FOR IMMEDIATE RELEASE:
Continued Increase in China Steel and Rising Ocean Freight Raise Nail Prices to Highest Level in Recent Years
August 14, 2017
The price of steel continues to be very volatile and moves almost daily. Since July 1, the price of wire rod has increased over 10% to 4200 RMB per ton, a 5 year high. Forced steel plant shut downs by the Chinese government for a myriad of reasons and the increase in the cost of iron ore used to make steel are driving these increases. Additionally the Chinese currency has been devalued against the US dollar 1.5% during this time along with a weakening dollar and have raised costs for wire rod to record recent highs. (example: a 1.5% currency devaluation of the RMB raises the cost by $.18 a box based on today’s costs). In just the past 60 days the cost of a box of roofing nails is up around $2.00 per box.