SMU Data and Models

Mill Lead Times & Mill Negotiations: Still Tight (signs of loosening?)
Written by John Packard
December 19, 2013
Lead times continue to be longer than normal with hot rolled averaging more than 4 weeks (4.23 weeks), cold rolled exceeding 6 weeks (6.04 weeks), galvanized at 6.51 weeks and Galvalume averaging 6.83 weeks. All of the flat rolled steel lead times measured this week are extended compared to last year during the middle of December. Our survey respondents are reporting galvanized as having the biggest change compared to last year having added a full week to its average.

As we approach the end of the year we are capturing some movement in hot rolled as our survey respondents reported the domestic mills as being more willing to negotiate HRC than they were just two weeks ago (56 percent vs. 41 percent). All of the other items had increases in negotiations but the continued to be relatively modest adjustments.

John Packard
Read more from John PackardLatest in SMU Data and Models
SMU flat-rolled market survey results now available
SMU’s latest steel buyers market survey results are now available on our website to all premium members.
SMU Survey: Current Sentiment sinks to lowest level since May 2020
SMU’s Steel Buyers’ Sentiment Indices both fell this week, with Current Steel Buyers’ Sentiment notching the lowest reading since May 2020.
Busheling and shredded tags drop, widening HRC vs. prime scrap spread
US scrap prices fell on busheling and shredded in October, while HMS remained flat, market sources told SMU.
SMU Survey: Lead times remain short
Steel mill lead times ticked lower across most sheet and plate products this week, according to responses from SMU’s latest market check.
SMU Survey: Mills more negotiable on spot orders
Mills are more willing to negotiate spot prices for both sheet and plate products, according to our latest market survey results.
