DENVER — The increase in steel prices is causing price increases on several product lines, including another increase on Hercules manufactured products, which will increase in price by an average of 15%.

Several factors have led to these steel price increases including:

  • Delayed demand from 2020 coupled with restricted material supply.
  • Domestic mills late on deliveries causing spot outages in the markets. (Supply chain disruptions)
  • US mills are on allocation – restricting material quantities that can be purchased.
  • Availability of spot purchases with US mills is non-existent.
  • Demand continues to be stronger than expected and mills are not able to keep up. (Demand is outpacing Supply)
  • Global steel supply is also experiencing availability issues, lead times for foreign mills are about 4-6 weeks longer than domestic mills.

A summary table of the announced price increase:

Vendor % Increase Date of Increase
Hercules Sheet Metal Products 15% 6/1/21
JPL-Flexible Duct 7% 5/7/21
Shoemaker- Grilles and Registers 9% 6/1/21
Allied Air-Heating & Cooling Equipment 5-7% 6/1/21
PMI-Evaporative Coolers 10% 4/26/21
First Company- Air Handling Units 6% 6/4/21

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