Warning for builders: price surge expected in Hungary’s construction materials market

Building materials in Hungary could soon become significantly more expensive. Industry insiders say manufacturers have already warned retailers about planned price increases, raising concerns that construction costs may rise again in the months ahead.

According to Attila Juhász, President of the Building Materials Trade Division of ÉVOSZ and an executive at Újház Zrt., several manufacturers have already warned retailers that significant price increases could take effect from April. He made the remarks in an interview with Népszava.

The changes could affect a wide range of products. The prices of masonry materials, insulation products, plasterboard and various construction supplies may all increase, with some items potentially seeing double-digit price rises.

What is driving building material prices higher?

According to the head of ÉVOSZ’s trade division, several factors lie behind the expected price increases. One of the most important is the cost of energy, which directly affects the production costs of building materials.

Manufacturing building materials is highly energy-intensive. Ceramic-based products are fired in large industrial kilns that require substantial amounts of natural gas to operate. When energy prices rise, these costs quickly feed through into production expenses.

“One of the most important is the development of energy prices. The production of building materials is extremely energy-intensive, and the price of natural gas has a particularly strong impact on the market, as it also plays a major role in electricity generation,” Juhász told Népszava.

Other factors influencing building material prices include:

Transport costs: Logistics represent a significant share of the final price of building materials. Rising fuel prices quickly translate into higher freight charges, which ultimately push retail prices upward.

The exchange rate of the Hungarian forint: A significant portion of building materials used in Hungary is imported. In addition, domestic manufacturers often rely on foreign raw materials, meaning that a weaker forint can directly affect prices.

Industry professionals say that current prices remain relatively low compared with previous years. According to Juhász, those who do not delay construction or renovation projects could benefit.

“Those who purchase building materials now, in March, are likely to secure better prices, as costs are expected to rise in the coming period,” he said.

The current price level may partly be explained by weaker construction activity at the start of the year. According to the Hungarian Central Statistical Office, the volume of construction output in January 2026 was 11.4 % lower than a year earlier, which reduced demand for building materials.

Because of this weaker demand, manufacturers and retailers have so far been less able to pass on rising costs to customers, allowing building material prices to remain relatively low.

However, with energy and transport costs increasing and construction activity seemingly starting to pick up again, this situation could change in the coming months.

How much could prices rise?

According to various market forecasts, building material prices in Hungary could increase by 6–15% on average in 2026, although differences between individual materials may be significant.

• Prices of steel and metal products could rise by 12–15%
• Paints and coatings may increase by 8–12%
• Other materials may experience more moderate price growth

Experts also note that price developments are influenced by the fact that Europe’s building materials industry has faced a major downturn in recent years. Production in several countries fell by 15–25 per cent following the pandemic and the energy crisis.

In a previous article, we also examined how a new structural element – trapezoidal sheet metal – is gaining increasing attention in the construction sector.

In a related development, the European Commission has recently called on Hungary to end restrictions on the export of construction materials

What can be expected in the coming months?

Overall, several factors suggest that building material prices may increase in the near future. Rising energy and transport costs, fluctuations in the forint exchange rate and the gradual return of construction activity in the spring could all influence the market.

Although weaker construction performance at the start of the year helped keep prices in check, experts believe this situation may soon change. If costs continue to rise, these increases will sooner or later be reflected in the prices of building materials.