The construction industry has experienced fluctuations in the prices of various construction materials in recent years. While some materials have witnessed significant decreases, others have remained relatively stable or only moderately declined. It is important to note that these changes are relative to the high prices observed in the past few years and that very few items currently cost the same as they did three years ago.

One material that has seen a notable decrease in prices is polystyrene. Retail prices for polystyrene, which soared in 2020, have now dropped significantly. Petr Vaněrka, the head of the Pro-Doma construction supply network, highlighted that the cost of a cubic meter of polystyrene has fallen to less than a thousand Czech korunas from its peak of 2,200 korunas last year. However, despite the decrease in prices, the overall consumption of polystyrene in the Czech Republic has decreased by 15% compared to the previous year.

Iron, another essential construction material, has also experienced a decline in prices after a period of significant inflation during the COVID-19 pandemic and the beginning of the conflict in Ukraine. This drop in iron prices is a positive development for the construction industry, as it helps to mitigate the costs of projects.

However, not all construction materials have witnessed price reductions across all retail stores. For example, the price of a concrete reinforcement mesh has increased since last year. Similarly, while the prices of cement, brick, and aerated concrete blocks have remained relatively stable, other materials such as spruce planks have only moderately decreased from their peak levels in 2020.

It is worth noting that despite fluctuations in prices, the demand for construction materials has also experienced changes. The demand for polystyrene and concrete products has decreased, while an increase in demand is expected for insulation materials due to expensive energy prices and anticipated European Union measures.

Overall, the construction material market in the Czech Republic has witnessed varied trends in pricing. While some materials have seen significant decreases, others have remained stable or experienced more modest declines. These price changes reflect the dynamics of supply and demand within the construction industry, influenced by factors such as energy prices, market conditions, and external events.

Article by Prague Forum