Infrastructure Development

Global fragmentation, aging infrastructure assets, and shifting demographics are reshaping investment priorities as nations modernise existing resources and expand domestic capabilities. At the same time, climate change and technological disruption are driving demand for sustainable infrastructure, from renewable energy and smart grids to EV charging and energy storage.²

In 2024, extreme weather caused $402 billion in damages, underscoring the need for climate-resilient systems.³ Meeting global development and climate goals through 2030 requires $6.9 trillion in annual infrastructure investment, including trillions for power grid upgrades to support electrification, AI, and clean energy growth.⁴

The United States continues to face significant infrastructure deficiencies. In 2025, the American Society of Civil Engineers (ASCE) raised the country’s overall infrastructure grade to a C, from C– in 2021.⁷ This reflects progress following recent investments, but a C grade from the ASCE still translates to “Mediocre, Requires Attention,” indicating notable deterioration and deficiencies.⁸ Nearly half of the assessed categories — including energy, aviation, and transit — received a grade in the D range.⁹ To adequately improve, modernise, and maintain critical systems, an estimated $9.1 trillion in investments will be needed through 2033.¹⁰

The ongoing manufacturing surge across the United States creates compelling opportunities but also increases demands on the nation’s physical systems. Between January and mid-September 2025, companies announced over $1.2 trillion in investments to expand U.S. production capacity, with a strong focus on semiconductors, consumer electronics, and pharmaceuticals.¹³

Notably, major pharmaceutical corporations committed more than $200 billion to bolster domestic supply chains.¹⁴ Such investments fuel a virtuous cycle, driving much-needed infrastructure upgrades across the country.