Manufacturers of metal products are passing on the price increases to the rise in prices of their assortment

knesl kynčl architects: Cerit Science Park, Brno (under construction since 2020)

Prague - Manufacturers of metal products are forced to raise prices for their assortment due to rising steel and iron prices. People are purchasing even these more expensive products out of fear of further price increases. This results from responses from company representatives who answered the query from ČTK. Some expect that the price increases could stop by the end of the year. According to building material sellers, the price of iron has risen by up to 150 percent compared to February. Other building materials such as polystyrene, wood, mineral insulation, roof tiles, and formwork boards are also becoming more expensive. There is also a shortage of these materials.

For example, the company TBG Metrostav has recently been experiencing a significant shortage of basic raw materials for construction production. "Currently, there are problems with the lack of iron for the realization of reinforced concrete structures, polystyrene, mineral insulation, roof tiles or formwork boards. We have long been struggling with a shortage of aggregates as a basic raw material for concrete production, and this year we have also recorded issues with cement supplies," said the managing director Jakub Šimáček.

"Steel prices have risen enormously since the beginning of the year. We have recorded an increase of up to 80 percent. This is due to a worldwide shortage of steel. Unfortunately, we are forced to pass this development on to the prices of our production," said the CEO of Vítkovice Cylinders Jiří Brož. According to him, the company is not yet suffering from a shortage of steel. "Supplies are being maintained. However, it is at the cost of daily operations," added Brož. The company produces, for instance, seamless steel bottles, pressure tanks, high-pressure accumulators, or grinding balls.

The price increase for metals has also been noted by the Teplice company TKX Engineering, which is engaged in the production of gate technology and barriers. It also offers windows, doors, and walls made from aluminum profiles. It will respond to rising material prices by increasing the prices of its assortment. According to the owner of the company, Tomáš Kubeš, people will buy even more expensive products. They are afraid that prices might rise further. "I think the prices will keep increasing until autumn, and I would say that by the end of the year, just before the end of the year, it will stop. Otherwise, construction production would stop, and that would be a disaster," added Kubeš.

The owner of the Prague company M-servis, Vít Mátl, described iron prices as "immoral." "Compared to February of this year, they have increased by 100 to 150 percent. Thermal insulation materials and wood are not lagging behind either," Mátl said. His company specializes primarily in supplying materials for historically valuable and protected buildings. "Of course, sometimes an order gets delayed with manufacturers, but generally, it does not threaten us," he added.