The price of building materials rose by 17.39% in February 2022 compared to February 2021, increasing the pressures on the construction and property sectors, according to the Cyprus Statistical Service.
Compared to the same month of the previous year, the Cyprus Statistical Service reports a price rises in metallic products of 27.15%, products of wood, insulation materials, chemicals and plastics of 19.88%, electromechanical products of 15.82%, mineral products of 7.20% and minerals of 5.88%.
The top 10 building materials price rises
- Structural steel +48.08%
- Raw (sawn) timber +47.96%
- Wires and cables +36.02%
- Iron rails +35.68%
- Building iron +32.64%
- Bricks +32.45%
- Copper pipes +32.21%
- PVC doors and windows +31.12%
- Structural grid +31.03%
- Industrial wood +30.03%
Two days ago, Reuters reported that COVID-19 outbreaks in China are resulting in “queues of container ships outside major Chinese ports are lengthening by the day”, “container loading is ‘decreasing massively’ at Shenzhen’s Yantian port, the world’s fourth largest container terminal, as port workers, truckers and factory workers stayed at home”.
Increasing energy prices are an added burden for the construction sector as the production of many construction materials require large amounts of energy.
Russia’s invasion of Ukraine will drive energy prices even higher. The invasion has caused oil prices to surge. A year ago, a barrel of Brent Crude cost US$64.35 and today it stands at US$107.11/barrel.
Press release – Price Index of Construction Materials: February 2022