What Factors into the Price of Steel?

When the team at Roller Die + Forming is putting together a quote for a new customer project, one of the biggest variables is the current price of raw materials. We pay close attention to the different metals markets, particularly the steel market since so many of our roll form projects are stainless steel, galvanized steel, and other types of steel.

While the current trade discussions and tariffs are effecting pricing of steel coming in from overseas, there are a number of other market drivers as well. Steel is also impacted by the economics of supply and demand, especially the forecasted supply and demand. When we know in advance about a particularly large purchase we need to make, we have some flexibility to watch the market and try to hit the best prices.

Steel is used in many different industries and if one of those industries is strong, such as automotive, then the demand for steel will be higher. Total economic growth and economic policies can impact many different industries and cause the price of steel and other metals to fluctuate. Energy cost changes can also impact the price of steel as it takes heat to melt steel.

While the Roller Die team tries hard to anticipate known pricing changes, particularly those caused by seasonal shifts in transportation patterns and demand, we can’t anticipate every change. Instead, we work with our suppliers and customers to try and get the best pricing on raw material possible. For larger projects with re-occurring orders, we try to track the price of steel based on different indexes to offer fair pricing to our customers.

If you have a steel or aluminum roll forming piece, reach out to the sales team at Roller Die + Forming. Our sales and engineering team works hard to turn quotes around quickly so that you can get the information you need to move your project forward. Reach out to us today to learn more.