Uncertainty in trade policy is causing contractors to delay projects, as construction input costs have surged 6% annually and remain over 40% higher than pre-pandemic levels. Tariff fluctuations have already led to significant layoffs, such as Unistress Corp. in Massachusetts, which cut its workforce due to postponed contracts. As tariffs on essential materials like copper and steel rise, contractors are adapting procurement strategies, exploring alternative materials, and grappling with a limited skilled labor force. This volatility may lead to stagnation in construction activity, heavily influenced by broader economic conditions rather than tariffs alone.

Source: https://www.supplychaindive.com/news/tariffs-contractors-guessing-material-costs-uncertainty/752949/