AK Steel said today that it is adding a titanium component to its stainless steel raw
material surcharge due to a nearly five-fold rise in cost of the steelmaking
alloy since the beginning of 2004. The surcharge, effective with shipments on
and after May 1, 2005, will be applied to all grades of stainless steel sheet,
strip and plate products that contain a titanium addition.
AK Steel said its surcharge will be calculated based on the percentage of
titanium utilized by stainless steel grade, using a base rate of $3.50 per
pound in conjunction with the average monthly price as published by Ryan's
Notes for US 68%-72% grade titanium.
The monthly average titanium price for
March 2005, which will be used to calculate the surcharge for May shipments,
is $14.889 per pound. The titanium component will be included in AK Steel's
May 2005 stainless steel surcharges, which are to be published later this