Forging and Stamping NAICS 3321

Apr 21, 2026 - Metals Markets Disrupted

• The Iran War and closure of the Strait of Hormuz are disrupting global metals supply chains, according to analysts at Wood Mackenzie. The region is a key supplier of aluminum and steel inputs, and disruptions to ports and shipping routes are tightening supplies and raising market risk for purchasers of metals. Aluminum markets were already projected to face a deficit, and interruptions to exports from Gulf producers could further tighten supply and push up prices. The most immediate impact is on steel markets. Iran typically exports about 4 million tons of finished steel and 7–8 million tons of semi-finished products annually, roughly 11% of global semi-finished steel trade. With ports disrupted, this supply has disappeared, causing billet prices to surge as buyers seek alternative sources. For manufacturers that rely on steel and metal inputs, the conflict increases the likelihood of higher costs, shipping delays, and supply volatility.
• Tariffs on steel and aluminum imports to the US have a direct impact on small fabricators’ cost structures, bidding strategies, and overall competitiveness, according to Exiil, a provider of software to metal manufacturers. In March, President Trump raised steel and aluminum import tariffs to the US by 25% -- and then again to 50% -- ending all country exemptions, in addition to hiking tariffs on China, according to Reuters. Russian aluminum imports carry a tariff of 200%. Beyond raw metal, the US has increasingly added “downstream” or “derivative” products – such as stamped parts, fasteners, tubing, wire, or other items with high steel/aluminum content – to existing Section 232 tariffs. As a result, fabricators face higher materials costs. Even companies that source metals domestically are likely to pay more for metal as US mills often raise their prices when foreign competitors’ costs go up – because the “floor” of the market shifts.

• Metal stamping is among the industries likely to be most impacted by President Trump’s 50% tariff on steel and aluminum imports. An International Trade Commission report on the impact of the 2018 Trump tariffs, which ranked industries by their dependence on steel and aluminum, found that motor vehicle metal stamping uses the most steel (58%). Reacting to Trump’s announcement, the Coalition of American Metal Manufacturers and Users (CAMMU) said in a statement: “Re-imposing 25% tariffs on steel and aluminum imports from our allies and without a workable exclusion process puts US manufacturers directly in harm’s way.” It noted that under Section 232 tariffs already in effect US manufacturers are paying significantly more for steel and aluminum than their global competitors, undermining their ability to compete. The statement says small and medium-sized businesses are particularly vulnerable to losing contracts to overseas rivals with unrestricted access to these essential inputs.
• Producer prices for forging and stamping companies rose 4.1% in February compared to a year ago after falling 3.8% in the previous February-versus-February annual comparison, according to the latest US Bureau of Labor Statistics data. Industry producer prices had been trending downward since peaking in May 2022, but began rebounding in 2025 and remain high by historical standards. Employment by the industry shrank 0.6% year over year in January, while the average industry wage at forging and stamping firms continued its upward climb, jumping 10% over the same period to a new high of $28.20, BLS data show. Over the past three years, wage growth at forging and stamping firms was 19.5%, higher than overall private wage growth of 13.2%.