The price of materials and services used in nonresidential construction declined by 1.1 percent from July to August as a steep drop in fuel prices masked increases in the cost of other construction inputs, according to an analysis by the Associated General Contractors of America of government data released today. Association officials cautioned that limited price declines cannot undo the harm of clogged supply lines and labor shortages.
“Today’s price report highlights the mixed conditions contractors are experiencing, with many costs still rising sharply while others take a breather,” said Ken Simonson, the association’s chief economist. “Meanwhile, an industry survey we recently released found that supply-chain issues and labor availability are delaying many construction projects.”
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