Like all industries the steel industry is experiencing an exceptional time. Whilst global demand has recovered significantly quicker than expected, steel mills are still unable to produce at levels seen before Covid. This has led to severe worldwide supply shortages of all steel products. As the basic economic principles of supply and demand take effect, so the price of steel has fluctuated significantly since June 2020, eg the price of Hot Rolled Coil has increased by a minimum of £300 per tonne.
Whilst prices for colorcoated steel have increased steadily since October, they have, so far, lagged behind the increases seen in other steel products. Whilst we don’t know the exact figure yet, we know that a significant increase will be imposed from our key suppliers Arcelor Mittal & Tata Steels from April 2021.
As well as price increases there’s also pressure on demand and we know not everyone is able to get what they need. We’re working very closely with our key suppliers to ensure supply continuity and we believe we have enough allocation coming in over the next few months to cover our customer needs for the April – June period.
As the situation develops we’ll continue to keep all of our customers updated.