Following the crisis in Ukraine, British Steel became the latest industrial company to issue a warning about rising power costs, raising pricing for major portions of steel to more than £1,000 per tonne on Friday.
According to one industry expert, the £250 per tonne increase for all new orders, a 25% increase, is the group's greatest one-time increase.
The decision by Britain's second-largest steelmaker, which controls the massive Scunthorpe facility in eastern England, would exacerbate already-existing construction-industry constraints.
The increase might raise prices for the UK's greatest infrastructure project, the new HS2 high-speed railway line, which has already purchased almost 70% of the structural steel required for the first leg of the route to Birmingham. HS2 stated, "We continue to work closely with our supplier chain to proactively analyze future cost spikes and explore mitigating options."
The materials and information on this article have been prepared or assembled by Viet Nam Steel and are intended for informational purposes only.