Your next material delivery just got more expensive.

The numbers hitting construction jobsites tell a brutal story. With 46% of U.S. construction materials sourced from China, Canada, and Mexico, Trump’s sweeping tariffs have businesses on edge, with fears that tariffs are creating the biggest supply chain disruption since the Great Depression.

The damage is already showing up in your invoices.

Construction material costs could spike by $3 billion to $4 billion if all proposed tariffs take effect. Canadian lumber tariffs alone are jumping from 14.5% to 34.5%. That’s not a gradual increase. That’s sticker shock.

For multifamily projects, we’re looking at a potential 7.5% spike in material costs. When your margins are already tight, that kind of hit can kill a project’s profitability before you even break ground.

Supply Chains Are Cracking Under Pressure

Ocean freight from China to the U.S. has dropped 60% since tariffs went live. Companies are hitting the panic button, with many simply pausing imports entirely. But you can’t pause construction projects indefinitely.

The ripple effects are cascading through every aspect of construction operations. Nonresidential materials prices jumped at a 9% annualized rate through early 2025. Overall construction inputs now sit 41% higher than February 2020.

Translation: Everything costs more, and availability is getting sketchy.

Documentation Becomes Critical

When materials cost more and supply chains are unpredictable, every delivery needs bulletproof documentation. You can’t afford disputes over what was delivered, when it arrived, or who signed for it.

The old paper POD system falls apart when stakes get higher. Coffee-stained carbon copies don’t hold up when you’re dealing with premium-priced materials and tight project timelines.

Modern delivery documentation with timestamps, GPS coordinates, and digital photos becomes essential. When your lumber package costs 34% more than last year, you need proof that every board actually made it to the jobsite.

Adapting to the New Reality

Smart contractors are already adjusting their operations. They’re building tariff contingencies into bids, diversifying supplier relationships, and tightening up their delivery documentation processes.

The uncertainty factor makes planning nearly impossible. Companies are taking a “wait and see” approach on major supply chain decisions, hoping policy direction becomes clearer. But projects still need to get built.

Your best defense is operational excellence.

That means knowing exactly what materials arrived, when they got there, and who received them. Digital POD systems give you that visibility when paper trails fail.

The tariff storm is here. The construction companies that survive and thrive will be the ones that adapt their operations to handle higher costs, supply disruptions, and the increased need for precise delivery documentation.

Your next material delivery might cost more, but at least you’ll know exactly what you’re paying for.