How Tariffs Are Squeezing Construction in the Triad (Including Burlington, NC)

Throughout North Carolina, construction input prices are on the rise: up 0.2% from April to May, and 1.6% year-over-year for non-residential projects (News & Observer, North Carolina Construction News).
On an annualized basis, materials are climbing at a 6% rate through May 2025, with overall costs up more than 40% since early 2020 (Supply Chain Dive).
These increases are largely driven by tariffs on steel, aluminum, and key imports—raising costs across the board (NAHB).

In Guilford County (part of the Triad), a nonprofit planning affordable homes for veterans and seniors is seeing material price increases that threaten project timelines and affordability (WXII).
Buffeting local construction efforts, these added expenses may delay or derail critical development plans across the region.

Supply chain experts at Wake Forest University warn that looming tariffs on imports—especially from Canada, Mexico, and China—are driving up production costs in industries like manufacturing and automotive, which directly influence construction and infrastructure (WXII).
Some NC businesses are stockpiling imports to hedge against future tariff shocks, signaling deepening uncertainty (Carolina Journal).

Challenge	Impact on Investors
Higher Material Costs	Erodes project margins; may require higher capital or tighter return forecasts
Timeline Delays	Unpredictable budgets and project schedules reduce confidence and speed to market
Market Volatility	Hesitation grows—leading some developers to pause or delay investments (Business Insider)
Need for Strategic Planning	Investors who can educate and collaborate now can gain ground—before others pull back

Negotiate tariff-adjusted contracts: Embed escalation clauses to share the risk of price volatility (Beaumont Enterprise).
Diversify material sources: Blend domestic and import supply chains to equip against tariff shocks.
Act fast and collaboratively: Partner with local developers and contractors to secure materials and timelines.
Lead local advocacy: Engage with regional builder groups to lobby for tariff relief or support.