In Europe houses are typically seen as something you pass down for generations. That durability is hard to achieve with wood frames and drywall.

But the major driving force is probably wood prices. We have less forest, and those forests have been farmed for wood for centuries. Long straight hard timber takes way to long to grow to be used for anything but accent pieces. (Of course that's a bit of an oversimplification, countries with more forest like e.g. Sweden tend to build wooden houses in the countryside).

In industrial buildings you sometimes see something akin to American construction methods, but they usually use aluminum instead of wood