Price of construction materials rises 5.3% in Dec.

Posted 1/20/12

ARLINGTON, Va. – The national price of key construction materials rose 5.3 percent in December compared with a year ago, while contractor bids rose only between 3.3 and 4.7 percent year over year, according to the Associated General Contractors of America.

The increase in material prices combined with the slower pace of what builders are charging is eating away at profit margins of construction projects, Associated General Contractors Chief Economist Ken Simonson said in a news release with the December numbers, which were based on an analysis of Labor Department figures.

“Any relief contractors might get from the recent declines in material prices is being offset by their inability to increase prices for new construction projects,” Simonson said. “With overall demand relatively weak and public sector investments in construction declining rapidly, construction remains a buyer’s market.”

Specific materials that have risen year over year include diesel fuel, up 20.2 percent, steel mill products, up 11.3 percent, and asphalt paving mixtures up 8.4 percent. Meanwhile, the index measuring bids for new industrial buildings increased year over year a modest 3.3 percent, office construction rose 3.9 percent, warehouse construction increased 3.8 percent and school buildings jumped 4.7 percent.

PBN Hosted

Join PBN and two panels of successful female executives, business owners and entrepreneurs as we delve into what women should do to advance their careers, and become leaders in the corporate world and their own enterprises.
  • Book of Lists Party
    Save the date - January 15, 2015 for PBN's Book of Lists Party at the Providence ...
Purchase Data
Book of Lists
Book of Lists cover
PBN's annual Book of Lists has been an essential resource for the local business community for almost 30 years. The Book of Lists features a wealth of company rankings from a variety of fields and industries, including banking, health care, real estate, law, hospitality, education, not-for-profits, technology and many more.
Data icons
Data can be purchased as single lists, in either Excel or PDF format; the entire database of the published book, in Excel format; or a printed copy of the Book of Lists.
  • Purchase an e-File of a single list
  • Purchase an e-File of the entire Book of Lists database
  • Purchase a printed copy of the Book of Lists
    Latest News