2Q 2025 Cost Report: Tariff Impacts Drive Slowdown in Construction Activity 

By Alisa Zevin – ENR – June 18, 2025

Uncertainty has plagued the overall economy in the first half of 2025, with U.S. construction industry activity slowing considerably, according to data from Dodge Construction Network.

“Tariff-driven cost increases will be difficult for consumers and producers to absorb amid an already-high inflationary environment, likely weakening demand and exerting downward pressure on prices and economic growth,” says Sarah Martin, associate director of forecasting at Dodge.

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