# Construction industry digest: Google data center halted, steel imports fall, and data center spending surges

By MarketScale Newsroom · Published 2026-06-08 · Updated 2026-08-24 · Engineering & Construction on MarketScale
Canonical: https://www.marketscale.com/industries/engineering-and-construction/construction-industry-digest-google-data-center-halted-steel-imports-fall-and-data-center-spending-surges

> A judge halts Google's Minnesota data center, steel imports drop 30% YTD, and data center construction spending jumps 28% year over year.

## Key points

- Google's Minnesota data center project is paused by judicial ruling.
- Steel imports have decreased by 30% year-to-date in 2023.
- Data center construction spending has increased by 28% year-over-year.

## Judge halts Google's Minnesota data center amid multi-million dollar delay risk

A court order has stopped construction on Project Skyway, Google's data center development in Pine Island, Minnesota, according to Construction Dive. Minneapolis-based Ryan Cos., serving as the project's general contractor, estimates the delay could cost approximately $5 million or more. The halt adds to a growing list of legal and regulatory complications facing large-scale digital infrastructure builds across the United States.

## Steel imports fall 30% as tariff policy reshapes materials supply

Steel imports have dropped 30% year-to-date in 2026, according to Construction Dive, as federal tariff measures push demand toward domestic production. The shift carries significant implications for contractors managing materials budgets on major infrastructure and commercial projects. Separately, the White House announced that a wider range of industrial and agricultural equipment containing steel, aluminum, and copper will temporarily face a reduced 15% levy starting June 8, offering some relief to affected sectors.

Block Field

## Data center spending surges while broader nonresidential market stalls

Construction spending on data centers rose 28% over the past year, Construction Dive reported, driven by sustained demand for cloud and AI infrastructure capacity. Overall nonresidential construction spending, however, increased just 0.1% month over month in April, a figure that ABC Chief Economist Anirban Basu described in stark terms.

> Momentum elsewhere [was] difficult to find., Anirban Basu, Chief Economist, Associated Builders and Contractors, via Construction Dive

The contrast between data center activity and the rest of the nonresidential market highlights how concentrated current construction demand has become. Projects such as Walbridge's notable on the $16 billion Stargate data center for OpenAI and Oracle reinforce the scale of investment flowing into the sector. Contractors with data center expertise are positioned to benefit disproportionately as the broader market waits for stronger catalysts.

## Labor market tightens as April job openings hit 2026 high

Construction job openings jumped 10.6% month over month in April to reach the highest level of 2026, according to Construction Dive. At the same time, the rate of layoffs hit a four-year low, a combination that points to contractors actively holding onto existing workers rather than adding new ones. The data reinforces persistent workforce shortages that have constrained project timelines across the industry.

## Autodesk bets $3.6B on operations tech with MaintainX acquisition

Autodesk announced plans to acquire MaintainX for $3.6 billion, according to Construction Dive, timed alongside the launch of Autodesk Operations Solutions, a new maintenance and operations division targeting the proptech space. The deal signals growing interest among contech incumbents in expanding beyond project delivery into the asset operations phase of building lifecycles. Six contech startups also raised a combined $121 million in recent funding rounds, with AI-powered autonomous machinery among the recipients.

## Major project awards signal continued infrastructure investment

A Lane-Brayman joint venture secured a $1 billion contract for an Ohio River tunnel project, while Bechtel was selected for a $4.69 billion Sabine Pass LNG expansion in Louisiana, both reported by Construction Dive. A Kiewit Stacey Witbeck Herzog team was also picked to construct a 119-mile section of California's high-speed rail corridor between Bakersfield and Merced under a $3.5 billion award, with trains targeted for service by 2033. Davie Defense additionally broke ground on $1 billion in shipbuilding site upgrades in Galveston and Port Arthur, Texas, as part of a $3.5 billion U.S. Coast Guard contract for five polar icebreaker vessels.

## Sources

- [Construction Dive – Judge halts Google data center project in Minnesota](https://www.constructiondive.com/news/judge-halts-google-data-center-project/822152/) (Construction Dive)
- [Construction Dive – Steel imports down 30% in 2026 as tariffs bolster US production](https://www.constructiondive.com/news/steel-imports-down-30-percent-ytd-tariffs-bolster-us-production/822123/) (Construction Dive)
- [Construction Dive – Data center construction spending rocketed 28% in the last year](https://www.constructiondive.com/news/data-center-construction-spending-april/821894/) (Construction Dive)
- [Construction Dive – April construction job openings hit highest mark of 2026](https://www.constructiondive.com/news/april-construction-job-openings-labor-shortage-data/821840/) (Construction Dive)
- [Construction Dive – Autodesk to acquire MaintainX for $3.6B](https://www.constructiondive.com/news/autodesk-maintainx-acquire-contech-data-ai/821895/) (Construction Dive)
- [Construction Dive: Construction News and Trends](https://www.constructiondive.com/)

Tags: data centers, construction spending, steel tariffs, infrastructure, contech, labor market, Google, Ryan Companies, Project Skyway, nonresidential construction

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