Salzgitter AG, Germany's second-largest steelmaker, has raised steel prices for 2005 by as much as 20 percent or more and reiterated it is ``optimistic'' for the year.
The steelmaker has increased prices at least 5 percent, as costs for iron ore, scrap metal and freight have soared, said Bernhard Kleinermann, a spokesman for the Salzgitter-based company.
``Most customers have accepted our prices,'' Kleinermann said by telephone. ``The increases make us optimistic for 2005.''
Salzgitter Chief Executive Officer Wolfgang Leese, forecasts sales next year will rise at least 9 percent, after global economic growth and demand from China helped boost prices this year to their highest level in two decades.
Salzgitter increased prices for flat steel between 5 percent and 8 percent and for heavy plate between 10 percent and 15 percent. It raised prices for annual contracts by 20 percent and more, Kleinermann said. Bloomberg