Q2 2026 Building Products Newsletter: Rates, Resilience, and Renewed Consolidation

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The U.S. Building Products market is moving forward, but growth is becoming increasingly selective. Construction input prices for new non-residential buildings rose 7.1% YoY through June, nearly twice the 3.5% increase in contractors’ bid prices, squeezing project margins. Meanwhile, aluminum prices climbed 52.4%, copper 27.0% and steel 16.9% YoY. Data centers remain a bright spot, with 65% of contractors expecting activity to increase, while labor shortages and equipment constraints create new bottlenecks. As tariffs, regulation and supply-chain pressures reshape the industry, prefabrication, domestic sourcing and specialized products are increasingly becoming sources of competitive advantage.