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Construction materials prices on the rise

Apr, 13 2012

Price for construction materials rose in March while prices contractors charged to complete work remained flat.

The Associated General Contractors of America said the increases are putting more financial pressure on the already strained industry.

“Price shocks for a number of key construction materials may have caught contractors by surprise in a period when overall inflation remained very moderate,” said Ken Simonson, the association’s chief economist. “Even though the increases are generally small … contractors have not been able to pass along these new costs, putting firms at risk of insolvency.”

For instance, diesel fuel was up 3.5 percent after rising 3.0 percent in February; wallboard rose 2.2 percent after increasing 5.1 percent in February and 5.9 percent in January.

By Christopher Quinn


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