In the face of conflict in the Middle East, prices of oil-dependent resources are soaring. Among them is asphalt, which has seen a 65% surge in cost since the beginning of the war, as reported by FNTP.
Beyond fuel supply, the blockage of the Strait of Hormuz in Iran, a key oil traffic point internationally, is affecting various construction materials such as asphalt. The price of asphalt has increased by 65% since the start of the conflict in the Middle East, according to the National Federation of Public Works (FNTP).
A major concern is that markets may become “economically unsustainable”, with the Brent oil price rising to $114.62 per barrel on April 29, gaining 3.06%. This increase affects the production of asphalt, making it 10-12% more expensive, according to reports.
This situation has raised worries among industry leaders, with the CEO of Dubrac TP expressing concerns about rising costs impacting clients like municipalities responsible for maintaining roads and bus stops.
The FNTP confirms that public works companies are troubled by the crisis in the Middle East and its impact on their activities due to increased energy and material prices, potentially making markets economically unsustainable.
To address these challenges, the government has introduced measures like the Lecornu circular, issued on April 24, 2026, requiring price revision clauses in public contracts to allow TP companies to renegotiate with clients considering additional costs.
Another significant government initiative is a 20 cents per liter price reduction on non-road diesel (GNR) for BTP companies with fewer than 20 employees. This aid has now been extended to large construction companies and is expected to benefit firms of all sizes according to FNTP.
FNTP has also requested a faster update of diesel, GNR TP, asphalt, and gas indices crucial for pricing adjustments on construction sites, signaling their continued commitment to addressing the challenges ahead.
— Context: The article discusses the impact of the conflict in the Middle East on the prices of oil-based resources like asphalt and the measures taken by the government to support construction companies. Fact Check: The price of Brent oil and the increase in asphalt prices as a result of the conflict are accurately reported, along with the initiatives by the government to alleviate some of the financial burden on construction firms.
