One thing that isn’t set in stone right now is the price of materials and labour across the globe. The continuation of the pandemic, the impact of COVID, Brexit, issues in the Suez Canal and the Chinese supply chain, coupled with covid ping notifications and untaken holidays is creating the perfect storm of problems for the construction industry.
All of these increased risks from delays and rapid price increases affecting the global market have been the catalyst for the most volatile market for construction projects in years. Read more:
Bill has written several pieces in the construction press in recent months, discussing how these issues are creating a simmering pot for disputes. This most recent article picks up on how disputes are an inevitable casualty of this crisis.
“As sure as night follows day, a shortage of materials or labour will fuel disputes between contractors and suppliers. A huge part of the problem, though, is that contractors are often guilty of adopting a cavalier approach to risk, signing contracts that leave them exposed in the event of a shortage.” For the full article in Building Magazine please follow this link: Experts sound alarm over ‘inevitable’ legal bust-ups as shortages crisis gets worse News Building
Research Required
Further to our work in the international construction market and our construction community focussed webinars, we are looking for research from across the globe to help look at the issues the wider construction and engineering industry is facing. From early informal feedback we have found:
- A leading Projects and Contracts specialist in Istanbul noted that in Turkey they are facing delays for all major construction materials as well as delays in logistics.
- An NEC specialist based in Hong Kong noted rising building material prices, particularly steel and cement.
- A Commercial Director and experienced surveyor in UK noted he has experienced problems with material price rises in general in addition to prolonged supply of various materials, particularly cold-rolled steel products.
Should you wish to help us by providing details of the specific problems faced by you and the projects you are working on then please email: Bill Barton: billbarton@bartonlegal.com
