Most of the commercial valve players have announced increases for mid-June and July 1. Business remains strong in many markets and demand is high. There still is uncertainty with respect to the whole tariff issue, material cost, material availability, exchange rates and most recently rising fuel costs.
With the increase in oil comes fuel surcharges on freight. Any continuation of rising oil may mean more in the way of surcharges or absorption through pricing.
Lead times continue to stretch out for forged and cast steel valves, but pricing has remained at beginning- of-year levels.
- Commodity metal costs remain high. Copper averaged $3.09/ lb. in May but is trading in the $3.25 range in mid-June.Steel, zinc and nickel and iron all are up sharply for the year.
- These elevated metal costs together with increases in freight, energy and other costs have resulted in another round of valve price increases.
- Apollo Valves implemented a June 11 general price increase.
- Most other major valve manufacturers have announced similar price increases, with early July 2018 being the typical effective date.
- Overall the market outlook remains steady.
The American Supply Association (ASA) and its Industrial Piping Division (IPD) is the national organization serving wholesaler-distributors and their suppliers in the industrial and mechanical pipe-valve-fitting industry. As a powerful alliance of channel partners, we provide a forum for your upstream trading partners to exchange critical information and address key issues.
In particular, ASA’s IPD members constantly check the pulse of the materials and commodities they proudly supply to you. ASA’s IPD members are knowledgeable industry leaders, and those who volunteer their service on the IPD Executive Council compile and prepare the IPD Commodity Reports. The Reports contain some of the most current and qualified market data and information available from the industry’s leading manufacturers and distributors about emerging trends and other price-influencing actions and events.
This information is an example of how ASA’s IPD manufacturer and distributor members are constantly looking ahead to ensure you have information and resources you need to be successful. Learn more at www.AdvanceYourAbility.com.