Stemming from the continuing crunch in the steel sector, Worthington Industries, Inc. has announced a price hike on all CryoScience freezers and aluminiums shipping from its facility in Theodore, Alabama.
Prices will advance by 5% across its LABS, K Series and LS freezer models as well as its aluminium dewars. The rise is effective with all new orders that are shipping on or after 1st January 2017.
This is the second price increase in four months as the US-based business also implemented a 10% hike on all non-refillable refrigerant cylinders in August this year.
Dusty McClintock, Vice-President and General Manager of Worthington’s pressure cylinders business, explained, “Steel material prices have increased significantly over the past several months.”
“Every effort has been made to minimise the impact of rising raw material costs. However, recent raw material pricing has significantly escalated out production costs and we must adjust accordingly.”
The metallurgical end-user sector is an important revenue stream for the industry, with gasworld Business Intelligence estimating that the sector generated up to 13% of global industrial gas revenues in 2014.
However, intensifying challenges in the global steel sector has put the US under pressure in recent years, with the influx of cut-price imports from China and other South East Asian nations flooding the rest of the world’s markets.
On the whole, world crude steel production for the 66 countries reporting to the World Steel Association (worldsteel) was 134 million tonnes (Mt) in October 2015, with production from the US dropping 8.8% compared to October 2014, producing 6.7 Mt of crude steel.