According to an analysis by the Associated General Contractors of America, U.S. construction spending increased 0.6% from February to March, with gains in residential construction and data center-related projects. Residential construction spending rose 3.6% compared with a year earlier, including a 2.7% monthly increase in single-family construction.
Total construction spending reached a seasonally adjusted annual rate of $2.186 trillion in March, up 1.6% from March 2025. Private construction spending increased 0.8% for the month and 1.0% year over year, while multifamily construction increased 0.5% year over year.
Association officials noted, however, that contractors and project owners continue to face uncertainty related to tariffs, financing costs, labor shortages and energy market volatility.
