Structural steel fabricators were passed by when the U.S. offered protection from cheap imported steel by placing tariffs on some flat-rolled steel products last March, including a 30% tax on steel plate and 15% on reinforcing bar. This leaves U.S. structural fabricators still facing stiff price competition from foreign firms just as the downturn in the commercial markets puts a squeeze on their backlogs.

"We're dead in the water," says Alan L. Humbard, purchasing manager for Portland, Ore.-based Fought & Co. Inc. "I've been in this business 35 years and this is the worst [business climate] I've ever seen." In addition, he anticipates severe price drops on flange steel. "Our industry is absolutely struggling right now and that's got to create pressure on prices."