There’s been much concern over recent months about steel shortages, brought about by the effects of the pandemic. Lockdown across Europe, and globally, resulted in a sharp fall in demand, leaving many steel mills little option other than to stop production.
With many firms already holding steel stock, and a concern about future cash flow and customer demand, it was deemed prudent by many to use up the stock they had before placing orders for new stock. This led to a fall in steel production of around 50%.
Following an easing of restrictions last Autumn, there was a surge in demand again, but not at the usual levels. Therefore, due to the increase in costs to the mills – having to fire up furnaces for fewer orders – prices rose significantly, leading to further lack of commitment in the market place.
Fluctuating prices are expected to continue well into 2021 but are expected to flatten as, hopefully, businesses move towards full production again.
AMDECK stock remains secure
We’re pleased to say that at AMDECK’s steel stock levels remain good, and further supplies are scheduled for delivery throughout Spring 2021.
With close, long-term relationships with steel producers across Europe and internationally, we are confident that we can meet the future needs of our customers.
For more information about the steel shortages, click here