New Jersey Mandates Asphalt Plant Sales for Merger
The state requires CRH PLC to sell five plants to maintain competition in the hot-mix asphalt market.
Updated on Oct. 24, 2026 in Construction
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New Jersey officials have mandated that CRH PLC divest five asphalt plants as a condition for its $8 billion acquisition of Arcosa Inc. The move aims to prevent a monopoly on the state-approved hot-mix asphalt supply required for public road projects.
Why it matters
State officials allege that the merger would have otherwise allowed the combined company to control 75% of the market in five counties, potentially increasing costs for taxpayer-funded road infrastructure.
The proposed merger between CRH PLC and Arcosa Inc is valued at more than $8 billion. As a condition of the deal, the companies must sell five asphalt plants located in Flemington, South River, Hillsborough, Howell, and Pennington.
The players
CRH PLC
A multinational building materials company that is currently pursuing an acquisition of Arcosa Inc.
Arcosa Inc
A provider of infrastructure-related products and solutions that is the subject of the acquisition by CRH PLC.
New Jersey Attorney General
The chief law enforcement officer of the state who filed the antitrust complaint to protect market competition.
The details
The New Jersey Attorney General filed a complaint and proposed consent judgment in federal court to address antitrust concerns. New Jersey retains sole discretion to approve the entities that will purchase the facilities currently slated for divestment.
Timeline
CRH announced its intent to acquire Arcosa in June 2026.
The consent judgment was filed in the U.S. District Court for the District of New Jersey on October 20, 2026.
Market Landscape
This mandate reflects broader efforts to apply the Sherman Antitrust Act to maintain a competitive market landscape for essential infrastructure supplies. By forcing these divestitures, the state prevents significant industry consolidation that would otherwise stifle competition among regional construction suppliers.
The mandated sales aim to keep construction costs for publicly funded road projects from rising due to reduced competition. Residents may see fewer price fluctuations for local infrastructure improvements if the market remains competitive.
The takeaway
Antitrust regulations often require companies to shed assets to ensure that public infrastructure projects remain affordable for taxpayers. Maintaining a diverse supplier base is a primary mechanism for state authorities to control costs in the construction sector.
Further reading
Learn more about local industry regulations on the New Jersey Construction page.
Source note: This article includes information reported by WRNJ Radio.
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