How Steel Tariffs Impact Construction Costs in 2025
If you’re planning a construction or renovation project this year—commercial or residential—you’ve probably heard whispers about rising material costs. One major reason? The recent 50% tariff increase on imported steel and aluminum by the U.S. government.
These materials are essential in framing, roofing, HVAC components, siding, and more. So whether you’re building a commercial facility or remodeling a home, this policy change could affect your bottom line.
What Are Tariffs, and Why Do They Matter?
Tariffs are taxes on imported goods. In this case, the government is placing a higher tax on steel and aluminum imported from countries like China. The aim is to protect U.S. manufacturers and discourage reliance on foreign supply chains.
But here’s the catch: many U.S. contractors and developers depend on international materials for both pricing and availability. The sudden rise in tariffs could:
- Add up to 5–10% in material costs per project.
- Cause delays due to sourcing issues.
- Increase pricing on HVAC, roofing, and window systems.
Related Reading: Learn more about the tariff update directly from U.S. Customs and Border Protection.
Who’s Feeling It First?
Contractors working on larger commercial builds and infrastructure upgrades are already noticing cost increases. But it’s not just commercial builders—homeowners planning renovations this summer may also face price bumps in:
- HVAC system repairs or replacements
- Roof installations
- Window frame replacements
- Garage or shed builds using steel framing
How You Can Prepare as a Home or Business Owner
- Request Material Quotes Early
Prices may continue to fluctuate. Locking in material quotes early can protect you from future spikes. - Plan for Contingencies
Allocate an additional 5–10% buffer in your construction budget for material price hikes. - Work With Contractors Who Have Strong Vendor Relationships
At Commercial and Residential Contractors LLC, we’ve built a trusted network of suppliers to keep projects running smoothly and affordably even during industry shifts.
What the Experts Are Saying
According to an industry report from Construction Dive, over 40% of general contractors are re-evaluating project timelines and material specs due to rising steel costs. The recommendation? Adapt early. Don’t wait for costs to climb further before making informed project decisions.
Need Help Navigating This? We’re Here for You.
Our team is actively monitoring these cost changes and adjusting timelines, quotes, and project planning accordingly.
Whether you’re a homeowner needing roof repair or a business planning a new build, now’s the time to consult with an experienced contractor.
📞 Contact Us Today
📖 Or explore more insights on our blog page