Thanks to a 'perfect storm’ of factors, as Armstrong Steel explains, steel prices rose more than 200% from the start of the pandemic in 2020 to the middle of 2021.

Englewood, CO, Oct. 27, 2022 (GLOBE NEWSWIRE) -- Prices for almost everything have gone up over the last few years, and steel is no exception. Unfortunately, as Armstrong Steel explains, steel is such an omnipresent material that it's affecting the cost of many end-user products such as vehicles, refrigerators, and more.

From the onset of the COVID-19 pandemic in the United States in March of 2020 through 2021, steel prices rose a whopping 215%. According to a Forbes report, the price for steel that is hot-rolled reached a high of $1,825 in July of 2021, compared to a typical pre-pandemic price of between $500 and $800.

There are many reasons why the price of steel has skyrocketed recently. Of course, supply and demand is an obvious factor in the price increase, as global production hasn't kept up with new demand.

China's appetite for steel has gotten much more significant in recent years, with the country helping to double the global demand for seaborne iron ore. This caused steel and mining companies to work on shorter-term contracts instead of the longer-term deals they were once used to before the price spike.

There are even some companies in the steel industry that were forced to halt new orders due to their inability to fulfill orders or price them properly. Some companies were even limiting how long their quotes were good for, as the price of steel was so volatile that it was hard to get a handle on their business.

While the unprecedented spike in the steel industry has finally plateaued, it is not likely to revert to pre-2020 levels considering inflation remains an ongoing challenge for companies and consumers alike.

The good news is that, compared to many other building material prices, steel is not as bad. Lumber, for example, rose at exponential rates during the pandemic, causing substantial ripple effects in many industries and homes across the globe.

While this happens, many steel companies are passing along their increased costs to their customers. This makes everything more expensive -- from consumer home goods to commercial real estate structures.

About Armstrong Steel

As a leading manufacturer of prefabricated and pre-engineered metal buildings, Armstrong Steel Buildings takes pride in delivering high-quality steel buildings across North America. Armstrong Steel Buildings has been delivering high-quality steel buildings for nearly twenty years and provides structures to residential, commercial, agricultural, government, and military agencies.

Contact:

• Name: Armstrong Steel Buildings

• Email: pr@armstrongsteel.com

• Organization: Armstrong Steel Corp

• Address: 2 Inverness Dr. East, Englewood CO 80112

• Phone: 800-345-4610