Canadian steel mills increase surcharges for the third time

Canadian steel mills increase surcharges for the third time

According to recent news in the market, Canadian steel makers are in intention of lifting surcharges for the third time due to surging raw material prices and costs. Accordingly, surcharge on benchmark grade of steel is expected to be $120 per ton effective in April. The surcharge in March was $95 per ton. Implementation of surcharges began with $25 per ton in January and it is stated that the surcharges have continued to increase due to surging prices of natural gas, coal and scrap. However it is expected that surcharges will begin to decrease in May as transportation will be easier depending on spring. Meanwhile, steel prices have also increased due to the factors stated above together with supply problem.