Ohio construction supplier boosts prices
West Chester, Ohio-based Contech Construction Products has announced a price increase for all of its metal products, effective Feb. 1, 2011. The price increase will be 10 percent across the firm’s line of products made of metal.
“Steel prices have increased over 30 percent in the past three months and continue to escalate,” said Steve Spanagel, president of Contech Sales. “The rising cost of raw materials used to produce steel and the increased demand for carbon steel products are the primary reasons for the escalation. As always, our goal is to have a minimum impact on our customers, while recovering the increases we have felt in raw material costs.”
Contech Construction Products provides site solution products and services to the civil engineering industry. The firm’s product portfolio includes bridges, drainage, retaining walls, sanitary sewer, stormwater, erosion control and soil stabilization products and services. The company has 50 offices nationwide.
A sign of more price hikes?
Contech’s announcement may be an indicator of more price adjustments down the road at U.S. manufacturers. With economic activity in the manufacturing sector expanding in December for the 17th consecutive month, according to the Institute of Supply Management’s (ISM) “Manufacturing Report on Business,” commodity price hikes are a big concern.
“Strong pressure still exists on raw material prices in almost every area,” said a plastics and rubber products supply executive who serves on the ISM Report on Business survey panel. The report showed 27 commodities up and just one commodity down in price in the latest report.
ISM’s report showed manufacturers are paying more for a variety of metals, including aluminum, brass, copper, copper-based products, nickel, stainless steel, steel products and tin plate.
