The new residential construction producer price index declined 0.2% month-over-month in June, as some construction materials recorded price declines, according to an analysis by the Associated General Contractors of America.
Compared with June 2021, residential construction material costs were up 8.6%. The producer price index for new nonresidential construction was up 1.1% from May and up 16.8% year-over-year.
“Some materials prices have fallen recently, but others appear headed for further increases,” stated Ken Simonson, chief economist for the Associated General Contractors. “Since these prices were collected, producers of gypsum, concrete, and other products have announced or implemented new increases.”
The PPI for lumber and plywood dropped 14.7% from May and declined 26.9% year-over-year. Architectural coatings costs increased 0.1% month-over-month and 30.8% year-over-year.
The price index for diesel fuel surged 14.1% from May and was up 111.1% compared with June 2021.
The full AGC report can be found here.
