The artificial intelligence revolution is increasing the demand for stainless steel
The development of artificial intelligence supports the demand for stainless steel in the construction sector in all regions, which were assessed by MEPs as part of the Stainless Steel Review.
Steel manufacturers and distributors continue to highlight the development of data centers and related engineering networks as a key driver of consumption growth amid a general slowdown in construction activity in most countries. A Bloomberg study shows that data centers are currently being built at 831 sites worldwide. It is reported that the capital expenditures of the 14 largest government data center operators in the world increased by about two-thirds in 2026 and amounted to $750 billion. Investments are expected to reach another $3.3 trillion before 2029.
Bloomberg estimates that more than 35% of existing data centers will be built in the Americas region, with the United States becoming the epicenter of this surge in construction.
- This article first appeared in the May issue of the MEPS International Stainless Steel Review. The publication provides information on market conditions, stainless steel prices, indices and forecasts in key markets in Europe, Asia and North America. Contact the members of the European Parliament for detailed information on how to subscribe.
Respondents who participated in the study of MEPs in the United States highlighted the impact of artificial intelligence-related projects during the May research period. According to the U.
S. Census Bureau, data center construction increased by 34% year-on-year in March.
In addition, the Dodge Momentum Index (DMI) / / / /gb/en/news/podcast-will-construction-support-high-us-steel-prices-in-2026, the leading predictor of spending in the construction sector, reflects the share of construction sector growth driven by such changes. The business activity index rose by 14.1% year-on-year in April. At the same time, the commercial segment grew by 37.2%, but only by 5.8%, excluding the impact of data centers.
In all regions of the United States, planning for a total of 44 projects worth at least $100 million began in March. The largest of these projects were the $500 million Google Data Center (Building number one) in Buffalo, West Virginia, the $470 million Stargate Data Center (Freebird Phase 2) in Burlington, Texas, and the $450 million Jay Data Center in Jay, Maine
Construction and energy costs increase consumption
Stainless steel production plants and warehouse organizations