CHICAGO Sapa Extrusions North America plans to increase base prices on all extruder products by 3 cents per pound.
The move is necessary because of increased costs for billet, aluminum scrap and power, the company said in a letter to customers dated Feb. 19. While Rosemont, Ill.-based Sapa has "held the line on pricing," it said it is now necessary to "pass along a portion of these increase."
The move is effective for all new orders accepted on or after March 3 and for shipments on or after March 10, Sapa said. Firm metal contracts and supply agreements directly tied to an end-use customer wont be affected by the change, the company said.
Sapas move was followed by Prince George, Va.-based Service Center Metals LLC (SCM), which also increased conversion prices by 3 cents per pound effective March 3 for all new orders and with all shipments after March 10, according to a customer letter dated Feb. 19. Firm metal agreements wont be impacted by the increase, SCM said.