|
Article Excerpt
Steel prices are rising, supplies are tightening and demand is as uncertain as the economy. Four members of the Association of Steel Distributors shared their views on current and future market conditions during ASD's January meeting in Detroit. Jim Barnett, president of Grand Steel Products Inc. served as moderator. Following is an edited transcript:
Panelists:
* Lisa Goldenberg, chief operating officer, Delaware Steel Co., Fort Washington, Pa.
* Charlie Trowbridge, vice president of flat products, Macsteel International, White Plains, N.Y.
* Jeff Diener, general manager, Lee Steel Corp., Southfield, Mich.
* Michael Bush, president, Century Steel, Chicago Heights, Ill.
[ILLUSTRATION OMITTED]
Barnett: With weakening demand in most industrial sectors, how will your company handle the concerns of your customers regarding escalating prices and reduced availability?
Goldenberg: Unlike in Detroit, there are sectors where demand has been steady. Delaware Steel is based out of a Philadelphia suburb, but we take positions on steel all over the country. I would say that demand is not lousy everywhere, just in some places. That being said, for most of the country demand is certainly flat.
People are beginning to plan for spring and summer and realize they will have to pay higher prices, but I don't know how to explain to them why prices have gone up so rapidly in just the past few weeks. I am deeply frightened for American manufacturing in general. We are starting to see people getting bids for contracts that could bring jobs back to this country--and then we have to quote these high numbers.
Bush: It's a simple scenario. If you want to keep your machinery running, you have to pay the increased price for steel. We have 10 companies across the Midwest that are part of Esmark's Service Center Group [Century Steel is a subsidiary of Esmark] and every one of them is facing the same challenge--pushing through price increases forced by supply, not demand.
Diener: Most of the furniture manufacturers have gone to long-term indexed purchasing programs. We are...
|
|
More articles from Metal Center News
Interseroh, a German-based raw materials trading group, has exercised ..., March 01, 2008
Alcoa Inc., March 01, 2008
U.S. Steel-Serbia has started up its No. 2 blast furnace after complet..., March 01, 2008
Trageder Corp., Richmond, Va., will sell its aluminum extrusions opera..., March 01, 2008
Kaiser adds $14 million to investment plans.(METAL INDUSTRY NEWS), March 01, 2008
Looking for additional articles?
Search our database of over 3 million articles.
Looking for more in-depth information on this industry?
Search our complete database of Industry & Market reports by text, subject, publication
name or publication date.
About Goliath
Whether you're looking for sales prospects, competitive information, company
analysis or best practices in managing your organization,
Goliath can help you meet your business needs.
Our extensive business information databases empower business
professionals with both the breadth and depth of credible,
authoritative information they need to support their business
goals. Whether it be strategic planning, sales prospecting,
company research or defining management best practices -
Goliath is your leading source for accurate information.
|
|
