HVAC Breaking News

Aug. 15, 2002: Lennox Expects Higher Prices Due To Steel Tariffs

DALLAS, TX — Lennox International Inc. (LII) chief executive officer, Bob Schjerven, stated that he expects increased prices for the company’s products as a result of the tariffs levied on steel this year.

“Although the intent of the proclamation targeted imported steel, the market result was an increase in domestic steel product pricing as well,” said Schjerven. “LII is making every effort to control internal costs in order to mitigate the price increase to our customers. However, because steel represents a significant amount of our purchased raw material, we expect it will be necessary to increase prices by the end of the current quarter.”

According to Lennox, the company filed a request with the Department of Commerce back in May seeking to exclude the steel products most commonly used in its manufacturing from the safeguard tariffs. In addition, a joint letter from the presidents of the Air-Conditioning and Refrigeration Institute (ARI), the Association of Home Appliance Manufacturers (AHAM), Gas Appliance Manufacturers Association (GAMA), and the National Electrical Manufacturers Association (NEMA) expressing concern over the tariffs was sent to President Bush.

“We will continue to do all we can to mitigate the increased cost of steel; at the same time, each LII company will continue to monitor costs on their product lines and make individual pricing decisions accordingly,” said Schjerven. “Until we know the result of our exclusion application, we will not be in a position to determine specific pricing, but we expected the increase to be, on average, in the 2% to 5% range, depending on steel content of a given product line and may differ from company to company. Each operating company will communicate any increase in price to their respective customers.”

For more information, go to www.lennoxinternational.com (website).

Publication date: 08/12/2002

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

Recent Articles by James Siegel

You must login or register in order to post a comment.



Image Galleries

2015 AHR Expo

Photos from the 2015 AHR Expo at McCormick Place in Chicago.

Posted: February 19, 2015


NEWSMakers: Andy Patron
Andy Patron, partner with FMI Corp., discusses the impact a national labor shortage may have on the mechanical contracting industry. Posted on March 27.
More Podcasts


NEWS 03-23-15 cover

2015 March 23

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

HVAC Trends

The NEWS regularly reports on HVAC industry trends in our weekly issues. What trends do you see?
View Results Poll Archive


2015 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research


Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.


Magazine image
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.


facebook icontwitter iconyoutube iconLinkedIn i con