Construction input prices ticked up 0.1% month over month in July and were about 7.4% higher than July 2025, according to an analysis of the latest U.S. Bureau of Labor Statistics data by Associated Builders and Contractors released recently.

Lower energy costs, particularly in crude petroleum and unprocessed energy materials, helped keep the monthly increase muted, said Anirban Basu, ABC chief economist.

AI is unlikely to be an extinction event for AEC firms, but it could meaningfully change who leads the industry. Early adopters are reporting productivity gains from design, modeling, and construction-feasibility workflows, though these advantages will likely soon be table stakes. The McKinsey Global Institute (MGI) projects that the AEC industry could unlock roughly $228 billion by 2030 in annual value in the United States through AI and other automation technologies, while in Europe, the impact on the construction sector alone could equate to roughly $126 billion.

The construction industry added 22,000 jobs on net in July, according to an Associated Builders and Contractors analysis of data released recently by the U.S. Bureau of Labor Statistics. On a year-over-year basis, industry employment has increased by 82,000 jobs, an increase of 1.0%.

Nonresidential construction employment grew by 20,000 positions, with gains in all three subcategories. Nonresidential specialty trade added the most jobs, increasing by 15,400 positions. Nonresidential building and heavy and civil engineering added 4,200 and 400 jobs, respectively, in July.