Extra cost for steel is a concept that remains important in production. It is always changing, always shifting. It is neither friend nor enemy but an unpredictable force shaping the world of steel shot, steel grit, and the industries that rely on them. Today, it is rising, demanding attention, and reaching numbers that make people look twice. But this isn’t the first time it has risen. No, it has done this before.
In May 2008, the steel surcharge shot up fast, climbing unbothered by the peak. By September of that year, it hit $845 per ton. A huge number, and a big expense. Then the recession came, shaking steel markets around the world. The surcharge dropped, falling below $250 per ton in less than a year. A big fall, but short-lived. It was only crouching, getting ready to jump again.
What is Steel Surcharge?
The pricing for steel shot and steel grit follows an unusual system. The base price stays the same. But there is a surcharge that changes every month, moving with market conditions. It makes sure steel keeps its true, shifting value.
The demand comes from Asia and Eastern Europe. These places take in a lot of scrap steel. A lot of it is sent overseas to meet their constant needs. This results in shortages and delays and a steel surcharge that climbs again, jumping 500% in just five years. In the past six months alone, it has almost doubled. If you thought this was just a short-term rise, think again. Unless steelmakers find a way to produce a lot more steel quickly, this problem won’t go away.
Why is There an Extra Charge for Steel Scrap?
The story of steel grit and shots starts with scrap metal, the foundation of what they are. This scrap is melted, cleaned, reshaped, and then blasted into tiny pieces with high-pressure water jets. But scrap steel is as unpredictable as the weather. Prices jump up and down, making long-term buying a tough job.
A pricing system was made to bring order to the chaos. A fixed base price stays the same. A surcharge, flexible and changing, moves with the market. The Iron Age Scrap Price Bulletin became the standard for setting this charge, helping buyers and sellers handle the ups and downs of steel prices. For more than 30 years, this system has been in place, helping everyone manage costs in a fair and structured way.
Steel Grit: The Cutting Edge
Steel grit blasting media is the top choice for tough cleaning jobs. It removes dirt and rust with a strong force, slicing through layers. Softer than aluminum oxide, steel grit is great for surface preparation. Its rough edges dig into metal, working on surfaces that hold onto paint, epoxy, enamel, and rubber.
Steel Shot: The Finisher, The Strengthener
Steel shot is the star of metal finishing. Instead of cutting, it smooths, polishes, and strengthens. Using a process called peening, steel shot cleans and toughens metal surfaces, making parts stronger to handle heavy loads. Crankshafts, turbine blades, and heavy-duty springs are metal parts that rely on steel shot to last longer.
A smaller steel shot gives a smoother finish. A bigger one hits harder but leaves a rougher surface. Whether powered by air or thrown by a wheel, steel shot is the trusted choice for top-quality surface work.
Steel shot and steel grit depend on steel scrap, which is controlled by a market that is unpredictable. As the steel surcharge rises fast, industries need to adjust, plan, and prepare. The signs are clear—this trend isn’t stopping. The echoes of 2008 serve as a warning: steel surcharge levels could soon reach new highs.
The good news is that the economy is strong. The bad news is that costs are rising. If you need steel shot or steel grit in the next few months, now is the time to act. Buying ahead could save you from higher costs later. The steel surcharge waits for no one.
The steel surcharge may be unpredictable, but your supply chain doesn’t have to be. At Kramer Industries, we provide high-quality steel shot and steel grit at fair prices, keeping your business running smoothly even when the market shifts. Whether you need a powerful cleaning force or a smooth finish, we have the right blasting media for your needs. Don’t wait until prices climb higher—secure your supply today. Contact Kramer Industries now and stay ahead of the rising steel surcharge.