About Amerisurv| Contact    
Magazine | Newsletter    
Flickr Photos | Advertise    
HomeNewsNewsletterAmerisurv DirectoryJobsStoreAuthorsHistoryArchivesBlogVideosEvents
Register to receive the Amerisurv Newsletter | Also See Our LiDAR News Newsletter | RSS Feed  
advertisement


Subscriptions
Sponsored By

Software Reviews
Continuing Series
     RTN
An RTN expert provides everything you need to know about network-corrected real-time GNSS observations.
Click Here to begin the series,
or view the Article PDF's Here
76-PageFlip Compilation
of the entire series
Test Yourself

Got Answers?
Test your knowledge with NCEES-level questions.
  Start HERE
Meet the Authors
Check out our fine lineup of writers. Each an expert in his or her field.
Wow Factor
Sponsored By


Product Reviews
Partner Sites

machinecontrolonline 


lbszone.com

GISuser.com

GeoJobs.biz

GeoLearn

 

Spatial Media LLC properties

Associates

ASPRS

newsnow 

  The American Surveyor     

Construction Material Price Expansion Continues in March, ABC Says Print E-mail
Written by Associated Builders and Contractors   
Tuesday, 10 April 2018

Washington, April 10—Prices for inputs to construction materials expanded 0.8 percent in March and are 5.8 percent higher than at the same time one year ago, according to an Associated Builders and Contractors (ABC) analysis of U.S. Bureau of Labor Statistics data released today. Prices for nonresidential construction inputs increased 0.9 percent on a monthly basis and are up 5.6 percent year over year.

The upward pressure on construction materials prices was masked to a certain extent by natural gas. Natural gas prices fell 32.1 percent in March—after rising 23.5 percent in February—and are down nearly 13 percent on an annual basis. In stark contrast, crude petroleum prices expanded 5 percent in March and are up 34 percent year over year. Predictably, steel prices rose in March, but larger increases are forthcoming as the price of steel to be delivered is increasingly subject to the renegotiation of expiring contracts.

“Construction backlog and other data indicate that leaders at the typical nonresidential construction firm expect their company to be busy in 2018, but that meaningfully expanding profit margins may prove challenging,” said ABC Chief Economist Anirban Basu. “A combination of economic momentum and dueling tariffs has served to accelerate construction input price growth in categories that have been featured in recent trade disputes, such as steel/iron and softwood lumber.

“Ongoing increases in employee compensation strongly suggest that the cost of delivering construction services is set to rise substantially in 2018,” said Basu. “So far, there is little evidence to suggest that purchasers of construction services have been significantly discouraged by rising prices in the context of an improving economy. However, construction spending growth continues to be only moderate, and further cost increases may induce more developers and other purchasers to postpone projects. Growing uncertainty regarding the availability of domestic steel and other inputs during the latter stages of 2018 also may have a chilling effect on some project starts.

“The hope is that uncertainty emerging from the policymaking environment will quickly abate,” said Basu. “Many agree that there are opportunities for the United States to improve its access to foreign markets, but also that the eruption of full-blown trade wars could bring the current economic expansion to a halt. That would not be good for contractors in terms of demand for their services. It also likely would translate into additional significant increases in overall materials costs as tariffs take hold, which presumably would further dampen profit margin growth.”
 
Visit ABC Construction Economics for the Construction Backlog Indicator, Construction Confidence Index and state unemployment reports, plus analysis of spending, employment, GDP and the Producer Price Index.

About ABC
Associated Builders and Contractors (ABC) is a national construction industry trade association established in 1950 that represents more than 21,000 members. Founded on the merit shop philosophy, ABC and its 70 chapters help members develop people, win work and deliver that work safely, ethically and profitably for the betterment of the communities in which ABC and its members work. Visit us at abc.org.

 
< Prev   Next >

deliciousrssnewsletterlinkedinfacebooktwitter

Amerisurv Exclusive Online-only Article ticker
Featured Amerisurv Events
List Your Event Here
please
contact Amerisurv


Google
 
AMERISURV TOP NEWS

Javad Intros
Total Solution

GOT NEWS? Send To
press [at] amerisurv.com
Online Internet Content

Sponsor


News Feeds

 
Subscribe to Amerisurv news & updates via RSS or get our Feedburn
xml feed

Need Help? See this RSS Tutorial

Historic Maps
Careers

post a job
Reach our audience of Professional land surveyors and Geo-Technology professionals with your GeoJobs career ad. Feel free to contact us if you need additional information.

 

Social Bookmarks

Amerisurv on Facebook 

Amerisurv LinkedIn Group 

Amerisurv Flickr Photos 

Amerisurv videos on YouTube 

twitter

 




The American Surveyor © All rights reserved / Privacy Statement
Spatial Media LLC
7820B Wormans Mill Road, #236
Frederick MD 21701
301-620-0784
301-695-1538 - fax