Despite AI Bubble Concerns... US AI Infrastructure Construction Boom Through 2026

Record-High Construction Starts Driven by Data Centers
Tariffs Used to Attract $9.6 Trillion in Investment Plans
Large-Scale Infrastructure Investment to Continue Ahead of Midterm Elections

Recently, talk of an artificial intelligence (AI) bubble has emerged in the US stock market. However, contrary to concerns about the capital market reaching its peak, the United States is accelerating large-scale infrastructure investments centered on AI data centers. In fact, the value of construction starts driven by data centers reached an all-time high in October.

The boom in AI infrastructure investment in the US is expected to continue into next year. If the Trump administration accelerates the execution of large-scale investments attracted from around the world ahead of the midterm elections in November next year, the investment amount could even surpass this year's level.

Unstoppable AI Infrastructure Investment in the US

The Trump administration's external economic policy, which aims to alleviate chronic fiscal deficits through tariff pressure, has incidentally attracted AI infrastructure and reshoring investment plans totaling approximately 9.6 trillion dollars (about 14,000 trillion won) from countries and companies around the world. Considering that the US fiscal deficit for the 2025 fiscal year is projected to be around 1.8 trillion dollars (about 2,600 trillion won), the Trump administration is likely to push for rapid investment execution.

Kang Jaegu, an analyst at Hana Securities, who published the report "Expectations for President Trump's Investment Promotion Policy in 2026" on the 25th, predicted, "The Trump administration will actively pursue AI industry development and manufacturing reshoring policies as core economic strategies ahead of next year's midterm elections."

Facebook Data Center to Be Established in Fort Worth, Texas

Therefore, the US construction boom, already at an all-time high, is expected to continue next year. According to the construction start index released by Dodge Momentum Networks, a US private construction research firm, construction starts have increased significantly since the 2022 peak, especially in data centers. In October, the value of construction starts surged to 1.528 trillion dollars (about 2,230 trillion won), up 32.5% year-on-year, setting a new record. In particular, the utilities sector, which is essential for data centers, soared by 384.5%. Non-residential building starts are also on the rise, with investments in offices and data centers increasing by 45.5%.

US to Strengthen Reshoring Policy

Alongside AI infrastructure investment, the US is expected to strengthen its manufacturing reshoring policy, which encourages companies that had moved overseas to return to the US. While the Biden administration induced reshoring through subsidies and tax breaks such as the Inflation Reduction Act (IRA) and the CHIPS and Science Act in 2022, the Trump administration differs in that it uses tariffs as leverage to utilize investment funds pledged by governments and companies worldwide.

Ahead of the midterm elections, the Trump administration is likely to emphasize that shock therapy using powerful tariff measures is more effective in promoting actual investment than subsidy policies. Accordingly, President Trump is expected to pressure governments and companies around the world to execute their planned investments quickly.

This content was produced with the assistance of AI translation services.