Global events often have a direct impact on the construction industry, and the ongoing conflict between the USA and Iran is no exception. The disruption around the Strait of Hormuz has created uncertainty in global shipping, increased energy costs, and affected manufacturers around the world.
At Surfaces Tiles, we import porcelain tiles primarily from Spain and India. With offices in both countries, we are in regular contact with manufacturers, shipping companies and industry partners, allowing us to closely monitor market conditions and understand how these events are affecting the tile industry.
One of the biggest challenges has been the sharp increase in natural gas prices. Gas is one of the most important components in the production of porcelain tiles, as it is used to fire the tiles at extremely high temperatures. Reports from our manufacturing partners indicate that gas prices increased by around 80% in India and 20% in Spain, putting significant pressure on production costs.
The Indian tile industry was forced to suspend production for approximately one month during April 2027 due to gas shortages and rising costs. Production has now resumed, although manufacturers are operating with revised pricing to reflect the higher manufacturing expenses.
Shipping has also been affected. Based on discussions with shipping lines and information currently available, ocean freight rates are expected to remain above normal levels for at least the next six months. Once freight markets stabilise, we expect some reduction in overall tile costs, but this is unlikely to happen immediately.
Despite these global challenges, the UK tile market has remained relatively stable compared with many other parts of the world. Since a large proportion of tiles supplied to the UK come from Spain, price increases have been more moderate than in some other markets.
As suppliers to homeowners, builders and construction companies across the UK and Ireland, we speak with our customers every day. While building material costs have increased across almost every category, we have not seen major construction companies delaying or cancelling their tile purchases. This gives us confidence that demand within the UK market remains healthy.
At Surfaces Tiles, we have not increased our selling prices during the past year, and at present we have no plans to do so. We believe the current situation is temporary and expect costs to improve once global shipping and energy markets become more stable. Rather than passing every increase directly to our customers, we have chosen to absorb much of the additional cost within our own margins.
Our advice to homeowners and trade professionals is simple: if your project is ready to proceed, there is little reason to delay purely because of tile prices. While prices have increased, the rise has been relatively modest compared with many other construction materials. However, if the conflict continues for a prolonged period, the market could experience further cost increases.
We are currently importing a larger proportion of our products from Spain rather than India, as Spanish supply offers more competitive pricing and shorter delivery times under current market conditions. We will continue to review our sourcing strategy to ensure we provide the best possible value and service to our customers.
Global markets can change quickly, and we will continue to monitor developments closely. With our teams based in both India and Spain, we are well positioned to understand changes in manufacturing, shipping and supply chains, and we will continue sharing updates as the situation evolves.
Thank you for trusting Surfaces Tiles. We remain committed to offering quality porcelain tiles at competitive prices while helping our customers make informed decisions during uncertain times.
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