What's Happening?
The construction backlog remains stable at 8.5 months, according to a survey by the Associated Builders and Contractors. Infrastructure projects have bolstered the backlog, despite a federal government shutdown that threatens projects reliant on federal funding.
Data centers continue to be a strong source of private nonresidential construction, with contractors reporting higher backlogs in this sector.
Why It's Important?
The stability in construction backlog highlights the resilience of infrastructure and data center projects, even as other sectors face challenges. The federal shutdown poses risks to projects dependent on government funding, potentially leading to delays. However, the continued demand for data centers reflects the growing importance of digital infrastructure, which is crucial for economic growth and technological advancement.
