Highway, Street & Bridge Construction NAICS 237310

Jul 9, 2025 - ICE Raids Impact US Construction Sites

• The Trump administration's intensified immigration enforcement is straining the U.S. construction workforce, prompting fear among some Hispanic workers, both documented and undocumented, according to construction industry advocacy groups and reporting by Engineering News-Record. Public works projects and large commercial buildings have often been targets for US Immigration and Customs Enforcement (ICE), according to the Hispanic Construction Council. Worker advocacy groups support deporting criminals but have called for more humane, workforce-conscious approaches. Their proposals include expanding visa programs and creating temporary legal status pathways, aiming to stabilize the labor supply and sustain critical infrastructure development.
• The total value of US highway and street construction put in place declined 0.5% in May 2025 compared to the prior month, according to the US Census Bureau. The value of US highway and street construction was down 0.7% compared to May 2024. May marked the fourth consecutive monthly decline in nonresidential construction spending. In a news release, Associated Builders and Contractors (ABC) Chief Economist Anirban Basu said, “Given the many headwinds at play, including high interest rates, tight lending standards, elevated uncertainty and the effects of immigration and trade policy on labor and materials costs, spending may struggle to rebound during the second half of the year.”

• Higher steel and aluminum tariffs could increase highway, street, and bridge construction project costs. On June 4, the Trump administration doubled the tariffs on all US steel and aluminum imports to 50%, according to Reuters. The administration claims the higher duties will protect the US steel and aluminum industries. Imported steel and aluminum are key inputs for building bridges, guardrails, and structural components for roadbuilding. If materials prices increase, projects would be more costly to complete. State, local, and federal road and bridge projects are often awarded on a fixed-cost basis. If projects become unprofitable because input costs increase, some projects could be cancelled or postponed. Industry observers suggest that demand for domestic steel is likely to rise, but if US producers struggle to ramp up, there could be shortages and price increases. The new tariffs do not include the UK, which negotiated a temporary trade agreement with the US.
• About 60% of contractors said they have experienced at least one vehicle crash in a roadway work zone in the last year, according to a recent survey by the Associated General Contractors of America and reporting by Construction Dive. About 30% of respondents reported five or more vehicle accidents in the last year. However, contractor experience suggests that drivers are more likely to be injured or killed in jobsite crashes than construction workers. About 30% of contractors reported a worker injury over the last year, while 71% reported a driver or passenger was hurt. At 80%, increased police presence topped the list of contractor suggestions for better work zone safety, followed by stricter enforcement of work zone traffic rules (70%), and tougher cell phone usage laws (66%).