Garage Door Corporation has received price increase notices from Clopay. Clopay has announced a significant price increase of 5.5% on all garage door products effective 05/14/2018. Clopay's last increase was 4.20% to 8.0% effective 02/26/2018. Unlike Amarr (who announced a 5.4% increase effective 05/21/2018), Clopay will honor existing pricing for orders in their system by the date of the increase 05/13/2018. Source is the dealer letter dated 04/12/2018 by Pat Lohse who is VP of Marketing and Mike Taylor who is VP of Sales and Customer Service.###
As most of you are aware, the government has imposed tariffs on imported steel and aluminum of 25% and 10%, respectively. These tariffs have had a dramatic and immediate impact on domestic steel and aluminum prices. Since December of 2017, the CRU price of hot-dipped galvanized steel used to manufacture garage doors has increased 33% and aluminum has increased 10%, with the forecast calling for continued volatility. Freight costs not related to fuel have also increased over the past several months, driven primarily by driver shortages, higher wages and increased equipment operating costs. As a result of these cost increases, we must implement a price increase effective on orders placed on or after May 14, 2018, as follows:
All steel and aluminum commercial and residential sectional steel doors, and rolling steel doors, door options and parts, increase 5.5%.
Freight rates will increase 8.5%. This includes minimum and maximum freight charges and percentages. For example, if your current freight rate percentage is 10%, your new rate will be 10.85% (10% x 1.085).
At this point, no one is certain how these tariffs will continue to impact steel and aluminum prices going forward. We encourage you to follow the news since these higher costs will likely affect construction projects, labor and transportation.
As always, we appreciate your understanding of these necessary price changes, and your continued commitment to Clopay.
We will honor proposals written prior to the manufacturers price increase for the time indicated at the bottom of the proposal (usually 45 days). Please contact us with any questions about how this may effect a proposal we have provided for your project.
Garage Door Corporation is still making pricing adjustments but expects to pass along most of this price increase. This will affect garage doors & parts sold in the Chicago, IL area as well as out of area requests. Please check our website at www.gdcorp.com for further details.