Optimism and Risk in 2026

As IIJA expires, high satisfaction scores contrast with worries about tariffs

The Oxford University Press named “rage bait” as its word of the year for 2025. It is defined as “online content that is intentionally offensive or provocative.” One could use it in a sentence with one of the runners-up for the award — tariffs.

For example: An easy way to rage bait a contractor in the roads and bridges construction industry is to publish content on how the president’s tariffs will impact the cost of materials.

This past summer, Roads & Bridges conducted its annual multi-part state of the industry survey. Optimism for 2026 appears to be high, with 76% expecting it to be “Good” or “Very Good.”

However, in a complex industry such as this, more than one thing can be true, and a construction expert can hold contradictory feelings about the coming year. Thus, 2026 brings as much fear as it does hope. There seems to be a considerable amount of unease regarding tariffs, with 77% of respondents saying that they think this tax will negatively impact the roads and bridges construction industry.

Our survey’s respondents represented highway/heavy construction (55%), both building and highway construction (16%), general building construction (12%), material production (8%) and technology development/application (7%).

When asked, “Which of the following will tariffs accomplish,” 30% said “Increase costs of materials,” while 5% and 3% said “Hurt the economy” and “Delay projects,” respectively. Another 39% said “All of the above.”

Respondents believe the price of steel will increase the most (83%), followed by cement (79%), asphalt (74%), rebar (68%) and aggregate (66%).

However, when asked if the tariffs will hurt their businesses directly, slightly less respondents were worried about themselves. Though, it was still a majority of those surveyed, with 62% saying, “Yes.”

Since taking office last January, President Donald Trump has applied sharp tariffs to imported goods, like steel and aluminum, which are crucial to American construction. His goal, according to the White House, is to protect domestic producers from “unfair” foreign competition. The idea is to make steel and aluminum more expensive, shifting demand towards domestic producers. But many economists have said that this will come at the expense of downstream users who rely on those materials.

One could argue that the tariffs have already hurt the industry. The extent of the tariffs’ impact, and how long they will last, remains to be seen. The Supreme Court could strike down the tariffs.

Also, as is often the case with President Trump, a deal with a foreign country or reversal in policy are possibilities.

Despite the anxiety created by the president’s tariffs, our survey also indicated that the industry is thriving. President Joe Biden, who defeated President Trump in 2020, passed the bipartisan Infrastructure Investment and Jobs Act (IIJA) during his first year in office. The industry has flourished thanks to the law’s influx of money— a $1.2 trillion infrastructure package that will deliver $550 billion in federal investments over five years.

But, the IIJA concludes on Sept. 30, 2026, and for some in the industry, that fast-approaching expiration date could be as much of a hazard as the tariffs.

The survey’s final question asked: Does the IIJA need to be extended or does the country need a second law that invests a large amount of money in infrastructure, since the IIJA has barely dented the country’s crumbling bridge issue?

Most respondents answered yes, but they were split on the price tag, with 48% answering, “Yes, but where will the money come from?” and 32.5% checking, “Yes, and the money is there if it is spread out wisely over time.”

Reauthorizing the IIJA (or passing a new infrastructure law) is crucial to the industry because of how good 2025 was for our respondents. When asked to rate the past year, 39% said “Very good,” 35.5% said “Good,” and 10% checked “Excellent.”

Name another American industry that has 84% satisfaction. If the 32 NFL team owners were polled, there’s no way that many of them are happy (especially the owners of the Las Vegas Raiders and New York Giants – yikes!).

This country needs the roads and bridges construction industry. In 2025, the American Society of Civil Engineers released its Report Card for America’s Infrastructure. The ASCE gave the nation’s roads a D+ grade, while our bridges earned a C.

The report states that roughly 39% of major roads in the U.S. are in poor or mediocre condition, which is an improvement from 2020.

The respondents to our survey seem to share this view. About 56% said urban roads were in “Fair” condition, and rural roads are about the same, with 52% saying they were in “Fair” condition, as well.

The IIJA may have improved our roads, but 56% of our respondents said that they are still declining in urban and rural areas.

According to the ASCE Report Card, “Sustained and robust infrastructure investment is needed to maintain and improve the roadway network for the future.”

Conversely, America’s interstate system is doing well, with 59% of respondents reporting that it is in “Good” condition, and 59% saying that it has “Improved.”

The country’s bridges paint a more complex picture. Since the IIJA was signed into law, there has been a nation-wide emphasis on repairing bridges, with $27.5 billion for the Bridge Formula Program and $12.5 billion for the Bridge Investment Program. However, it seems whenever one bridge is rehabilitated or replaced, another one shows signs of needing repair.

Again, this tracked with survey respondents. We asked the following two questions: Did you add or subtract from your “poor” bridges list in 2025, and did you add or subtract from your functionally obsolete list in 2025?

Respondents answered, “It stayed the same,” for each, with 47% and 48%, respectively.

According to the ASCE Report Card, there are more bridges in “Fair” condition (49.1%) than “Good” (44.1%), and it appears that this trend will continue. The report recommends “strategic asset management planning and routine maintenance are essential to keeping bridge conditions from further declining and avoiding costly repair or rehabilitation work. While the effects of extreme weather events pose threats to bridges, innovative techniques are improving their security and resilience.”

Of course, repairing and maintaining America’s infrastructure demands qualified workers, and survey respondents are concerned about the state of labor. When asked to rate the availability of qualified workers for job openings, “Weak” was the most popular answer (46%), followed by “Average” (29%).

What’s the solution to this issue? Respondents are in favor of improving “High school/vo-tech school programs” (48%) and “Apprenticeship programs” (38%).

For this question, one answer was “Other (please specify),” and the 10% who answered gave us thoughtful answers. They advocated for improving affordable housing, commercial driver’s license requirements and the current occupant of the White House (for the past four years, respondents expressed displeasure with the previous administration, as well).

Three respondents wrote that America needs more civil engineers to graduate from college and enter the industry, while another three advocated for immigration reform, which, stated plainly, could be interpreted as leaning left or right, politically.

Immigration is another topic that is often used as rage bait because each side of America’s political divide feels passionately about its opinions on the matter. However, one such respondent was explicit when they wrote, “Let Latinos stay in the U.S. instead of deporting them.”

Five respondents advocated that improving wages was the way to improve the state of labor in the industry, with one writing, “Below average pay for workers in this area.”

Another wrote, “More competitive wages and better retention of qualified workers vs. just retention.”

The most likely answer is that it will take a combination of solutions to improve the state of the construction workforce. The same thing could probably be said for improving the industry at large.

If one thing is certain, it is likely this: there is a lot of work to be done in America, and for now, the state of the roads and bridges construction industry is good. Though there are possible storms on the horizon, the country’s infrastructure is shared by all, and no one wants it to fall into disrepair.

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