Building materials made of steel, copper and other metals had some of the highest price growth rates in the U.S. in the first half of 2025 in comparison to the previous year. The growth rate of the cost of several construction materials was slightly lower than in late 2024. It is important to note, though, that the figures provided are Producer Price Indices, which cover production within the United States, but do not include imports or tariffs. This might matter for lumber, as Canada's wood production is normally large enough that the U.S. can import it from its neighboring country. Construction material prices in the United Kingdom Similarly to these trends in the U.S., at that time the price growth rate of construction materials in the UK were generally lower 2024 than in 2023. Nevertheless, the cost of some construction materials in the UK still rose that year, with several of those items reaching price growth rates of over **** percent. Considering that those materials make up a very big share of the costs incurred for a construction project, those developments may also have affected the average construction output price in the UK. Construction material shortages during the COVID-19 pandemic During the first years of the COVID-19 pandemic, there often were supply problems and material shortages, which created instability in the construction market. According to a survey among construction contractors, the construction materials most affected by shortages in the U.S. during most of 2021 were steel and lumber. This was also a problem on the other side of the Atlantic: The share of building construction companies experiencing shortages in Germany soared between March and June 2021, staying at high levels for over a year. Meanwhile, the shortage of material or equipment was one of the main factors limiting the building activity in France in June 2022.

Between 2018 and 2021, the cost of construction materials mostly increased in the United Kingdom. There was only a small decrease in their price in 2020. In 2021, the costs reached a *** percent growth rate. Moreover, building materials costs are expected to grow by **** percent in 2022. Nevertheless, these figures were calculated at the end of 2021, and therefore do not reflect the developments seen afterwards.

Graph and download economic data for Producer Price Index by Industry: Building Material and Supplies Dealers (PCU44414441) from Dec 2003 to Sep 2025 about dealers, materials, supplies, buildings, PPI, industry, inflation, price index, indexes, price, and USA.

The prices of many construction materials in the United Kingdom kept increasing in 2024, but more moderately than in previous years. There were also several building materials whose prices fell that year. One of the most extreme examples was the price of flexible plastic pipes and fittings, which rose by over ** percent that year. The price of a couple steel products fell by over ** percent that year. In late 2024, copper-based products were among the building materials with the highest price increases in the U.S.

Graph and download economic data for Producer Price Index by Commodity: Special Indexes: Construction Materials (WPUSI012011) from Jan 1947 to Aug 2025 about materials, construction, commodities, PPI, inflation, price index, indexes, price, and USA.

Building construction price indexes (BCPI), percent change, by type of building and construction division. Quarterly data are available from the first quarter of 1982. The table presents quarter-over-quarter and year-over-year percentage changes for various aggregation levels. The base period for the index is (2017=100).

The index relates to costs ruling on the first day of each month. NATIONAL HOUSE CONSTRUCTION COST INDEX; Up until October 2006 it was known as the National House Building Index Oct 2000 data; The index since October, 2000, includes the first phase of an agreement following a review of rates of pay and grading structures for the Construction Industry and the first phase increase under the PPF. April, May and June 2001; Figures revised in July 2001due to 2% PPF Revised Terms. March 2002; The drop in the March 2002 figure is due to a decrease in the rate of PRSI from 12% to 10¾% with effect from 1 March 2002. The index from April 2002 excludes the one-off lump sum payment equal to 1% of basic pay on 1 April 2002 under the PPF. April, May, June 2003; Figures revised in August'03 due to the backdated increase of 3% from 1April 2003 under the National Partnership Agreement 'Sustaining Progress'. The increases in April and October 2006 index are due to Social Partnership Agreement "Towards 2016". March 2011; The drop in the March 2011 figure is due to a 7.5% decrease in labour costs. Methodology in producing the Index Prior to October 2006: The index relates solely to labour and material costs which should normally not exceed 65% of the total price of a house. It does not include items such as overheads, profit, interest charges, land development etc. The House Building Cost Index monitors labour costs in the construction industry and the cost of building materials. It does not include items such as overheads, profit, interest charges or land development. The labour costs include insurance cover and the building material costs include V.A.T. Coverage: The type of construction covered is a typical 3 bed-roomed, 2 level local authority house and the index is applied on a national basis. Data Collection: The labour costs are based on agreed labour rates, allowances etc. The building material prices are collected at the beginning of each month from the same suppliers for the same representative basket. Calculation: Labour and material costs for the construction of a typical 3 bed-roomed house are weighted together to produce the index. Post October 2006: The name change from the House Building Cost Index to the House Construction Cost Index was introduced in October 2006 when the method of assessing the materials sub-index was changed from pricing a basket of materials (representative of a typical 2 storey 3 bedroomed local authority house) to the CSO Table 3 Wholesale Price Index. The new Index does maintains continuity with the old HBCI. The most current data is published on these sheets. Previously published data may be subject to revision. Any change from the originally published data will be highlighted by a comment on the cell in question. These comments will be maintained for at least a year after the date of the value change. Oct 2008 data; Decrease due to a fall in the Oct Wholesale Price Index.

The construction output price in the United Kingdom has reached an annual growth rate of *** percent in June 2025 compared to the same month of the previous year. Construction costs had been increasing at a lower rate than in 2022 and 2023, but started rising again slowly in late 2024. The year-over-year growth rate was over ** percent in May and July 2022. Public and private housing was the construction segment with the highest output price increase. How have material costs developed over the years? Several factors influence construction material costs, including supply and demand, regulatory requirements, and transportation logistics. Manufacturing efficiency and global trade policies also play a big part, along with economic factors like inflation and currency fluctuations. In June 2022, the price of construction materials for new houses in the UK were ** percent higher than in 2015. What is the largest component of those costs? Labor costs are often one of the largest expenses in construction projects. That is due to the skilled nature of the work, which has a high demand for specialized trades. The construction sector's labor costs accounted for around ** percent of the sector's earnings in the United Kingdom in 2024. In the past years, the size of labor costs as a share of the construction sector have increased slightly, but they were still lower than in before 2014. As of June 2025, the construction output price growth rate has been revised to *** percent.

Construction Output Price Indices (OPIs) from January 2014 to September 2025, UK. Summary

United States - Producer Price Index by Industry: Building Material and Supplies Dealers was 219.88900 Index Dec 2003=100 in August of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Industry: Building Material and Supplies Dealers reached a record high of 259.21300 in March of 2022 and a record low of 100.00000 in December of 2003. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Industry: Building Material and Supplies Dealers - last updated from the United States Federal Reserve on October of 2025.

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Advanced Building Materials Market Size 2025-2029

The advanced building materials market size is forecast to increase by USD 16.21 billion at a CAGR of 4.7% between 2024 and 2029.

Advanced building materials continue to gain traction in the construction industry due to several key trends. The rise in the number of smart cities is driving the demand for advanced building materials such as smart glass, solar panels, and digital technologies for energy efficiency and sustainability. Additionally, there is a growing preference for eco-friendly and recycled materials, including insulation, sealants, and greenhouse gases-absorbing concrete. Uncertain macroeconomic conditions have also led to an increased focus on cost-effective and durable construction materials such as Structural Insulated Panels (SIPs), ready-mix concrete, and steel. Furthermore, the trend towards green buildings and energy-efficient residential real estate is expected to continue, with a focus on reducing carbon footprints and improving indoor air quality. Boron-based materials, such as boron nitride nanotubes, are also gaining attention for their potential to enhance the properties of cement and roofing materials. Overall, the market in the US is poised for significant growth, driven by these trends and the need for sustainable, cost-effective, and energy-efficient solutions.

What will be the Size of the Advanced Building Materials Market During the Forecast Period?

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The market encompasses a broad range of innovative and high-performance materials that are transforming the construction industry. These materials, which include cross-laminated timber, structural insulated panels, sealants, ready-mix concrete, precast products and elements, Ondura, advanced cement, and various green materials, are driving the sector's growth through their ability to reduce construction time, enhance energy efficiency, and offer cost-effective solutions. The market's size is significant, with continued expansion expected due to the global focus on decarbonization and the circular economy. Key trends include the increasing adoption of green materials, such as those derived from renewable sources, and the integration of smart technologies into building materials.
Traditional construction materials, such as cement and concrete, are also undergoing advancements to improve their sustainability and performance. Energy-efficient buildings and infrastructure are major applications for these advanced materials, with high-performance windows, insulation materials, and smart glass playing crucial roles. Companies are at the forefront of this innovation, developing and implementing new materials and technologies to meet the evolving needs of the construction industry.

How is this Advanced Building Materials Industry segmented and which is the largest segment?

The advanced building materials industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  ACC
  Cross-laminated timber
  Sealants
  Structural insulated panel
  Others


End-user

  Commercial
  Industrial
  Residential


Product Type

  Green materials
  Composite materials
  Smart materials
  Nanomaterials


Geography

  APAC

    China
    India
    Japan


  Europe

    Germany
    UK
    France
    Italy


  North America

    Canada
    US


  Middle East and Africa



  South America

    Brazil

By Type Insights

The ACC segment is estimated to witness significant growth during the forecast period.

The advanced cement and concrete market is experiencing significant innovations, transforming the construction industry with materials offering superior durability, strength, and environmental benefits. Technologies such as photocatalytic cement, self-healing concrete, and high-performance additives are gaining popularity. Governments and organizations worldwide support the adoption of modern cement and concrete to reduce carbon emissions and enhance infrastructure durability. Notable advancements include Ultra-High-Performance Concrete (UHPC), which provides exceptional strength and longevity, reducing the need for bulky reinforcements and lowering maintenance costs. Cross-laminated timber, structural insulated panels, insulated concrete forms, energy-efficient windows, engineered lumber, and other green materials are also revolutionizing the building construction sector.

Companies are at the forefront of these innovations, focusing on sustainable construction practices and decarbonization. Infrastructure projects and urbanization in sectors such as residential, commercial, and infrastructure benefit from these high-performance materials, which offer energy efficiency, soundproofing, moisture resistance, and resistan

The prices of most construction materials in Mexico increased from January to October 2024. Ready-mixed concrete increased its cost by over 8.6 percent from 2023 to the first 10 months of 2024. Meanwhile, the price of wire products decreased by **** percent during that period. Building material costs in the United States followed a similar trend that year.

China Purchasing Price Index: Building Material data was reported at 94.300 Prev Year=100 in 2024. This records an increase from the previous number of 94.100 Prev Year=100 for 2023. China Purchasing Price Index: Building Material data is updated yearly, averaging 102.600 Prev Year=100 from Dec 1986 (Median) to 2024, with 39 observations. The data reached an all-time high of 140.900 Prev Year=100 in 1993 and a record low of 94.100 Prev Year=100 in 2023. China Purchasing Price Index: Building Material data remains active status in CEIC and is reported by National Bureau of Statistics. The data is categorized under China Premium Database’s Inflation – Table CN.IE: Purchasing Price Index.

In March 2025, Poland's price growth rate for construction materials was negative, reaching **** percent, a *** percentage point decrease from the previous year.

Brazil Construction Cost: Materials data was reported at 574.700 BRL/sq m in Oct 2018. This records an increase from the previous number of 570.790 BRL/sq m for Sep 2018. Brazil Construction Cost: Materials data is updated monthly, averaging 326.040 BRL/sq m from Jul 1994 (Median) to Oct 2018, with 292 observations. The data reached an all-time high of 574.700 BRL/sq m in Oct 2018 and a record low of 156.680 BRL/sq m in Jan 1999. Brazil Construction Cost: Materials data remains active status in CEIC and is reported by Brazilian Institute of Geography and Statistics. The data is categorized under Global Database’s Brazil – Table BR.EA003: Construction Cost: Average: By Region and State. Average costs at the level of Federation Units: Costs are estimated by the weighted average of the costs of residential projects with a normal finishing standard; For this calculation, the weight (relative importance) of each project is considered in the most populous municipality of each geographic area.

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US Residential Construction Market Size 2025-2029

The us residential construction market size is valued to increase USD 242.9 million, at a CAGR of 4.5% from 2024 to 2029. Increasing household formation rates will drive the us residential construction market.

Major Market Trends & Insights

By Product - Apartments and condominiums segment was valued at USD 509.50 million in 2022
By Type - New construction segment accounted for the largest market revenue share in 2022

Market Size & Forecast

Market Opportunities: USD 39.65 million
Market Future Opportunities: USD 242.90 million
CAGR from 2024 to 2029 : 4.5%

Market Summary

The Residential Construction Market in the US is a dynamic and evolving industry, shaped by various factors and trends. Core technologies and applications, such as Building Information Modeling (BIM) and energy-efficient systems, are increasingly adopted to enhance project efficiency and sustainability. In fact, the use of BIM in residential construction is projected to reach 50% penetration by 2025, according to industry reports. Service types and product categories, including general contracting, design-build, and modular housing, cater to diverse residential construction needs. However, challenges persist, including rising material costs and skilled labor shortages for large-scale residential real estate projects. Regulations, such as the International Energy Conservation Code, drive the focus on sustainability in residential construction projects. The regional landscape is diverse, with the South and West regions leading in residential construction activity due to population growth and favorable economic conditions. These evolving market dynamics offer significant opportunities for industry players to innovate and adapt to the changing landscape.

What will be the Size of the US Residential Construction Market during the forecast period?

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How is the Residential Construction in US Market Segmented and what are the key trends of market segmentation?

The residential construction in us industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. ProductApartments and condominiumsLuxury HomesOther typesTypeNew constructionRenovationApplicationSingle familyMulti-familyConstruction MaterialWood-framed ConcreteSteel Modular/PrefabricatedGeographyNorth AmericaUS

By Product Insights

The apartments and condominiums segment is estimated to witness significant growth during the forecast period.

The residential construction market in the US continues to evolve, with apartments and condominiums being key contributors to its growth. Urbanization is a significant driver, as more Americans opt for the convenience and amenities of city living. In response, developers are constructing modern, sustainable, and community-focused high-rise buildings and condominium complexes. Smart home technology and energy efficiency standards are becoming increasingly important in these projects, with Building Information Modeling (BIM) software guiding the design process. Modular construction, geotechnical engineering, and quality control measures ensure structural integrity and safety. Building codes and permitting processes are strictly adhered to, with green building certifications such as LEED and Energy Star driving the adoption of sustainable building practices. Masonry techniques, foundation design, and exterior cladding are essential elements of the construction process, with insulation materials and HVAC systems ensuring energy efficiency. Safety regulations govern electrical wiring, roofing systems, and plumbing fixtures. Construction scheduling is facilitated by project management software, with prefabricated components and 3D building modeling streamlining the process. Construction automation and waste management are also crucial considerations, with cost estimation models helping developers stay within budget. Environmental impact assessments and structural engineering studies are essential to minimize the environmental footprint and ensure safety. Framing techniques and foundation design are optimized for durability and cost-effectiveness. Safety regulations and quality control measures are strictly enforced to ensure the safety and satisfaction of residents. Overall, the residential construction market in the US is dynamic and forward-thinking, with a focus on sustainability, safety, and community.

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The Apartments and condominiums segment was valued at USD 509.50 million in 2019 and showed a gradual increase during the forecast period.

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Market Dynamics

Our researchers analyzed the data with 2024 as

Building construction price indexes (BCPI) by type of building. Quarterly data are available from the second quarter of 1982. The table presents quarter-over-quarter and year-over-year percentage changes for various aggregation levels. The base period for the index is (2017=100).

The Global Advanced Building Material market size was USD 57.21 million in 2022. Advanced Building Material Industry's Compound Annual Growth Rate will be 7.2% from 2023 to 2030. Market Dynamics of Advanced Building Material

Key Drivers of Advanced Building Material Market

Growing Government Expenditure to Provide Viable Market Output

Rising government expenditures in infrastructural development projects have become a key driver for the Advanced Building Material market. Increased funding for projects such as roads, bridges, and urban development demands innovative and durable materials that offer enhanced performance and sustainability.

In May 2021, Saint-Gobain invested around $320 million in India to establish manufacturing facilities for advanced building materials like advanced concrete and 3D printing. This strategic move aims to expedite construction timelines and enable timely project completion. Such initiatives play a pivotal role in boosting the growth of the advanced building materials market.

(Source:timesofindia.indiatimes.com/city/chennai/saint-gobain-to-invest-6k-cr-to-8k-cr-by-cy2025/articleshow/99858754.cms?from=mdr)

This trend not only stimulates demand for advanced materials but also encourages industry research and development, further propelling market growth and innovation.

Key restraints in Advanced Building Material Market

High Initial Investments Challenging the Hinder Market Growth

High initial investments pose a significant challenge in the market. Adopting advanced building materials often requires substantial upfront research, development, production setup, and specialized equipment costs. This can deter some businesses, particularly smaller ones, from entering the market. Additionally, construction projects with budget constraints might shy away from these materials, impacting their widespread adoption. Overcoming this challenge requires demonstrating the long-term benefits, such as energy savings, durability, and reduced maintenance, to justify the initial investments and encourage more widespread use of advanced building materials.

Impact Of COVID-19 on the Advanced Building Material Market

COVID-19 disrupted the Advanced Building Material Market by causing supply chain disruptions, labor shortages, and project delays. Lockdowns and restrictions halted construction activities, leading to reduced demand. Uncertainty prompted cautious spending on new materials. However, the pandemic highlighted the importance of resilient and sustainable materials, accelerating innovation interest. Remote work trends influenced building designs, boosting demand for technology-integrated materials. Introduction of Advanced Building Material

The Advanced Building Material Market is experiencing growth due to several factors. Increasing construction and infrastructure projects, urbanization, and population growth drive demand. Technological advancements lead to innovative materials and sustainable solutions, attracting investment. Additionally, rising awareness about energy efficiency and environmental concerns promotes the adoption of eco-friendly materials. These factors collectively contribute to the expansion of the Advanced Building Material Market.

In April 2022, Sherwin-Williams Co. purchased Sika AG's European industrial coatings business to expand its coating solutions. This acquisition is expected to enhance the company's customer outreach significantly.

(Source:www.pcimag.com/articles/109982-sherwin-williams-completes-acquisition-of-sikas-european-industrial-coatings-business)

Overall, the price of most of the materials used in construction in Germany decreased in 2024 Only the price of lime and burnt gypsum and the cost of repairing mining, construction, and building material machines increased at a rate of over **** percent in 2024. The price of most building materials either increased by less than *** percent or they fell. In 2023, one of the construction materials in Spain with the highest price increase was cement.

Building Material Online Price Index Platform Market Outlook

According to our latest research, the global Building Material Online Price Index Platform market size reached USD 1.42 billion in 2024, driven by accelerating digital transformation in the construction sector and the increasing need for real-time, transparent pricing data. The market is projected to grow at a robust CAGR of 12.7% from 2025 to 2033, reaching a forecasted value of USD 4.18 billion by 2033. This growth is underpinned by the rising adoption of cloud-based solutions, increased construction activity worldwide, and the imperative for cost optimization and supply chain efficiency in building projects.

Several key growth factors are propelling the expansion of the Building Material Online Price Index Platform market. First, the global construction industry is experiencing a significant digital shift, with stakeholders increasingly demanding accurate, up-to-date information on material costs. The volatility in raw material prices, coupled with supply chain disruptions, has underscored the need for platforms that can provide instant price comparisons and historical trends. This has led to a surge in demand for sophisticated software and services capable of aggregating and analyzing vast datasets, thereby enabling informed decision-making and improved project budgeting. Furthermore, the integration of Artificial Intelligence and Machine Learning into these platforms has enhanced their predictive capabilities, offering stakeholders valuable insights into future price movements and market dynamics.

Another critical driver is the growing emphasis on transparency and accountability in construction procurement processes. Governments and regulatory bodies in major markets like North America, Europe, and Asia Pacific are increasingly mandating the use of digital tools to ensure fair competition and reduce instances of price manipulation or collusion. This regulatory push, combined with a broader industry trend towards digital procurement, is fostering the adoption of online price index platforms. Additionally, the proliferation of mobile and web-based solutions has made these platforms more accessible to a wider range of users, including small and medium enterprises (SMEs) and independent contractors, further fueling market growth.

The expansion of infrastructure and urbanization projects, particularly in emerging markets, is also contributing to the rising demand for Building Material Online Price Index Platforms. Countries in Asia Pacific and the Middle East are investing heavily in large-scale construction, necessitating efficient procurement strategies and real-time market intelligence. The ability of these platforms to centralize pricing data from diverse suppliers, offer customizable dashboards, and integrate with existing enterprise resource planning (ERP) systems makes them indispensable tools for modern construction management. As a result, both public and private sector entities are increasingly incorporating these platforms into their project planning and execution workflows.

Regionally, Asia Pacific stands out as the fastest-growing market, accounting for a significant share of global revenues in 2024. This growth is primarily driven by rapid urbanization, government-led smart city initiatives, and a booming construction sector in countries like China, India, and Southeast Asian nations. North America and Europe also represent substantial markets, benefiting from early adoption of digital solutions and a mature construction ecosystem. Meanwhile, the Middle East & Africa and Latin America are witnessing steady growth as local players embrace digital transformation to enhance competitiveness and efficiency. The regional dynamics suggest a bright outlook for the market, with ample opportunities for innovation and expansion across all major geographies.

In the realm of modern construction, the Off-Site Prefab Scheduling Platform is emerging as a game-changer, offering unprecedented efficiency and precision. This platform facilitates the coordination and scheduling of prefabricated components, ensuring that they arrive on-site at the optimal time for seamless integration into the construction process. By leveraging advanced algorithms and real-time data, the platform enhances project timelines and reduces the risk of delays, w