The prices for the design input rose by 1.4% compared to the previous month compared to the previous month, according to the analysis of the Associated Builders and Contractors, the analysis of the US Price Index data from the Bureau of Labor Statistics. The prices for non -free -free construction prices rose by 0.9%per month.
The total construction prices for construction are 1.3% higher than a year ago, while the prices for non -free -free construction prices are 0.7% higher. The prices rose in all three energy subcategories last month. The crude oil prices rose by 14.8%, while natural gas and unprocessed energy prices by 13.7%or. 13.0%rose.
“Material prices rose in January at the fastest monthly pace in two years,” said Anirban Basu, chief economist from ABC. “This fast escalation is largely due to three factors. First, energy prices rose strongly. Second, manufacturers often increase their prices at the beginning of the year. And thirdly, many buyers hurried to buy inputs before potential tariffs could come into force, and this increase in demand increased prices. “
“Of these three factors, the tariffs are the only ones that could continue to increase input prices in the coming months,” said Basu. “Import taxes enable domestic manufacturers to increase their prices, and the new 25% duties for steel and aluminum will lead to remaining when they stay in place. According to ABCS Construction Confidence Index, a strong majority of the contractors expect in the next six months, and the combination of increased demand for construction entrances and ongoing confusion of the supply chain suggests that the escalation of the input prices in the first half of 2025 could accelerate. “”