QBE North America has released its 2026 U.S. Commercial Construction Outlook, developed with Control Risks, outlining key pressures and opportunities for the industry.
The report, which is based off of 2025 reports, says commercial construction faces continued labor shortages, driven by an aging workforce and immigration limits, even as overall employment remains high. Material costs are also increasing, with average tariff rates rising to about 20%, particularly affecting steel, aluminum and copper.
Federal incentives are expected to support construction in the near term, though investment is projected to taper in the next decade as subsidies and tax credits are allocated. Despite these challenges, QBE forecasts a generally positive outlook over the next two to three years, fueled by industrial construction and private investment.
The report notes that rising costs, workforce gaps and geopolitical risks may create added exposure for contractors, emphasizing the need for proactive risk management.
