With the pandemic rolling on throughout the world, the industry has undoubtedly been affected tremendously. Whether it’s a lack of opportunity for new projects, labor inconsistencies, financial turmoil, or material shortages. One thing is for certain, construction companies across the country are navigating unknown waters.
Recent insight from vendors and subcontractors has shown that while the the need for materials is increasing, the supply is steadily dwindling. Vendors are informing subcontractors of their lack of ability to supply materials for projects. Subcontractors are being forced to explain long lead times and price increases to contractors. The trickle down effect of supply and demand is impacting almost every aspect of the industry.
According to the U.S. Chamber of Commerce Commercial Construction Index – 2021 Q1 “71% of contractors face at least one material shortage.”
While nearly all materials are experiencing some sort of shortage, electrical materials seem to have a harder hit than most in the first quarter of 2021. Vendors are reporting shortages of breakers, PVC, PVC glue, boxes, copper, fittings, and certain light fixtures. For any new construction or interior alteration project, this is causing a large disruption in project timelines.
Contractors are leveraging their relationships with suppliers to attempt and ease the burden that is put on schedules due to material shortages. Along with personal relationships, contractors are utilizing local hardware stores and businesses.
As contractors continue to navigate through unprecedented times, communication between clients, vendors, and subcontractors is the most important step that can be taken to ensure all parties are informed of current restraints due to material shortages.
If you have any questions about how material shortages may effect your project, reach out to us. We’re happy to help.