Market Pulse
November 12, 2026
🚚 Diesel prices ease, but transportation costs remain elevated. The national average retail diesel price fell to $6.13 per gallon for the week ending Nov. 9, down from $6.29 the previous week, according to the U.S. Energy Information Administration. Despite the recent decline, diesel remains $2.29 per gallon higher than a year ago. Fuel costs continue to affect inbound materials, outbound shipments and supplier surcharges, making freight expenses an important consideration for equipment manufacturers.
🏗️ Steel prices continue their steady climb. Nucor raised its hot-rolled coil consumer spot price to $1,295 per short ton for the week of Nov. 9, up $15 from the previous week. The increase marks another step in a sustained run of price hikes, with tight domestic availability continuing to support higher prices. Spot-order lead times remain at three to five weeks, making material costs and delivery schedules important factors in production planning.
🔩 Aluminum supply constraints push near-term premiums higher. Tight inventories have driven the premium for near-term aluminum on the London Metal Exchange to $94 per metric ton, its highest level in five months, according to Reuters. The premium reflects tighter immediate availability rather than the full price of aluminum. Supply disruptions and limited inventories could add pressure to manufacturers sourcing aluminum-intensive components.
📊 Manufacturing activity strengthens as raw-material prices continue rising. The Institute for Supply Management’s Manufacturing Purchasing Managers’ Index climbed to 55.5 in October, up from 54.5 in September, signaling a 10th consecutive month of expansion. The Prices Index eased to 75.2 from 77.9 but indicated that raw-material prices increased for the 25th consecutive month. Steel, aluminum, petroleum-based products and freight remain among the reported cost pressures. Stronger manufacturing activity is encouraging, but elevated input costs continue to challenge margins and pricing decisions.
🌽 Corn harvest lags while soybean harvest moves ahead. As of Nov. 8, 81% of the U.S. corn crop had been harvested, five percentage points behind the five-year average. Soybean harvest reached 92%, one percentage point ahead of average, according to USDA data. Corn harvest delays could affect farm cash flow in some regions, while soybean harvest is nearing completion.
🚜 What Manufacturers Should Watch
Rising material costs and softening farm equipment sales create a challenging outlook for manufacturers heading into 2027. U.S. tractor sales fell 16.4% year over year in September, while combine sales declined 10.9%. Although overall manufacturing activity expanded in October, raw-material prices continued to increase for the 25th consecutive month, and supplier deliveries slowed for an 11th month. Manufacturers and dealers should watch order activity, inventory levels, supplier lead times and pricing pressures closely as they plan production and budgets for the year ahead.
Sources: U.S. Energy Information Administration — Diesel Prices, Steel Market Update — Nucor Steel Prices, Reuters — Aluminum Market, Institute for Supply Management — October Manufacturing Report, DTN — USDA Crop Progress and Association of Equipment Manufacturers — September Tractor and Combine Sales.