The construction materials price index for nonresidential buildings fell 0.3% in April extending the decline since the September index peak to 13.1%. Prices for the mix of materials used in nonresidential construction prices are back to the December 2007 level before the 14% jump in prices from March through September.
The materials price index is expected to decline slowly for a few more months but be rising modestly again by the end of the year and rising more quickly next year, perhaps up 4–5% from the 2009 average.
April's price drop was led by structural steel (7.3%) and plywood (-3.3%). The only significant April price increases were for diesel (20.5%) and nonferrous pipe and tube (20.9%) which had both declined in March. Rising scrap and ore prices mean rising nonferrous product prices for at least several months. The Energy Department reports that diesel pump prices were unchanged from the April to the May price survey week.
| Percent Change in ..... | 1 month | 3 months | 12 months | 3 years |
| Source: Producer Price Index. Bureau of Labor Statistics | ||||
| Construction commodities | ||||
| Cement | 0.8 | -0.2 | 0.0 | 6.1 |
| Construction sand, gravel & crushed stone | 0.5 | 1.4 | 5.5 | 23.1 |
| Softwood plywood | -3.3 | -4.9 | -12.7 | -21.1 |
| Softwood lumber | 1.6 | -2.6 | -10.7 | -32.5 |
| Manufactured materials | ||||
| Gypsum products | -0.2 | -1.2 | 5.3 | -17.5 |
| Diesel fuel | 20.5 | -2.6 | -56.2 | -30.6 |
| Paint | 0.1 | 0.1 | 12.4 | 22.5 |
| Plastic construction products | -0.5 | -0.6 | 3.0 | 1.9 |
| Vitreous plumbing fixtures | 2.3 | 2.4 | 4.2 | -1.9 |
| Ceramic tile | -2.0 | -1.4 | -0.2 | 1.6 |
| Flat glass | -0.4 | -1.0 | 2.9 | 2.7 |
| Hot-rolled bars, plates, and structural shapes | -7.3 | -15.7 | -25.9 | -2.0 |
| Extruded aluminum rod, bar, and other shapes | 1.2 | -4.3 | -26.3 | -18.2 |
| Architectural metalwork | 0.6 | -2.4 | 12.1 | 24.7 |
| Metal plumbing fixtures | 0.5 | 0.2 | 2.2 | 13.1 |
| Builders' hardware | 0.5 | -2.7 | 6.8 | 20.4 |
| Sheet metal products | -0.6 | -3.6 | 0.2 | 9.9 |
| Nonferrous pipe and tube | 20.9 | 26.7 | -28.5 | -1.3 |
| Building brick | 0.5 | -0.2 | 0.1 | 0.8 |
| Ready-mix concrete | -1.0 | -1.9 | 3.4 | 10.7 |
| Concrete block and brick | 0.3 | -0.1 | 3.3 | 10.1 |
| Millwork (window, door, cabinet) | -0.2 | 0.7 | 1.7 | 5.3 |
| Engineered wood products | -1.3 | -3.3 | -2.6 | -14.6 |
| Metal doors, sash, and trim | -0.8 | 0.2 | 5.4 | 9.2 |
| Summary | ||||
| Construction materials (commodity level) | -2.3 | -3.1 | -1.7 | 4.9 |
| Inputs to construction industries | -0.4 | -1.6 | -3.6 | 6.4 |
| Inputs to nonresidential construction | -0.3 | -1.6 | -5.2 | 6.3 |
Related Stories
| Aug 11, 2010
Burt Hill, HOK top BD+C's ranking of the nation's 100 largest university design firms
A ranking of the Top 100 University Design Firms based on Building Design+Construction's 2009 Giants 300 survey. For more Giants 300 rankings, visit http://www.BDCnetwork.com/Giants
| Aug 11, 2010
PBK, DLR Group among nation's largest K-12 school design firms, according to BD+C's Giants 300 report
A ranking of the Top 75 K-12 School Design Firms based on Building Design+Construction's 2009 Giants 300 survey. For more Giants 300 rankings, visit http://www.BDCnetwork.com/Giants
| Aug 11, 2010
Turner Building Cost Index dips nearly 4% in second quarter 2009
Turner Construction Company announced that the second quarter 2009 Turner Building Cost Index, which measures nonresidential building construction costs in the U.S., has decreased 3.35% from the first quarter 2009 and is 8.92% lower than its peak in the second quarter of 2008. The Turner Building Cost Index number for second quarter 2009 is 837.
| Aug 11, 2010
Turner, Structure Tone top BD+C's ranking of the 50 largest office contractors
A ranking of the Top 50 Office Contractors based on Building Design+Construction's 2009 Giants 300 survey. For more Giants 300 rankings, visit http://www.BDCnetwork.com/Giants
| Aug 11, 2010
AGC unveils comprehensive plan to revive the construction industry
The Associated General Contractors of America unveiled a new plan today designed to revive the nation’s construction industry. The plan, “Build Now for the Future: A Blueprint for Economic Growth,” is designed to reverse predictions that construction activity will continue to shrink through 2010, crippling broader economic growth.
