The producer price index for inputs to new residential construction surged 20.1% year-over-year in April, according to an analysis by the Associated General Contractors of America.
Compared with March, the PPI increased 0.8%. The producer price index for inputs to new nonresidential construction increased 20.9% from April 2021 and 0.8% since March.
“Nonresidential contractors have endured twelve months of 20-percent increases in the cost of items they need to build projects,” stated Ken Simonson, AGC’s chief economist. “While they have been able to pass some of those increased costs on to clients, most of those increases have come out of their own bottom line.”
Architectural coatings prices surged 32.1% from April 2021, while lumber and plywood prices remained unchanged from April 2021. Truck transportation of freight prices surged 27.4% year-over-year.
The full AGC report can be found here.
