Structural Steel and Precast Concrete Contractors
Industry Profile Report
Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters
Industry Overview Current Conditions, Industry Structure, How Firms Operate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.
Call Preparation Call Prep Questions, Industry Terms, and Weblinks.
Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.
Industry Profile Excerpts
Industry Overview
The 3,800 structural steel and precast concrete contractors in the US erect, assemble, and install structural elements of buildings. Large firms may offer design/build services or fabrication services. Firms may also offer repair or restoration services.
Dependence on Nonresidential Construction Activity
Demand for structural steel, reinforcing steel, and precast concrete is primarily dependent on nonresidential construction activity, which can be cyclical and influenced by economic conditions.
Hazardous Work
Structural iron and steel work is one of the top 10 most hazardous occupations in the US, as the incidence of injury and illness for structural steel and precast concrete contractors was 14% higher than the national average in 2022.
Nonresidential Construction Spending Resilient
Nonresidential construction spending continues to grow at a healthy rate, despite some challenges, including inflation and higher interest rates.
Industry size & Structure
The typical structural steel and precast concrete contractor operates out of a single location, employs about 20+ workers, and generates between $4 million and $5 million annually.
- The structural steel and precast concrete contracting industry consists of about 3,800 companies that employ about 85,000 workers and generate between $15 billion and $16 billion annually.
- The industry is fragmented; no true national firm dominates, however the largest companies, such as Span Construction & Engineering and Crossland, operate it numerous states. Integrated companies design, fabricate, and install structural steel products.
Industry Forecast
Structural Steel and Precast Concrete Contractors Industry Growth
Recent Developments
Mar 7, 2025 - Trump Administration Imposes Steel, Aluminum Tariffs
- In February, the Trump administration announced a 25% tariff on all US imports of steel and aluminum, a move that some in the construction and manufacturing sectors worry could increase their costs and reduce their margins. The tariffs, which go into effect March 12, 2025, aim to level the playing field amid what the administration alleges is unfair dumping of low-cost steel imports on the US market. Officials in Mexico and Canada called the tariffs unjustified, and in a statement the European Union’s president said the tariffs would, “trigger firm and proportionate counter measures.” In 2024, US imports of iron and steel mill products were valued at about $10.7 billion and accounted for nearly 30% of total US iron and steel imports.
- The total value of nonresidential building construction starts decreased 18% in January 2025 from December, according to Dodge Construction Network. Commercial starts fell 41% amid weak office and hotel construction starts. An uptick in healthcare and recreational projects helped drive a 4% rise in institutional starts, while manufacturing starts were down 16%. January’s nonresidential building starts were off by 22% compared to a year earlier. Dodge’s associate director of forecasting Sarah Martin said, “After robust data center starts in November and December, total office starts fell back in January to more historically typical levels and drove a sizable piece of the month-to-month decline. However, most nonresidential sectors saw weakness over the month. Ongoing labor shortages and high material costs will continue to pose risks to the sector, along with concerns over tariffs and stricter immigration enforcement. Projects are likely to continue moving through the planning queue slowly, until the Federal Reserve resumes cutting rates in the back half of the year.”
- North American construction and engineering spending in 2025 is expected to grow by 2% after increasing an estimated 6% in 2024, according to FMI’s first-quarter 2025 North American Engineering and Construction Outlook. With growth of 19%, the data center sub-sector will lead 2025 nonresidential building construction, followed by public safety (9%), amusement and recreation (7%), and manufacturing (6%). Commercial construction spending is expected to decline 9% in 2025 amid a 6% drop in warehouse demand, which accounts for more than half of annual commercial spending. Lodging construction spending is forecast to fall 7%, and stubbornly high office vacancies are expected to hold new office construction to 2% growth in 2025. Amid high mortgage interest rates and a lack of affordability, single-family construction spending is forecast to rise by 4% in 2025. A recent jump in new apartment supply and unfavorable cost conditions will reduce multifamily spending by 13% in 2025.
- Raids by Immigration and Customs Enforcement (ICE) are prompting some foreign-born workers to stay home from their workplaces, disrupting key industries that rely on migrant workforces, including construction, according to The Wall Street Journal. The Trump administration has said that while it is focusing on undocumented people with criminal backgrounds, anyone in the country illegally faces increased risk. According to an analysis of US Census Bureau data by the American Immigration Council, undocumented immigrants make up about 14% of the US construction sector’s workforce. The Associated General Contractors of America said it had received anecdotal reports of rising absenteeism from member firms in several locations, including Florida, Georgia, Oklahoma, and Texas. Labor disruptions reduce construction firms’ ability to deliver projects on time.
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