Overall US construction and steel input prices increased month-on-month in October, Kallanish learns from the most recent analysis of the Bureau of Labor Statistics' (BLS) producer price index (PPI) by Associated Builders and Contractors (ABC).

According to the latest BLS data, the overall costs increased by 0.3% on-month in October. October steel mill product prices increased by 0.7% m-o-m and iron/steel prices increased by 1.2%. Hot rolled bar, plate and structural shape steel product prices were unchanged.

“Higher energy prices drove the increase in construction input prices observed in October,” states ABC chief economist Anirban Basu. “While prices for a few other materials, like concrete and copper products, also rose for the month, overall input prices are lower than they were one year ago and have fallen 5% since reaching an all-time high in June 2022.”

“Heading into 2025, it’s unclear if prices will remain so well-behaved,” Basu adds. “The next administration’s trade policy increases uncertainty regarding construction materials costs. Beyond the implications of potential tariffs, input prices may rise in the short term if purchasers rush to import materials prior to the implementation of those policies.”

Monthly steel construction prices are down on a year-on-year basis. Iron/steel input prices and steel mill products are lower by 6.9% and 10.3% y-o-y, respectively. Hot rolled steel bars, plates and structural shapes pricing is down 9.3% y-o-y.