Material and equipment price increases and availability

Didn't want to derail DM's thread on heavy truck parts availability so let's start a new thread.

For the ones who purchase and install construction materials what are you seeing in terms of price increases and availability?

Here in AL the only RCP (reinforced concrete pipe) manufacturer originally went up 30% across the board and now is not taking any orders regardless of customer for at least 6 months. We purchase RCP through our pipe supplier which is the pipe manufacturers biggest buyer so size is not making a difference. Fortunately we have a couple of pre-cast manhole and structure manufacturers to choose from so that hasn't become an issue yet.

We can get HDPE (corrugated plastic), some PVC depending on type (corrugated, SDR grades, PVC) and ductile, although 4" ductile is very hard to find. All of the type pipes above just had a 15-20% price increase in the last month.

Since we install a fair amount of storm drainage I've had to scramble to substitute RCP with HDPE on our current and upcoming jobs. At least now most of the GC"s and owners know about the RCP shortage and don't look at me like I have 3 heads when I tell them we cannot get it.

Fortunately ALDOT approves HDPE and corrugated PVC (A2000) pipe so it's easier to persuade engineers to change the spec on private jobs. So far we can still get plastic pipe.

Ordered 80 LF of 8" ductile for a road crossing this week and it was $32 per LF. The real kicker is the pipe plant where they make the damn pipe is literally 10-12 miles from that job. Here in Central AL we have 2 large ductile iron pipe mills that produce 1,000's of feet of pipe.

Crushed stone has increased 15-25% as well with outages of certain screen sizes. Wanted 3/4 crush this week for a road crossing but had to settle on 8910 which is 1/4 to dust.

Thursday our silt fence subcontractor informed us that non-woven silt fence fabric is on an 8 week back order. If that's the case it's going to either stop alot of construction or muni's are going to have to accept other erosion control measures.

Equipment is hit or miss. Depending on machine Cat has plenty or none. We bought a B6 hammer for our 305 and picking it up Monday. Talked to the Bobcat guys last week and they are on allocation for new skids and mini's with most of them pre-sold.

So what are ya'll experiencing out there?

We install primarily HDPE (corrugated plastic) pipe and except for larger diameter smooth-core pipe - supply is not an issue yet. Prices for plastic went ballistic last year - around a 60% increase - so far has been level since early December and neither one of our suppliers has mentioned an increase - though I expect it with crude being up. Crushed stone is like you - around a 20% increase and may go up again with fuel staying high. Yes, equipment is very scarce - looking for an extra excavator in the 20-25ton class - used - not much out thee that isn't worn out and they want unbelievable prices for that worn out stuff.

Call me crazy, but I have read a lot of history surrounding the communist revolutions in Russia, China, Cambodia, Cuba and Venezuela, and I see serious parallels to what is happening here. If crime explodes, the economy dies, everyone loses their homes and businesses, and no one feels safe, then most people will do anything for the government to save them. The communists can then grab power, and run things their way.

emmett518 said:

Call me crazy, but I have read a lot of history surrounding the communist revolutions in Russia, China, Cambodia, Cuba and Venezuela, and I see serious parallels to what is happening here. If crime explodes, the economy dies, everyone loses their homes and businesses, and no one feels safe, then most people will do anything for the government to save them. The communists can then grab power, and run things their way.

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Well we're no where near that scenario IMO. What we are seeing is the gov't mandated shut downs during 2020 are causing the supply chain issues we are having now.

Business has been great for us as demand is still there and skilled workers few are far between to build the jobs. It's yet to be seen how bad of an effect higher prices are going to do to the construction industry but without a doubt it will cool it down. On the flip side there is so much liquidity in the commercial market it still makes sense for owners to build. Higher material prices will spur industrial growth as well.

tdrainage said:

Yes, equipment is very scarce - looking for an extra excavator in the 20-25ton class - used - not much out thee that isn't worn out and they want unbelievable prices for that worn out stuff.

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The higher prices used trucks and equipment are bringing is the reason why we are getting rid of some items on the yard. Selling a pickup, 4700 International, 420 backhoe and a trench roller. Putting it on Ironplanet Marketplace.

With what commercial auto and registrations costs now a days if you don't need that truck get rid of it.

My phone went dead all through January and February but is ringing a couple of times a week right now. I'm seeing under utilized stuff being traded or sold to obtain machines that will be used a lot more. Small dozers stopped being used around here more than ten years ago when mini excavators showed up with blades. It seems those dozers are becoming trade bait now. Large machines like artic trucks and 50 ton excavators seem to be moving out for smaller iron. Residential construction doesn't seem to be slowing at all for materials or prices. Truck and trailer hauling pallets of cut stone and concrete block just went by my house.

I work on the owner's side, and we've seen a lot of price increases for anything sewer or water related. Pre-cast anything is almost impossible to get right now, including both structures and RCP, of any diameter. Our primary contractors are saying the pre-cast companies are telling them new orders will deliver in 3 months.

Pretty wild right now.

CM1995 said:

The higher prices used trucks and equipment are bringing is the reason why we are getting rid of some items on the yard. Selling a pickup, 4700 International, 420 backhoe and a trench roller. Putting it on Ironplanet Marketplace.

With what commercial auto and registrations costs now a days if you don't need that truck get rid of it.

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Same here. Offloading a couple of trucks, trailers, and some attachments while the market is hot.

New equipment is hit or miss. We ordered a new Bobcat CTL back in October. It's still not here and keeps being delayed. Dealer has all our new attachments for the machine, just no machine. Every dealer I've talked to is in the same boat. Equipment is sold before it ever hits the lot. Forget about demoing a new machine. Buy and hope for the best.

Interestingly enough, precast isn't a problem here. Usual lead times, but prices are up about 10% from last year. We do have 5 different pre-cast manufactures within an hour of the city.

We've seen massive increases for steel culverts, and pretty big jumps for HDPE as well. Availability hasn't been a problem though.

NepeanGC said:

Interestingly enough, precast isn't a problem here. Usual lead times, but prices are up about 10% from last year. We do have 5 different pre-cast manufactures within an hour of the city.

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Well the current only pre-cast manufacturer bought out the other 2 manufacturers over the last couple of years. They raised the price of RCP by 30% at the first of the year then shut down 2 weeks ago. Rumor has it the FTC (Federal Trade Commission) is investigating them, probably for unfair trade practices. Further rumor is they are working a regional buyout of some sort in order to avoid charges.

So it's a big mess at the moment. Trucking RCP from GA, TN, FL or MS is cost prohibitive with fuel prices if we could even get it there.

Bam Bam 171 said:

I work on the owner's side, and we've seen a lot of price increases for anything sewer or water related. Pre-cast anything is almost impossible to get right now, including both structures and RCP, of any diameter. Our primary contractors are saying the pre-cast companies are telling them new orders will deliver in 3 months.

Pretty wild right now.

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I am afraid I'm going to have to grind the rust off my trowel and remember how to brick up an inlet or manhole.. that's if we can get bricks...

Seeing that here as well, TONS of New constructs setting what had been slowed to a crawl industries on their heels, not enough manpower, no way to cast the volumes being called for as concrete takes its own time to cure out. Can see both sides and yes, we are seeing same levels of inability to provide.

I manage the property maintenance for a local town here and have to get quotes to be approved for contracted work. Those quotes used to be good for 30 days but now not much more than a week because of the unstable market. I had an HVAC unit go bad, only 2 years old, took 9 months for the part to come and it turned out to be for the opposite side of the machine. Ended up replacing the whole unit to get back on line.

We're trying top do a couple jobs in house and have been struggling to get materials in many cases. I'm pricing a job now and require some 4" Schedule 80 PVC, I'm finding it to be $120/length where it used to be around $20. I've been buying materials in advance when I can because I fear they won't be available when I need them. Below is a picture of the electrical supply aisle at Home Depot in August 2021, it's gotten better but I still can't get some items to make repairs.

I just got a quote for paving that's good for 3 weeks due to the unstable oil market.

Precast is plentiful here, one supplier last fall was booking 6 months out for some massive job but all others have acres and acres of stock. Must be a hub of it here almost because there is at least 5 massive suppliers, one has a 90,000 sq/ft facility alone. Unless it's a special pre-bench, anything you want is in stock.

Haven't had to buy any pipe for a bit, but i'm sure glad I got a decent stock of SDR still. I know they aren't doing any price quotes, it's get a new price the day you want it they aren't guaranteeing any pricing, but have stock.

Been busy with demolitions which is fine by me. Landfills nor bin companies have raised prices yet even with fuel insane, but I guess at $175/hr for a tandem rolloff it's still really good money. I think basements will be slow for me this year, I can't see any of the smaller builders building right now, too much risk that prices will drop off and build with prices insanely high and loose money. My guess is bigger builders don't care, if they lose money on a few houses it's not a big deal.

Trying to sell as much as I can, going from work truck and personal to just one, probably selling CTL will just rent as for 100 hours a year it's not worth it especially when I can turn a profit on it after owning it for 3.5 years and 500 hours. These prices won't stay forever.

Concrete quotas and shortage here only way to guarantee mud is on site batch plants

AzIron said:

Concrete quotas and shortage here only way to guarantee mud is on site batch plants

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We don't pour much concrete and when we do it's on-site trucks as it's just more convenient. Poured 4 yards of 3K psi flowable fill for a road crossing last week for $450 and change which is not bad IMO.

AzIron said:

Concrete quotas and shortage here only way to guarantee mud is on site batch plants

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So is that on commercial warehousing type projects- or is that even on residential work?

The only onsite you see here is at a big highway paving project or maybe a powerhouse project. Otherwise its all from the concrete plant in redi mix trucks.

This is the first I've read of quota's and shortage of concrete.

My only issue lately is trying to schedule the unloading of equipment hung up in the ports. Have two jobs this week that were supposed to happen a while back- I'm betting one or both of them won't happen because the equipment still won't be through customs.

I have one other job that was supposed to happen early in january with equipment from canada. Supplier cancelled original delivery date- I don't think they will even give the contractor a estimated date right now.

I also had difficulty finding 315 drive tires. I eventually found what I wanted- but couldn't get anything local.

It takes me 3 weeks to get slurry and that is twisting an arm to make happen if you dont do volume

gravel pits are running 7 days a week to keep up with batch plants and there still running out and there is no weekend delivery unless its contracted

Rebar is 3 weeks plus lead time precast is long lead

Tilt buildings are going crazy there are probably 20 plus 200,000 sq ft buildings going up right now and the joist manufacturers are taking orders 18 months out one gc was told that the hoist for a project just started were delayed 6 months and another project was given a 2023 delivery date for its joist we were supposed to dig Plumbing next month start date been moved to december

I have a backhoe on order from deere made the order in January October delivery last I heard

Its wild times and the party going to continue all the way to this fiery train crash


How many guys are going to be broke at this one you cant raise prices fast enough to meet the increases I see record revenues and little profits for a lot this year

CM1995 said:

We don't pour much concrete and when we do it's on-site trucks as it's just more convenient. Poured 4 yards of 3K psi flowable fill for a road crossing last week for $450 and change which is not bad IMO.

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In Jan. I got 5 yrd (minimum or delivery fee added) of 3500# with fiber, $800 ... here in FL

crane operator said:

So is that on commercial warehousing type projects- or is that even on residential work?

The only onsite you see here is at a big highway paving project or maybe a powerhouse project. Otherwise its all from the concrete plant in redi mix trucks.

This is the first I've read of quota's and shortage of concrete.

My only issue lately is trying to schedule the unloading of equipment hung up in the ports. Have two jobs this week that were supposed to happen a while back- I'm betting one or both of them won't happen because the equipment still won't be through customs.

I have one other job that was supposed to happen early in january with equipment from canada. Supplier cancelled original delivery date- I don't think they will even give the contractor a estimated date right now.

I also had difficulty finding 315 drive tires. I eventually found what I wanted- but couldn't get anything local.

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Residential is still redi mix

But the big tilt projects are getting batch plants but it's not un common to get bumped the day of a pour

Residential is as big a market as commercial maybe bigger there are 5 or 6 big track concrete companies that average 15 to 20 houses a day at 100 plus yards a slab cause the post tension that's not all the customs or 3 acre subdivisions

Not to mention the three freeway expansions going

CM1995 said:

We don't pour much concrete and when we do it's on-site trucks as it's just more convenient. Poured 4 yards of 3K psi flowable fill for a road crossing last week for $450 and change which is not bad IMO.

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That would have been $600 for delivery here in the land of sand and limestone. The plant they normally send flowable from is co-located with a sand dredge.

I keeping looking at volumetric trucks, but I'm not brave enough to try it.