The Price of Nails Used in Homebuilding Is Getting Hammered by Tariffs

Yahoo

22-04-2025

A box of coil roofing nails currently runs about $64.99 for contractors, but that price might not hold for long. Prices are poised to skyrocket due to a complex interplay of paused and active tariffs, pushing the cost of a single box to around $325.
The spike comes at a crucial moment in the real estate cycle—just as homeowners and builders brace for the broader effects of newly imposed and pending reciprocal tariffs across the construction industry.
While nails might seem like a small line item in the cost of a home build or repair, the ripple effects can be far-reaching. Nearly every component of a roofing system, for example, could be affected—nails, underlayment, asphalt products, and metal flashing—placing additional financial strain on both contractors and consumers.
Nails have fallen through the cracks of the pause on reciprocal tariffs due to a stack of overlapping trade policies that have sharply increased the cost of imported steel, according to the Cato Institute.
First, there's the longstanding 25% tariff on Chinese steel products, imposed under Section 301, which has been baked into pricing since 2018. In February 2025, a new 10% tariff on most Chinese goods was announced, layered on top of the existing steel tariffs.
Then came a sweeping change: a new 25% tariff under Section 232, effective March 12, 2025, which eliminated previous exemptions and applied to all countries, including longtime U.S. trade partners.
'All material in transit will be subject to these most recent changes. … This is not a new tariff, but it removes all exemptions,' reads a February press release from Continental Materials Inc., one of the largest suppliers of nails in the U.S.
While the U.S. temporarily paused new tariffs on goods from Mexico and Canada, the steel nails are not exempt from the Section 232 expansion—leaving contractors with few options and increasing reliance on affected imports.
And the issue doesn't stop at nails.
'The United States has largely outsourced metal manufacturing, so we depend highly on imports,' says Colorado-based contractor . 'This affects everything from nails and fasteners to metal plates and multiboots. The impact reaches across the entire roofing system.'
For contractors, the concern isn't just about price—it's also about timing, planning, and transparency. With the real cost of tariffs still working its way through the supply chain, many are in wait-and-see mode.
Tariff-related material costs are expected to add around $10,900 to the price of a typical new home this year, according to the National Association of Home Builders. Steel fasteners, underlayment, and roofing adhesives are among the many products caught in the surge.
The Associated General Contractors of America warns that contractors are rethinking how they price and plan projects, increasingly relying on price escalation clauses, adjusting contract timelines, or stockpiling materials in anticipation of further cost hikes.
Higher interest rates and slowing home starts are already stretching margins thin. Now, added uncertainty around materials is forcing contractors to have difficult conversations with clients about cost expectations.
'We're taking a proactive approach,' Hock says. 'We're communicating with distributors and advising clients to move forward with major construction projects sooner rather than later.'
While material prices haven't peaked yet, industry leaders say the writing is on the wall. With few significant domestic metal manufacturing bases and multiple layers of tariffs now in play, the construction industry is vulnerable to future price shocks on virtually every metal-based product.
'We're staying vigilant to provide our customers with the best value and service despite these challenging market conditions,' says Hock.
From a $65 box of nails to entire roofing systems, trade policy is tightening the screws on contractors—and the cost could be passed down to homeowners. With ripple effects touching everything from home improvement projects to new builds, the message is clear: Tariffs don't just live in Washington, they land on the roof.
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