Atlas Tube said in a letter to customers Wednesday that it would be increasing prices for hollow structural sections (HSS) products effective with all new orders after 5:00 pm CST, June 26, by a minimum of $2.00 cwt. ($44/mt or $40/nt). The increase applies to all HSS shapes up through 22" SQ and all HSS rounds up through 20" OD. All orders currently on the books would be price protected through July 26.
By Thursday morning, other HSS mills had followed suit. Maruichi Leavitt Pipe and Tube said that effective with all new orders received after 8:00 AM CDT Thursday, June 27, the company will increase prices by a minimum of $2.00 cwt. This increase applies to all products and size ranges. All orders placed and confirmed prior to this increase date will be price protected for shipments through July 26. Any unconfirmed quotes or contracts are subject to this increase.
Welded Tube of Canada made a similar announcement, raising prices by $2.00 cwt. on all HSS and mechanical tube product and Southland Tube and Hanna Steel Corporation all sent similar increase letters out to customers on Thursday. While most of the mills did not state a specific reason for the increase, some did note that higher HSS prices are due to "escalating raw material costs." US domestic flat rolled mills initiated a third round of price increases this week.
This week's HSS increase is the second so far in June. In early June, mills announced price increases ranging from $1.50-$2.50 cwt. ($33-$55/mt or $30-$50/nt), depending on the mill.