State of the Market
With a deep understanding of the construction landscape, Erickson-Hall Construction Co. closely analyzes market conditions to identify trends and best practices. This year’s metrics point to a gradual leveling of material pricing alongside continued uncertainty driven by policy, labor and schedule pressures.
In 2025, pricing was influenced by interest rate volatility, strong local construction volume and ongoing fire-rebuild activity, all of which kept labor and material competition elevated. Shifting tariff policies, particularly on steel, aluminum and copper, added another layer of difficulty, with rapid changes reinforcing the need for flexibility in procurement and budgeting.
Material trends have begun to diverge as Erickson-Hall has seen lumber and steel prices level off, supported by domestic production capacity and balanced supply and demand. Asphalt pricing remains relatively flat, largely due to crude oil prices and infrastructure demand. Copper continues to stand out as a risk material, with rising but highly volatile pricing driven by long-term energy transition demand and limited new mining development.
Labor remains one of the largest constraints throughout the construction industry, as organizations continue to experience a shortage of skilled workers across trades. This contributes to wage pressure and increased schedule risk, especially as major public programs and large-scale events add to the construction pipeline.
“Despite ongoing market shifts, Erickson-Hall continues to set the standard in construction through strategic procurement and operational efficiency,” said Justin Sinnott, Vice President at Erickson-Hall Construction Co. “Understanding and adapting to changes in the industry landscape ensures projects are delivered successfully and client needs are consistently met.”
Looking Toward 2026
Looking ahead, Erickson-Hall is closely monitoring several indicators that will shape market conditions in 2026, including Federal Reserve interest rate decisions, evolving tariff and trade policies and the pace at which new projects will break ground. While some material markets appear more stable recently, labor shortages and regulatory issues are expected to continue.
With substantial work anticipated from school projects, schedule certainty and early risk identification will be increasingly important. Erickson-Hall plans to focus on delivery methods and project planning strategies to help in managing escalation, mitigating change and maintaining budget predictability in the tight labor environment.
Erickson-Hall’s Best Practices and Project Recommendations
Based on current market conditions, Erickson-Hall recommends that owners and school districts prioritize early planning and delivery strategies that surface risk sooner rather than later. Delivery methods that improve schedule predictability and address regulatory constraints early can help reduce escalation, limit change costs and lower administrative and dispute-related burdens.
Erickson-Hall also encourages owners to account for labor availability in project timelines, remain flexible in material procurement, particularly for volatile commodities like copper, and engage construction partners early to align scope, budget and risk allocation. In a market defined less by extreme price spikes and more by uncertainty and resource constraints, proactive decision-making remains one of the most effective tools for successful project outcomes.
“Prioritizing early-phase planning and strategic delivery allows both our clients and team to ensure projects are executed effectively and to the highest standards, even as market conditions continue to shift,” said James Broome, Construction Manager at Erickson-Hall Construction Co. “Looking ahead, Erickson-Hall remains committed to leveraging proactive approaches to drive project success and maintain leadership in the construction industry.”