SMU Data and Models
Lead Times Extend on All Flat Rolled Products
Written by John Packard
April 3, 2014
Mill lead times moved out over the past two weeks. We are seeing lead times extending by as much as one week on hot rolled and cold rolled and three quarters of a week on galvanized. We did some quick checking and HRC, CRC and GI lead times are the furthest we have recorded since we began collecting lead time data in August 2011. Galvalume lead times remained relatively stable at 6.78 weeks, which is almost one full week longer than at this time last year.
Hot rolled lead times were almost two weeks further out this week than during the same week last year. Cold rolled lead times were actually slightly greater than two weeks versus last year. In 2013 galvanized lead times averaged 4.85 weeks and this week we have them averaging 6.71 weeks – almost two weeks longer than one year ago.
Lead times are an important indicator of order flow and the strength of the market. This week may be a bit unusual having two U.S. Steel steelmaking facilities experiencing unplanned outages.
SMU lead time data is based on responses provided during our flat rolled steel market analysis which we conduct twice per month. The lead time is the average of the responses provided by manufacturing companies and service centers in the United States and Canada.
John Packard
Read more from John PackardLatest in SMU Data and Models
SMU’s June at a glance
A look at SMU data for the month of June.
SMU Survey: Buyers’ Sentiment rebounds from multi-year low
Both of SMU’s Steel Buyers’ Sentiment Indices edged higher this week. Current Sentiment rebounded from a near five-year low, while Future Sentiment rose to a two-month high
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: Sheet lead times pull back after early-June blip, plate holds
Following the uptick seen two weeks ago, lead times eased this week for all four sheet products tracked by SMU, while plate lead times held steady, according to this week’s market survey.
SMU Survey: Pricing power abruptly shifts to steel buyers
The majority of steel buyers responding to our latest market survey say domestic mills are more willing to talk price on sheet and plate products than they were earlier this month. Sheet negotiation rates rebounded across the board compared to early June, while our plate negotiation rate hit a full 100%.