Architectural & Structural Metals Mfrs NAICS 3323

Mar 18, 2026 - Metals Markets Disrupted

• The Middle East conflict 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 aluminium and steel inputs, and disruptions to ports and shipping routes are tightening supply and raising market risk for manufacturers that purchase metals. Aluminium markets were already projected to face a deficit, and interruptions to exports from Gulf producers could further tighten supply and push prices higher. 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 effectively 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 raw material costs, shipping delays, and supply volatility.
• The US construction industry lost 11,000 jobs on net in February, according to an Associated Builders and Contractors analysis of Labor Department data. Nonresidential construction employment decreased by 3,800 positions, with losses in two of the three subcategories. Heavy and civil engineering lost 6,500 jobs, and nonresidential specialty trade lost 1,400 positions, while nonresidential building added 4,100 jobs in February. Construction employment has declined in eight of the past 11 months, and industry backlog has dropped to a four-year low, reflecting weaker construction activity and spending. For manufacturers of structural and architectural metals, these trends may signal softening near-term demand, particularly for products tied to infrastructure, specialty trades, and certain nonresidential projects. Reduced construction activity and project uncertainty, driven by high oil prices, geopolitical tensions, and policy uncertainty, could delay new projects that require metal framing, architectural components, and fabricated structural materials.

• Skillings Mining Review in January warned of a coming “copper crunch” this year due to accelerating supply pressures and the likelihood of 2026 prices holding near $10,000–$12,000/metric ton. As such, architectural and structural metals manufacturers may face sustained input inflation as the refined copper deficit grows and new mine supply remains years away. With banks converging on higher price forecasts and structural constraints preventing meaningful supply relief, manufacturers should expect persistent cost pass‑through from distributors and fabricators. Tight copper markets also risk schedule disruptions: longer lead times, allocation‑based purchasing, and greater volatility. As energy‑transition projects, EV infrastructure, and data centers absorb more copper, competition for copper will intensify, raising procurement risk for metal purchasers. For 2026, the environment points toward higher bid prices, tighter margins on fixed‑price contracts, and a stronger need for hedging, early purchasing, and diversified supplier networks.
• Producer prices for architectural and structural metals manufacturers rose 9.2% in November compared to a year ago after a modest 0.9% rise in the previous November-versus-November annual comparison, according to the latest US Bureau of Labor Statistics data. Import tariffs on aluminum and steel, along with the more recent tariff on raw copper, drove producer prices for architectural and structural metals manufacturers to record highs in 2025. Employment by the industry grew 3.2% year over year in November, while average wages at architectural and structural metals manufacturers rose 4.4% over the same period to a new high of $27.74 per hour, BLS data show.