SAN FRANCISCO — A steel plate maker has said it is paying about $30,000 more for its steel plates than it did a year ago, citing higher costs of production.
Boeing has been facing pressure in recent months from environmental groups and consumer groups who say its steel-plate products, including the so-called boiler plate, have become a source of climate change pollution and have become too costly to produce.
In a letter to state officials last week, the California Steel Plate Manufacturers Association said the cost of production for steel plates had risen by more than 90% in the past 12 months.
The group’s executive director, Mark Cote, told the state that while the cost had risen because of the impact of increased manufacturing costs, the cost per ton of steel has also increased by about 20% since the beginning of 2017, the letter said.
The association said the increase is partly attributable to higher costs associated with the use of a high-temperature, high-heat steel plate that can melt at temperatures up to 1,000 degrees Fahrenheit.
The association said it has received more than 2,000 requests for comment on the letter, including from companies and individuals who have expressed concern about the rising cost.
Bosco, Calif.-based Boiler Plate Industries, which makes all of the boiler plates in the U.S., has been a leader in producing boilerplate in California for decades, and has also made steel-plates in other states including Illinois and Texas.
The group’s spokesman, Dan Miller, said the company would continue to work with the state and environmental groups to make sure its products are safe for consumers.