Troostwijk Internaitional Cost Index 2026

Troostwijk by Accumin analyses global trends in construction costs and machinery production costs as a decision supporting tool for the insurance and real estate sectors.

2018-2025 evolution: pandemic, labour shortages and geopolitical conflicts triggered a profound structural shift in the insurance and valuation sector.

• A significant cost crisis emerged in 2021, following a period of moderate inflation.
• As a result, the declared and insured valuations of assets quickly became outdated.
• Cost developments were not homogeneous, increasing complexity of risk management.

In 2025: cost divergences were particularly pronounced, reflecting the uneven impact of inflation, energy prices, wages and global supply chains.

• Both construction costs and machinery production costs increased by 4,1% globally, while maintaining a high degree of regional dispersion.
• Marked differences in the case of construction, where increases ranged from the minimum of 2,7% in Australia and New Zealand to a peak of 9,2% in Africa.
• In machinery production, growth was moderate in Europe with 1,8% and significantly higher in Africa with 9,8%.

Costs	Africa	Asia	A & NZ	Europe	Latam	EEUU & Canada
Machinery Production	185.2	148.3	129.9	128.8	139.7	136.9
Construction	194.8	148.8	144.9	147.2	147.8	148.2

Outlook for 2026: data is suggesting a slowdown after the exceptional price growth experienced in recent years.

• Persistent geopolitical risks, currently linked to the conflict in the Middle East, continue to pose potential impacts on inflation and price dynamics.
• The economic slowdown already visible in some parts of Europe, could also generate deflationary pressures.

Forecast of average increases:

Costs	Africa	Asia	A & NZ	Europe	Latam	EEUU & Canada
Machinery Production	8%	4.7%	2.6%	1.5%	2%	4%
Construction	8.6%	4.6%	3.1%	3.1%	3.6%	3.6%

Full report here.