Construction companies in need of steel and manufacturers in need of palladium have seen double-digit increases in both materials in the last two months, with most analysts forecasting additional increases in the weeks to come.
And things have only been made worse by the Russia-Ukraine war, with upwards of 60% of all pig iron imports into the U.S. coming from both countries since at least 2018.
According to the Data Digest, which is published by the Associated General Contractors of America, the price for U.S. companies of reinforced steel and stainless steel products have seen substantial increases, with aluminum coil and aluminum accessories slated to go up by 10% at the beginning of next month.
Before the war, Russia was serving as a major supplier of aluminum, nickel, and palladium both to the U.S. and a number of other countries. Because of the changed conditions brought on by the war, and the now-scarcity of such materials, prices are up by anywhere from 30% to as high as 211%.
Palladium, used to produce catalytic converters, has increased by more than 25% since the beginning of the month, while the price of nickel, used to make electric car batteries, has nearly doubled.
By Garry Boulard
