U.S. producer price index of construction materials 1947-2021

The production price index (PPI) for construction materials and components in the United States has risen fairly steadily, reaching over 300 in 2021, compared with the baseline of 100 in 1982. A PPI of 303.4 in 2021, indicates that the real-world price has risen by 203.4 percent in comparison to the base year - 1982 in this case. Similarly, under the same baseline, the PPI for construction machinery and equipment has also risen steadily. Like all prices, there are regional differences within the United States, as noted by the cost index of construction materials, installation, and composites within different cities. The PPI acts as a measurement for the average changes in prices that domestic producers receive for their output. In the United States, the PPI is one of the oldest continuous statistical datasets published by the government.

Common construction materials

Some building materials are essential to construction work, and the decision on which to use is important for the life and the endurance of the building. Materials such as cement, steel, and sand are essential to many construction projects. The production of cement is tightly linked to the demand that comes from the construction industry. The durability and potency of steel gives it an advantage over wood and concrete, providing buildings with a higher resistance but a cheaper price tag. Sand is commonly used in buildings but is especially common in roads that require stones of various grades and granulation.