The price that contractors say they would charge to tackle a building project has seen a marginal increase over May of this year and a more significant increase when compared with June of last year.
According to the Bureau of Labor Statistics, the producer price index for nonresidential projects was up by 0.4% over May, and 2.4% over June of 2020, during the first months of the pandemic.
At the same time, that same index measuring material costs saw a 3.8% jump since May and a large 26.3% over June of last year.
The increases, in fact, for most materials were for the most part all in the double-digit category, with insulation materials up by 10%, plastic construction products by 22%, aluminum mill shapes seeing a 33% rise; and steel mill products increased by 88%.
Two categories saw historic triple-digit increases in the last 12 months: lumber and plywood, up by 101%, and diesel fuel, with an increase of 127%.
Looking at all industries, the Labor Statistics Bureau noted a 5.5% increase in prices, which it characterized as the “largest advance since 12-month data were first calculated in August 2014.”
By Garry Boulard