Australian steel manufacturers have announced another price rise, which unfortunately means the cost of all our shed kits will be going up again.
This is the 5th price rise since March this year, with another scheduled for February 2022.
And it doesn’t look like settling down soon, with global steel prices expected to continue rising at unprecendented rates. So while the record-breaking iron-ore prices are good news for mining giants such as BHP, it’s tough going for shed builders and their customers.
So why is the price of steel going up?
There are a few reasons that the price of steel is going up.
- Unprecented demand for steel thanks for COVID-19 economic stimulus packages. Many countries across the globe are engaging in major economic stimulus packages that include large infrastructure projects.
- Demand for steel locally due to the construction boom in Australia. Thanks to record low interest rates and the HomeBuilder Grant, Australia’s construction industry is booming. A shortage in timber means the demand for steel has increased.
- Many steel manufacturers overseas have closed or reducted output because of the pandemic.
What does this mean for builders?
It is a strange situation, but due to the construction boom an increased number of builders across the country are having to close their doors due to shortages in materials and build times extending due to demand and labour shortages. With some builders having to absorb any unforseeable material price increases that occur in the time between the contract being signed and the materials being delivered.
What does this mean for customers?
With another rise coming in February and the upward trend in prices looking like they’ll continue, it is it unlikely that shed prices will get any cheaper any time soon. If you’re thinking about putting a shed on your property it might be best to get in before the next price rise.
At Endurance Sheds Mackay, we remain committed to providing customers with the best quality Australian-made product.
Thanks for your continued support during this time. If you’d like to get started on your shed, visit our website for a free quote at www.esheds.com.au or phone us 4998 5600.