U.S. Transportation Infrastructure Market Size & Share Analysis - Emerging Trends, Growth Opportunities, Competitive Landscape, and Forecasts (2025 - 2032)

U.S. Transportation Infrastructure Market Emerging Trends

Smart and Sustainable Infrastructure Is Major Trend

• The deployment of IoT sensors and AI can enhance traffic management and predictive maintenance, making it quicker, cost-effective, and precise.
• Public institutions and private companies are buying energy-efficient lighting systems, vehicles that run on low-emission and renewable fuels, and green building materials for infrastructure building and modernization.
• Governments at the federal and state levels offer incentives to encourage EV charging deployment along highways and throughout cities to accommodate the rising number of EVs.
• According to the International Energy Agency, the U.S. has more than 181,000 public fast chargers for EVs.
• The National Electric Vehicle Infrastructure (NEVI) Formula Program sanctioned USD 4.155 billion for the period between FY 2022 and FY 2026 to set up 500,000 public EV chargers across the country.
• The Low or No Emission Vehicle Program has allocated USD 1.5 billion to state transit authorities to buy over 1,00 buses made in the U.S., at least 80% of which must be low- or zero-emission models.
• Autonomous shuttles, apps for real-time transit information, and self-adjusting traffic lights improve the commuter experience, increase efficiency, and minimize congestion.

Rising Government Investments in Infrastructure Development Drive Growth

• The biggest driver for the market is the increase in the government’s spending to build and upgrade the country’s transportation system across all the modes: road, rail, air, and marine.
• As per studies, over 75% of the commuters in the country drive alone, which highlights a need for renovating urban roads to reduce congestion and the risk of accidents.
• The public transportation system carries just about 10% of the country’s commuters, which is why it needs to be enhanced, modernized, and made more accessible.
• The Infrastructure Investment and Jobs Act (IIJA) has allocated USD 1.2 trillion for the modernization of roads, bridges, railroads, airports, and mass transit systems.
• Government transportation agencies at both the federal and state levels are raising their budgets to repair the aging infrastructure, to make transportation safer, faster, more-efficient, and cheaper.
• Several large, long-term projects are underway to enhance intermodal links, reduce traffic congestion, and update forgotten rural areas.
• The major transportation-related projects underway or recently commissioned in the country are the Aviation/Century station and La Brea subway station in LA, Lynnwood City Center station and Marymoor Village Station in Seattle, Main Street streetcar extension in Kansas City, and Skyline station at Honolulu airport.
• In March 2024, the DoT recommended 14 more transportation projects in 11 states for a total cost of USD 4 billion.

U.S. Transportation Infrastructure Market Segmentation Analysis

Type Insights

Roadways is the largest category with a share of 55% in 2024. This is because the country has a vast network of highways (the 46,000-mile-long Interstate Highway System) and relies significantly on cars and trucks for the transport of travelers and goods, respectively. Roads and bridges get the majority of funding from federal infrastructure programs since they require immediate repair work and are used extensively by people and goods carriers. As per estimates, roads account for over 85% of the passenger-miles traveled and 60% of the goods transported in the country, by weight.

Types studied in the report:

• Roadways (Largest Category)
• Railways (Fastest-Growing Category)
• Airports
• Ports and Inland Waterways

Mode of Operation Insights

Freight transport is both the larger and the faster-growing category, with a share of 70% in 2024 and CAGR of 5% during the forecast period, respectively. The reason for this dominance is the increasing demand for logistics solutions due to the booming e-commerce activity, high volumes of global trade, and efforts for supply chain modernization. The growth of the retail, pharma, and manufacturing industries drives the need for the efficient transportation of goods within, in, and out of the U.S. The Bureau of Transportation Statistics notes the share of freight and logistics services in the GDP of the country at USD 1,826.5 billion in 2023, compared to USD 1,755.4 billion in 2022.

Modes of operation studied under the report:

• Passenger Transport
• Freight Transport (Larger and Faster-Growing Category)

Construction Type Insights

Renovation and modernization are the fastest-growing category, with a CAGR of 5.5% during the forecast period. This is due to the rapid integration of smart and eco-friendly technologies into transport networks. The installation of EV charging stations, intelligent traffic management systems, and climate-resilient upgrades is prominent, especially in urban transportation networks and airport terminals. Further, over 45,000 bridges are in poor condition, and many highways have already reached the end of their lives.

Construction types under study:

• New Construction
• Renovation & Modernization (Fastest-Growing Category)
• Maintenance & Repair (Largest Category)

Component Insights

Roads and bridges are the largest category, with a share of 40% in 2024. This is because the country has an extensive network of highways and roads that enable freight and passenger transportation across the country. According to the Federal Highway Administration, over 125 road and highway projects are currently underway in the country. In October 2024, the DoT’s FHA allocated USD 61 billion to road, highway, and bridge projects across the country.

The components under study were:

• Roads & Bridges (Largest Category)
• Terminals & Stations
• Runways
• Tracks & Signals
• Tunnels
• Ports & Docks (Fastest-Growing Category)
• Canals

U.S. Transportation Infrastructure Market Regional Growth Dynamics

South is the dominant region, with a share of 35% in 2024, because of the fast-paced urbanization here. As per the U.S. Census Bureau, the south added over 2 million residents during 2023–2024, the most among all regions. Texas and Florida are investing heavily in upgrading highway, airports, and rail network. Texas has a severe traffic problem, with an average commuter in Houston spending nearly 70 hours in traffic every year.

Regions covered in the report:

• Northeast
• Midwest
• South (Largest Category)
• West (Fastest-Growing Category)

U.S. Transportation Infrastructure Market Competitive Landscape

The market is severely fragmented on account of the presence of numerous stakeholders, including the federal government, state and county governments, municipal transit authorities, established construction firms, and independent private contractors. Additionally, since all states have their own transportation departments, the funding and projects become decentralized. The different modes of transportation, viz., road, rail, air, and marine, further fragment the market as developers generally do not construct every type of transportation infrastructure. Moreover, the established companies win the tenders, but delegate the actual construction to the smaller regional firms, often in packages or sections of a larger project.

U.S. Transportation Infrastructure Market Developments

• In February 2025, Wabtec launched a fuel injection system that allows trains to operate with liquid natural gas, to make freight and passenger rail operations more efficient.
• In January 2024, Quikrete Holdings announced plans to acquire Summit Materials Inc. for USD 11.5 billion.