'Storm' in material prices makes construction projects difficult

The high prices of steel, sand, and construction bricks have put a lot of pressure on households and construction businesses in Hai Phong city.

Since the beginning of 2025, construction material prices have increased sharply, causing construction investment costs to increase accordingly.

People and businesses are worried.

Deciding to build a new house after many years of saving and support from parents, in April 2025, the family of Mr. Pham Minh Phuc and Ms. Nguyen Thi Quynh in Vinh Thuan commune ( Hai Phong city) started construction of a 2-storey house. The house is in the finishing stage.

Since the start of construction, Mr. Phuc and his wife have been worried because the price of raw materials has been increasing continuously. Mr. Phuc said that in recent months, the price of many types of construction materials has increased by 30-40% compared to the beginning of the year. Particularly, the price of yellow sand has almost doubled at times, from more than 400,000 VND/ ^m3 to nearly 800,000 VND/ ^m3 . The 2-storey house built on an area of ​​100 ^m2 /floor initially cost an estimated 1.3 billion VND. "The price of raw materials has increased, many costs have arisen, I estimate that after the house is completed, it will cost more than 200 million VND," Mr. Phuc said.

Not only prices increase, many materials are in short supply.

The high price of materials has led to an increase in the price of construction works, causing many difficulties for contractors and project investors. Mr. Nguyen Van Thanh, a contractor specializing in building turnkey houses in An Duong ward (Hai Phong city) said: "The increase in sand and cement has led to an increase in the price of ready-mixed concrete. In the last months of the year, many projects are entering the finishing stage, I have to manage to ensure the source of construction materials for the projects I have contracted."

Not only private works, but also works and projects from public investment capital are facing a lot of pressure from the "storm" of construction material prices.

Mr. Vuong Toan Tuan, Executive Director of Package No. 20, construction of the section from the inter-ward road intersection to the Hai Thanh overpass intersection (Tan Vu - Hung Dao - Bui Vien Ring Road 2 project) said that compared to the end of 2024, the price of leveling sand, especially yellow sand... has doubled at times. Not only has the price increased, but the supply is also very scarce. Previously, contractors received materials in advance and paid later, but now they have switched to paying suppliers in advance, but they do not dare to accept because they are uncertain about the source of goods. For public investment projects, if progress is delayed, both investors and contractors will be affected.

"A few months ago, the concern was the lack of construction sites. Now that we have sites, the price of materials has increased and there is a shortage," Mr. Tuan shared.

On September 21, 2025, the Government issued Resolution No. 66.4/2025/NQ-CP on specific mechanisms and policies to remove difficulties in implementing the Law on Geology and Minerals 2024, to avoid shortages of common construction materials.

The City People's Committee assigned the Department of Agriculture and Environment, the Department of Construction, and construction investment project management boards to urgently propose and implement the resolution, to avoid a shortage of construction materials.

Overcoming difficulties, sticking to progress

Diversifying material supply sources and speeding up construction progress are solutions being implemented by investors.

Faced with the pressure of the "storm" of construction material prices, contractors are speeding up progress and proactively seeking material sources to diversify suppliers. Mr. Nguyen Van Thanh said that for turnkey construction units, construction contracts are signed 3-6 months before the start date. Given the current fluctuations in construction material prices, the most practical solution is to speed up construction progress, optimize labor, and reduce intermediaries.

Under pressure to speed up progress to strive to put the project into operation on April 30 and May 1, 2027 (19 months shorter than the signed contract), Mr. Vuong Toan Tuan said that in recent months, the situation of rain and floods in the provinces of the northern midlands and mountainous areas has been complicated, and the source of materials from these localities has been completely blocked. The contractor has shifted to finding material sources from the Central provinces.

"The contractor requires subcontractors to carry out construction simultaneously, not letting the next item wait for the previous item. Because just one item being behind schedule will affect the entire package," said Mr. Tuan.

At the recent meeting on the city's socio-economic situation in the past 9 months and the inspection of key projects in the city, the leaders of Hai Phong City People's Committee requested the Department of Construction to promptly announce the prices of construction materials every month to limit the impact on the construction progress of projects. Advise the City People's Committee on the application of appropriate contract types to contractors in case of price fluctuations risks for input costs so as not to affect the project progress.

MINH KHOI

Source: https://baohaiphong.vn/bao-gia-vat-lieu-lam-kho-cong-trinh-xay-dung-523371.html