As the construction industry looks ahead to 2026, industry leaders are navigating a landscape shaped by persistent economic pressures and targeted pockets of strength.
Tariffs, high interest rates and inflation are pressuring contractors' bottom lines and sowing uncertainty across the market. At the same time, the data center and energy infrastructure demand tied to the AI boom is fueling growth in many regions throughout the country.
For this series of Q&As, Equipment World tapped more than a dozen construction industry leaders to find out what trends are shaping their strategy in 2026, how they plan to invest in their operations and how the current political climate is impacting their roadmap.
This year’s participants include:
Paul Manger, Executive Director of Product Marketing, Kubota
Illmars Nartish, Vice President, Manitou North America
Jeffery Ratliff, Director of Sales & Marketing, and Jeff Stewart, President, Takeuchi
Scott Young, Head of Region North America, Volvo CE
Al Arteaga, VP of Estimating, Skanska USA Civil West
Keep reading to see where Al Arteaga, VP of Estimating, Skanska USA Civil West, is placing his bets in 2026.
Equipment World: Are you anticipating any shifts in equipment or material costs or supply chain stability, and how are you preparing for them?
Monitoring changes in material cost control and supply chain stability are top priorities for us heading into 2026. At Skanska USA Civil West, we are taking steps toward buffering against uncertainty and volatility in material pricing and equipment with an emphasis on responsible capital expenditure purchases, protecting management contingency and reserves, and securing backlog for 2026.
In anticipation of what we know will be industry shifts in these areas, we’re focusing on early planning, preparation, and logistics. Maintaining flexibility for changing conditions and locking in procurement strategies earlier on allows us to further mitigate risk, helping keep projects on schedule, and positioning us to navigate cost and supply challenges effectively.
EW: Which sectors — public infrastructure, private development, industrial, energy — do you expect to provide the most opportunity for your company?
The data remains clear: public infrastructure will provide the most opportunities in 2026 and beyond. Highways are the largest contributor to projected work in 2026, followed by bridges. Transit projects, while smaller in 2026, will surge in 2027, driven by major pursuits and high-profile projects. Airports also show steady growth.
Our strategy is clearly aligned with public-sector investment in transportation infrastructure, such as highways, bridges, transit, and airports, where we employ our expertise and strong delivery models like Progressive Design-Build (PDB) and CMGC.
EW: What’s the biggest risk to your business in the year ahead, and how are you planning to mitigate it?
Safety remains a top priority for our firm, and our Care for Life program and the Safety Classification Learning (SCL) Model are central to mitigating risk. These frameworks help us identify potential serious injury or fatality (PSIF) scenarios and enforce direct controls to prevent them. We’re doubling down on visible leadership and robust planning to ensure safety is embedded in every phase of our projects.
EW: Do you expect more or less competition in bidding for projects in the year ahead, and why?
Our competitive edge remains strong among our pool of peers, particularly on hard-bid highway and bridge projects. Our pipeline for 2026 includes major infrastructure pursuits and traditional hard-bid packages that attract multiple bidders.
For projects where alternative delivery tactics such as Progressive Design-Build and CMGC are employed, the competitive field tends to narrow, as these projects require specialized expertise and collaborative delivery experience, limiting the number of qualified teams. Skanska’s track record in these models gives us a competitive edge.
Overall, while competition will remain intense, especially in the public infrastructure space, our focus on complex, high-value projects and alternative delivery methods positions us well to differentiate ourselves.
EW: Beyond the next 12 months, what’s your confidence level in the construction industry over the next 3-5 years?
Beyond the next 12 months, as we continue to see an uptick in need for infrastructure improvements to highways, bridges, transit, and airports leading toward internationally renowned events such as the 2028 Summer Olympics, 2027 NFL Super Bowl, 2026 FIFA World Cup, NBA All-Star Game, and Women’s Open Championship, our confidence in the construction industry remains strong over the next 5 years and beyond.
Infrastructure improvements for visitors and residents alike remain essential. Continued population growth will require additional housing and demand for highway widening, which in turn increases the need for energy, roadway, utility, and water/wastewater infrastructure, as well as more schools and parks.
