The June Producer Price Index (PPI) report from the U.S. Bureau of Labor Statistics shows price level of inputs to residential construction less energy (that is, building materials) remained unchanged in June 2023 (not seasonally adjusted). March was the last month this year in which prices increased, The National Association of Home Builders' Eye on Housing reports, and so far the index has gained 0.5% year-to-date.
In fact, the PPI for goods inputs to residential construction, including energy, declined 3.6% during the past 12 months—the largest 12-month decrease since October 2009—with June being the second consecutive month in which prices remained unchanged. Prices for steel mill products and gypsum building materials both dropped slightly in June, while the PPI for softwood lumber increased.
Ready-mix concrete (RMC) prices increased 0.5% in June. The PPI for RMC has risen each of the last 15 months, 27 of the last 30, and has climbed 12.3% over the past year. On a positive note, however, price growth slowed 0.8 percentage point over the month and the average monthly increase has declined from 1.0% in 2022 to 0.7% in 2023.
Advertisement
Related Stories
Awards
6th Annual Most Valuable Product Awards
Drumroll ... Please join us in celebrating our 6th Annual MVP Awards winners, which represent the best in innovative building products
Sustainability
Fortera Takes Concrete Steps to Reduce the Climate Impact of Cement
Clean-tech company Fortera, which uses technology to capture carbon emissions form cement manufacturing, will open its first commercial-scale operation on April 12, 2024, in California
Building Materials
Lumber Leads Building Materials Prices Higher in March
Overall, the cost of building materials rose during March, with softwood lumber, gypsum products, and concrete all seeing price increases. Only steel mill materials saw price drops