Steel
Shortage is Worldwide Problem
The
situation has and will continue to impact pricing in our
industry
 Steel
companies are passing on double-digit price increases to
their customers, prompting protest from buyers, including
General Motors Corp. (GM), about both the pace of the run-up
and the addition of supplemental surcharges to existing
contracts, a recent Wall Street Journal reported.
While
the increases are most intense in the U.S., prices are rising
around the world. In China, steel prices rose 20% for some
products in the past year, while prices for exported Japanese
steel increased 13%. South Korea-based Posco (PKX) this
week said it would raise domestic prices of hot and cold-rolled
steel products 14% starting Feb. 9. Prices in Europe are
flat compared with a year ago, but are expected to rise
this year, according to independent New York-based analyst
Charles Bradford.
China's
demand has boosted steel prices much as they have boosted
those of other raw materials, from other metals to energy
to cotton. Chinese consumption rose 30% last year, and the
fast-growing nation now consumes one-third of the world
output of rolled steel. Rising raw material, energy and
shipping costs also have prompted the rise. Prices for iron
ore, a main ingredient in steelmaking, are rising 19% in
some cases.
This
situation has and will continue to impact pricing in our
industry. While there is simply no way to project where
pricing will be next week or six months from now, we believe
it will continue to increase throughout the year.
Our offices in China are monitoring steel pricing and availability
on a daily basis. We are quoting new orders and projects
based on current and anticipated costs, but prices quoted
could increase if steel prices continue to rise. We are
committed to only pass on the same increase that we receive;
this is not a time to take advantage of market conditions
that are not under either of our control.
We Want To Keep You Informed
We have established a page on
our website to provide you with the most current news and
links to articles regarding the steel shortage. Information
will be updated as it becomes available; simply click
here or look for the following icon on our web home
page.
Receive
Email Alerts When We Post Updates
If you would like to be notified as soon as new information
is available, click
here to register and we will send you an email
when we post an update. You can unsubscribe at any time,
and we will discontinue this service as soon as the situation
stabilizes.
While
the next few months may be some of our most challenging,
all of us at RBI Bearing will do our best to keep you informed
as changes develop.
We're
Giving Away Jump Ropes!
One
winner each month - just click to enter
 Starting
this month, RBI Bearing will give away a Swingmaster™
Classic Pro jump rope valued at $60 every month!
Why
jump ropes? Several years ago RBI worked with Swingmaster™
in the development of this unique product and we produce
the ball bearings used in the Classic Pro.
This
is no ordinary jump rope - it's a state of the art fitness
device that has been featured in many publications including
Time®
and Men's Fitness®.
So,
what do you have to do to win? Just click
here to enter - we will randomly select a winner
each month from all entries received. That's all there is
to it - somebody has to win - why not you?
New
Brochure Features RBI Chengdu
The
evolution of China - see it online or request a copy
Our
new six page brochure is loaded with information and pictures
of our newest radial ball bearing facility in Chengdu, China.
Located
on approximately 6 acres, RBI Chengdu is a 250,000 square
foot facility that was built from the ground up in 2001.
It can run up to 40 production lines at an ABEC 5 level
and produce 72 million bearings annually. The factory is
ISO 9001 certified.
All Chinese bearings are not equal; there are over 1,500
ball bearing factories in China, and knowing who you do
business with is critical to success. Why trust your business
to anyone else?
Click
on the brochure to see a PDF version, or click here
if you would like us to send you a copy.
Final
Word
Happy
St. Patricks Day!
On
Saint Patrick's Day, an Irishman who had a little to much
to drink was driving home from the city and his car was
weaving violently all over the road. A cop pulled him
over.
"So,"
said the cop to the driver, "Where have you been?"
"Why,
I've been to the pub of course," slurs the driver..
"Well,"
says the cop, "it looks like you've had quite a few
to drink this evening."
"I
did all right," he says with a smile.
"Did you
know," says the cop, standing straight and folding
his arms across his chest, "that a few intersections
back, your wife fell out of your car?"
"Oh,
thank heavens," sighs the Irishman. "For a minute
there, I thought I'd gone deaf."
We
Get It Done. |
