Prices for contruction inputs decreased 0.1% in April compared to March, according to the Associated Builders and Contractors, but construction equipment bucked the trend, increasing 1.1% in the same period.
Compared to April 2024, construction machinery and equipment is up 1.6%. Prices are 32% higher than in February 2020.
Read today’s top news.
“Construction input prices declined in April, but that was largely due to falling energy prices,” said Anirban Basu, chief economist, in a statement. “Materials directly affected by tariffs saw sharp price increases for the month. Steel mill product prices, for instance, rose 5.9%, while copper wire and cable prices increased 5.0%.
“While recent developments have reduced tariff-related uncertainty, the 25% tax on steel and aluminum imports remains in place, and a sudden resumption in imports from China could cause an increase in shipping prices. Despite the upward pressure that these factors will put on input prices, just 1 in 4 contractors expect their profit margins to contract over the next six months, according to ABC’s Construction Confidence Index.”
