Cost of steel

[61 Sunliner]

I went to pick up my regular order of 4 sheets of 4x10 16 GA cold rolled steel and about fell over. It has increased from 56.00 a sheet to 82.00 a sheet in less than 3 months.
This is for US steel, are the US companies slipping the 25% import tariff increase onto their US produced steel?
Mike

 

[OcalaWill]

Yeah steel is ridiculous. I just did a steel roof on a property of mine. 35% hike in price from the last time I bought from them (which was last year). I asked why it went up if the tariffs were not in effect? They told me it was due to everbody anticipating the 25% hike and causing a shortage of steel - didn’t matter if US or imported. FWIW...

 

[Bo185]

I went to pick up my regular order of 4 sheets of 4x10 16 GA cold rolled steel and about fell over. It has increased from 56.00 a sheet to 82.00 a sheet in less than 3 months.
This is for US steel, are the US companies slipping the 25% import tariff increase onto their US produced steel?
Mike

Its supply and demand. Large companies when they announced tariff's in April, went to all the US mills and started buying all they could get vs usually going china So that raised demand of US steel creating a shortage domestically. So they raised prices as demand was high product low. Now with "taxes" in pace now it went up. But I think the local metal distributors are just price gouging. In April my 4x8 18g CR went from $38 a sheet in $58 a sheet a 55% increase. Said that was 55% increase not 25%. They said taffies and demand set the price. I called around and got cheaper quotes from other suppliers lower more with in reason. Called back after getting the much lower quotes, and I said I'll call the state AG and file price gouging complaint. They lowered it on the spot. lol And its not like I don't buy alot from them I spend 2-3k every couple months with them easy.

So alot of places are just using it to get some profits out of it as steel has been "cheap" for a while and margins were slim for metal suppliers. My supply buys coil right form mill then they cut to sheets so they buy it cheap but do have cost involved with cutting and moving to different locations. I was actually getting a way better deal buying a shipping pallet of it vs sheets as all they did was deliver it right to me from their main warehouse. But with the price increase I just been buy it in sheets as I can afford the overhead of a 4000# pallet of sheets just laying there for 3-4 months. Heck I would buy a coil myself but don't have a fork lift that will pickup a 40-5ok lb coil nor cash to buy that much. lol

With the price increase it is going to effect the small guy selling metal art on the side as you can only charge so much before a customer won't spend that much on an item and pass but really depends on local market area. I have raised my Prices on some items but some have stated the same just just playing it by ear. I doubt prices go down again for at least a 1-2 years.

 

[Arkansas Metal Art]

Same thing here in Arkansas. Roughly 40% increase over last 3 months or so.

 

[Bo185]

Same thing here in Arkansas. Roughly 40% increase over last 3 months or so.

Yeah I am in Jacksonville.
Shop around I got a better deal from JMS in Jonesboro recently and they deliver for free if your on a route they go regular. Problem too is finding stock as the rep said sheets usually go fast. So I'll buy what I need a few extra sheets to last couple months now.

 

[61 Sunliner]

I've prided myself by using US steel. I have always bought from the same supplier and never shopped around. I guess that will now change and if it is China or Canadian steel so be it. I feel the US steel suppliers are taking advantage and ripping us off. I know prices change but over 40% increase is robbery.

 

[Bo185]

I've prided myself by using US steel. I have always bought from the same supplier and never shopped around. I guess that will now change and if it is China or Canadian steel so be it. I feel the US steel suppliers are taking advantage and ripping us off. I know prices change but over 40% increase is robbery.

Unless you requested us steel, you would get import steel typically as it was cheaper and unless it was ink'ed you wouldn't even know were it was from actually. So if your metal was ink'ed stamped USA there is no way for you to know were it actually was made. The supplier could have just been marking up import steel and telling you whatever you wanted to here, which I wouldn't put it past them.



The increase is due to supply and demand "basic capitalism 101". With a tax on imports, US steel is hard to find as the large companies bought out most the mill stock so supplies are low and imports are taking time to get well imported and then they have to pay the tax on imports and pass it to the customer you. But it is price gouging in the end as the import tax is only 25% on steel yet mark up it up twice that. Same crap they do with gasoline. So if an import sheet cost $40 before with new tax should be $10 more. I got the run around when they went up on me saying they couldn't find any sheets etc stocks were low as every company was buying US steel, I said then you should have plenty of import steel right, for 25% more not twice as much, the sales guy didn't know what to say. lol. Its just the importers and suppliers making a killing. Steel prices have been low for last 4-5yrs so they are going to have record profits.

Scrap is up though, I took a trailer load of drops and got $250 for it vs $100ish for same weight. But scrappers will start stealing it again now prices are up.