In 2022, Asia has experienced the largest spike in construction costs in half a century. Factors such as supply chain disruptions, soaring material prices, and labor shortages have contributed to unprecedented increases in building expenses. This surge has impacted infrastructure projects, residential developments, and commercial construction, posing significant challenges for developers and investors across the region.

The pandemic-induced disruptions have led to shortages of essential materials like steel, cement, and lumber, driving prices to record highs. Additionally, global shipping delays and increased transportation costs have further exacerbated the situation. Labor shortages, partly due to COVID-19 restrictions and workforce migration, have also played a crucial role in escalating costs.