Tariffs on Steel and Aluminum and the Florida Roofing Market

There is a lot of buzz in the news about President Trump levying 25% tariffs on steel and aluminum imports.

If you’re a roofing contractor, you will want to know a few details about Tri County Metals, our purchasing cycle, buying power, and what to expect next.

When viewed from a high level, there are two main product groups we purchase: galvalume coil and painted coil.

Tri County Metals’ Market Position

First, it’s essential to understand Tri County Metals’ market position and buying power. Our market position and volume in Florida allow Tri County Metals to purchase galvalume stock at levels up to 6 months out. This puts Tri County Metals in a position where imposed tariffs will not immediately impact our pricing. While others in the Florida market have already had significant price increases, we don’t anticipate any imminent increases for galvalume product.

Justin Spears, our Purchasing Manager at Tri County Metals had this to say, “…the anti-dumping trade cases could potentially impact us…the biggest issue we have ever faced was COVID-19, and that was a significant supply shortage…Today, the market has plenty of supply.”

So, while there is always potential for price increases related to the effects of imposed tariffs, with the information we know at this time, we do not anticipate a price increase is imminent.

Tri County Metals uses Domestically-Sourced Painted Coil

Next, we will discuss how and where we purchase our painted coil. At Tri County Metals, our painted coil supplies are sourced domestically, ensuring high quality. And for this stock, we typically have up to 6 weeks of stock on the floor in all colors, including flats for trim components.

However, with the announcement today regarding aluminum tariffs, we do anticipate to announce price increase in early March for aluminum painted product.

For steel substrate painted products, we anticipate a less imminent impact.

All those facts combined mean new tariffs will also have a limited impact since we don’t source less expensive, foreign-sourced coil. Just know if you price shop aluminum panels, that’s a key difference to understanding the product's quality and the paint finish. There’s no money in callbacks. Something to keep in mind.

So, while others have seen many price adjustments already, aside from aluminum painted product, Tri County Metals doesn’t plan on announcing increases imminently, which means our buying power directly benefits our valued customers and the homeowners they serve.

At Tri County Metals, we relay this information to give our customers as much notice as possible on any pending pricing adjustments.

Existing Estimates will be good for 30 days following a price adjustment announcement

As always, we will allow a 30-day time frame for existing estimates in our system following any announcement of a price adjustment. This will give you and your sales teams time to follow up with pending projects to encourage the project to move forward with the homeowner.

Contractors’ Sales and Marketing Messaging to Florida Homeowners

If you’re a roofing contractor, moving forward, for your sales and marketing message to your customers, you may consider communicating that you align with the best supplier in Florida, which helps control your pricing. Also, if you’re a homeowner, now is the time to pursue a reroofing project. This is an excellent opportunity for your sales team to book jobs well into early summer.

Most importantly, now is also the time to evaluate your sales agreements / homeowner contracts in light of potential increases to be sure you have incorporated proper escalation clause language (language in your agreement that allows for price changes based on external factors) and explanation to homeowners during the sales process.

As always, Tri County Metals is here to help. Our skilled Business Development Managers are just a call, text, or email away and can assist you in a variety of ways as you navigate this interesting steel and aluminum market for your metal roofing sales, providing you with the support and guidance you need.