Steel shed price Rise

Posted on : September 19, 2011

Steel Price Rise Due in next 3 to 7 Weeks

BlueScope Distribution has notified customers of an impending two tier price rise in the coming weeks. It involves a base steel rise of between $60 to $120 per tonne on most product groups. As well they will be implementing specific surcharges to recoup key costs. These surcharges will be provided shortly.

 

Steel Shed Prices will rise with Australian Steel?

 

This comes after a significant bonus of over $3 million was paid to Key BlueScope Management (11 people) as a reward for leadership – not profit incentive? The notification states that volitilty in steel prices, rising labour costs, rising freight costs, rising processing costs, rising warehouse costs, and a rise in general utilities are the reasons. Along with the iron ore and coal price increase that has caused the steel price rise – the others will be included in the additional surcharges.

They state they have begun to receive notice from their steel suppliers (BlueScope Steel) of pending price increases. This does not look good for further sales of BlueScope Steel in the shed industry. With imports on the rise at cheaper prices currently – this price rise will further erode steel sales by BlueScope.

It will also follow by a notification by One Steel on its price increase – so many of the big shed manufacturers will be importing direct to keep competitive in the shed industry. Many of the big reseller shed companies will want to lock in prices for as long as possible to avoid this increase. Negotiations are already occurring between some of the big rollformers and BlueScope, along with talks between rollformers and shed companies.

 

Have you been told of this price rise?

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5 Responses to “Steel shed price Rise”

  1. Peter of Bundy said...

    I didn’t know of this price rise! Strange how you can read about on the net and not be told by the rollformers.

  2. John said...

    Shedeye,

    Are you sure of this price rise?

    I am deep in the industry and have heard nothing. Where did you get this information from?

  3. The Roofer said...

    Shedeye,

    I hadn’t heard either – amazing breaking story after big bonuses and sackings – then they increase the steel price ….. UNBELIEVABLE!!!

  4. Shed Builder said...

    How much will the additional surcharges be?
    Just what we need in these times.

  5. frog said...

    it’s coming alright, have been notified of steel price increases through all my steel suppliers, Onesteel, bluescope, stramit, surdex, GAM, 1st sept

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