and robotic manufacturing. US-based AIM Intelligent Machines secured $50M to retrofit heavy equipment for autonomous operation. Israel’s Buildots raised $45M for AI-driven site monitoring. UK’s Auar received $6.9M for robotic micro-factories. NavLive, a UK spinout, raised $5.4M for AI-powered LiDAR scanners. Australia’s CalcTree secured $2.6M for a collaborative engineering calculation platform. These innovations aim to enhance productivity and reduce labor reliance.

SH Residential Holdings, a U.S. subsidiary of Sekisui House, surged to No. 6 on the Builder 100 list after acquiring M.D.C. Holdings for $4.9 billion.
With 2024 revenue at $8.1 billion and 14,860 closings, the firm shows robust growth potential. This strategic acquisition positions SH Residential for further expansion in the U.S. market, enhancing its competitive edge in the industry.

Altrad raised €1.25 billion in its first public bond offering, initially set at €1 billion but oversubscribed sixfold. The funds will refinance existing debt and support corporate growth. With 2024 revenues of €5.45 billion and €194 million in net profits, Altrad’s strategic bond issuance optimises its capital structure, balancing bank and market financing. This move underscores Altrad’s robust business model and long-term vision in the energy, infrastructure, and construction sectors.

Strabag Rail and Eurovia CZ have been awarded €982 million in contracts for Czech rail upgrades, co-financed by the EU. Strabag leads the €268 million Brno–Přerov project, enhancing high-speed rail capabilities. Eurovia heads the €714 million Česká Třebová overhaul, a complex upgrade of 72km of track. Strabag’s share is €354 million, with Eurovia holding 34% of the Česká Třebová contract. These projects are pivotal for modernising Czech rail infrastructure.

Larsen & Toubro has secured a contract to construct the Bhavali Pumped Storage Project in Maharashtra, India, valued at US$1 billion. The project, for JSW Energy, will feature a 1,500 MW capacity with significant civil works, including dams, tunnels, and an underground powerhouse. The contract, deemed “significant” by L&T, is valued between US$116.8 million and US$292 million. Completion is anticipated in 36 months, enhancing India’s energy infrastructure.