Dodge Data & Analytics, New York, has reported construction starts declined 24.8% in August after rising 25.6% in July.
Nonresidential building construction fell 32% in August as manufacturing starts plunged 80.8%; commercial starts dropped 37.6%; and institutional starts fell 18.1%.
Residential building construction fell 5.2% in August. Single-family housing increased 0.4%, and multifamily starts declined 13.5%.
Nonbuilding construction fell 26.7% in August.
For the 12 months ending August, total construction starts were up 14.5% compared with the 12 months ending August 2025. Nonbuilding construction rose 27.6%; nonresidential building climbed 17.9%; and residential building fell 2.4%.
“After a pop in activity last month, construction starts largely normalized throughout August,” said Sarah Martin, director of economic research at Dodge Construction Network. “Abstracting from the month-to-month volatility, the story remains consistent. Data center, semiconductor and energy construction are driving growth, while several other sectors are facing subdued activity alongside deeper labor shortages and accelerating material prices.”
