AP reported that shares of AK Steel Holding Corporation jumped after the steel maker announced a USD 70 per tonne customer surcharge for electrical steel products shipped next month.

AK Steel said that the July surcharges were based on reported prices for raw materials and energy used to make the products. It used the May purchase cost to determine the surcharges.

The surcharges followed an announcement Monday that AK Steel will increase spot market prices for its carbon steel products by USD 20 per tonne starting with new orders scheduled for delivery on and after July 1st 2009.

Like other US steel makers, AK Steel has scaled back production dramatically as the global recession and credit crisis hits major buyers of the metal in the automotive, construction and industrial equipment markets. Among AK Steel's most important customers are General Motors Corporation and Chrysler LLC.

(Sourced from Associated Press)