Construction Reporter
  • Home
  • Services
    • Planroom
    • Printing
    • Project Upload
    • Architects & Owners
    • General Contractors
    • Subcontractors
  • Free Trial
  • Become a Member
  • Magazine
  • News
  • Contact Us
  • About
    • About
    • FAQs
    • Privacy Policy

coronavirus may have construction industry consequences

3/5/2020

0 Comments

 
Picture

Less worried at this very early stage about the impact of the Coronavirus on workers, construction industry leaders say the spread of what is officially called COVID-19 could lead to a price increase in materials coming from China.

Because nearly a third of all building product imports, including machines and parts, come from China, a slow-down in material production in that country may hit the bottom line of many construction projects in the U.S.

According to sources, cargo volumes, due to the outbreak of the virus, may now be down by as much as 20 percent at U.S. ports.

Richard Branch, a chief economist for Dodge Data & Analytics, has told the publication Construction Dive that the situation could be particularly precarious for commercial builders that “rely on Chinese-made materials,” noting that the slow-down could mean “higher material costs and potentially slower project completions.”

In a statement, Ken Simonson, chief economist with the Associated General Contractors of America, noted that while “overall economic conditions remain favorable, future construction spending levels may be affected by the growing uncertainties related to the Coronavirus and its impact on the supply chain for construction components, especially those manufactured in hard-hit countries.”

Simonson added that despite such concerns, no U.S. contractors have as of yet reported supply problems that could impact their projects.

Meanwhile, the National Law Review is advising contractors to consider seeking compensation for the increased costs of some materials in their project contracts.
​
“Whether you are negotiating a contract for a new project or in the middle of construction, it would be wise to consider who will bear the risks and costs associated with the still evolving Coronavirus,” the publication says.

​By Garry Boulard

0 Comments

Your comment will be posted after it is approved.


Leave a Reply.

    Get stories like these right to your inbox.
    ​Sign up for our newsletter

    Subscribe

    Archives

    March 2023
    February 2023
    January 2023
    December 2022
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018
    March 2018
    February 2018
    January 2018
    December 2017
    November 2017

    Categories

    All

AFFILIATES

Picture
Picture
Picture
Picture
Picture
Picture
Picture
Picture
Picture
Picture
Picture
Picture
Picture
HOME
PLANS & PRICING
FREE TRIAL
MAGAZINE​
BECOME A MEMBER
PRINTING SERVICES
FAQS
CONTACT
​ABOUT

TIMELY, RELIABLE NEWS SINCE 1949 ​Construction Reporter
​
4901 Mcleod Rd NE STE 200A
Albuquerque NM 87109


​Phone: (505)-243-9793
Toll Free: (877)-292-5793
​Fax: (505)-242-4758

Copyright © 2022 Construction Reporter
User Agreement   Privacy Policy   Archive Policy
  • Home
  • Services
    • Planroom
    • Printing
    • Project Upload
    • Architects & Owners
    • General Contractors
    • Subcontractors
  • Free Trial
  • Become a Member
  • Magazine
  • News
  • Contact Us
  • About
    • About
    • FAQs
    • Privacy Policy