While working on a recent project we needed some custom fabricated stainless steel brackets to reinforce some work we were installing. For a few dozen brackets the cost came to over $1,000 for the materials alone. Our metal fabricator out of Chico, R&D Hydraulics, stated that the price of steel has skyrocketed in the past couple of years, costing almost twice what it would have cost. Pressure from the Chinese and other developing markets has driven the cost up.
Our particular incident is a microcosm of larger pressures on businesses reliant on steel. From our metal fabricator to the auto makers of Detroit, companies are scrambling to deal with the high cost of steel. Here is a good article from the Detriot Free Press detailing the problem.