In a significant development for Alaska’s economy, the construction industry emerged as the fastest-growing sector in 2025, according to a recent analysis by DPHK Consulting. The industry experienced a substantial 10.8% increase in real GDP, highlighting its pivotal role in the state’s economic landscape.

The analysis, which utilized data from the U.S. Bureau of Economic Analysis, ranked Alaska’s major industries based on their percentage change in real GDP from 2024 to 2025. Measured in chained 2017 dollars, the construction sector’s growth was nearly four times faster than the overall state economy, which grew by 2.8% during the same period.

Transportation and Mining Also Show Growth

Following construction, the transportation and warehousing industry recorded a 5.9% increase, while the mining, quarrying, and oil and gas extraction sector grew by 5.4%. These industries contributed to the overall economic growth, with Alaska’s real GDP rising from $55.95 billion in 2024 to $57.49 billion in 2025.

A spokesperson from DPHK Consulting noted the uneven nature of the growth across different sectors. While construction and transportation showed robust gains, other industries such as wholesale and retail trade saw minimal growth, edging up by just 0.1%.

Methodology and Analysis

The analysis excluded aggregate lines and focused on major industry groups with positive real GDP growth. The data was sourced from the U.S. Bureau of Economic Analysis table “SAGDP9 Real GDP by state,” ensuring a comprehensive review of the state’s economic performance.

DPHK Consulting, known for assisting companies in sourcing trusted service providers, conducted this analysis to provide insights into the economic trends shaping Alaska’s future. The firm’s findings underscore the importance of the construction industry in driving economic growth and highlight potential areas for further investment and development.

Original reporting: Must Read Alaska (Anchorage) — read the source article.