Due to escalating geopolitical tensions, evolving trade agreements, and newly imposed tariffs, construction cost uncertainty remains high across the United States. This week’s update highlights the key developments driving material prices and outlines what construction lenders, developers, and contractors should monitor next.

Grounded in data from real projects we’ve vetted through our Plan & Cost Review process, so you can trust the numbers. Helping you finance smarter, safer, and with fewer surprises.

The following is an update on where I believe things are headed regarding U.S. tariffs and how they may impact construction costs nationwide. To help clarify risk levels, I use a personal 10-point index, with 1 being the lowest risk and 10 the highest. This content is intended for informational purposes only and should not be interpreted as financial or cost predictions. Use this data at your own risk.

With the 90-day trade truce between the U.S. and China still in effect, pressure from aggressive tariffs has eased—but uncertainty remains high. While some material prices are stabilizing, underlying supply chain issues and rising labor costs continue to drive project risk.

Following major trade talks between the U.S. and China, we’re beginning to see some easing of tariff-related pressure—but uncertainty still clouds the outlook.

As part of our ongoing effort to monitor tariff-related risks, we’re continuing to track the shifting international trade landscape and its effect on U.S. construction.

The construction industry is entering a period of heightened volatility. With new tariffs introduced in early 2025, material pricing and project forecasting have become increasingly uncertain.

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