Construction input prices rose 2.3% in May compared to the previous month, according to an Associated Builders and Contractors analysis of U.S. Bureau of Labor Statistics Producer Price Index data. Nonresidential construction input prices also increased 2.3% for the month. Construction input prices are up 21.4% from a year ago, while nonresidential construction input prices are 21.9% higher. Input prices rose in 10 of 11 subcategories in May. The largest price increases were in natural gas (+39.7%) and unprocessed energy materials (+16.3%).

Associated Builders and Contractors reported that its Construction Backlog Indicator increased to nine months in May from 8.8 months in April, according to an ABC member survey conducted May 17-June 3. The reading is up one month from May 2021. Backlog in the infrastructure segment jumped from 8.7 months in April to 9.3 months in May, and the Northeast and South regions continue to outperform the middle states and the West. Contractors with more than $100 million in annual revenues enjoyed the highest backlog, at 13.2 months. ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels declined … Read more