SMU Data and Models
Steel Mill Lead Times: Extend for Coated, Plate
Written by Tim Triplett
January 12, 2020
Lead times for coated steels and steel plate have extended a bit, but lead times for orders of hot rolled and cold rolled have seen little change in the past few weeks. Lead times for steel delivery are a measure of demand at the mill level. The longer the lead time, the busier the mill.
Except for plate, lead times for all products are up to a week longer than they were at this time last year, signaling healthier demand. The average lead time for hot rolled steel is now nearly five weeks, cold rolled is six and a half weeks and coated steels are around seven weeks. Plate lead times are now longer than five weeks.
Reporting average lead times since mid-December before the holiday break, hot rolled and cold rolled lead times are virtually unchanged at 4.85 weeks and 6.52 weeks, respectively. Galvanized lead times extended to 7.26 weeks from 6.86 weeks. Galvalume lead times now average 7.00 weeks, up from 6.43, while plate lead times are now at 5.13 weeks, up from 4.71.
So far, the mills have announced five rounds of price increases on flat rolled and three on plate since late October, pulling some buyers into the market ahead of the rising prices and pushing out lead times. The current hot rolled price of $590 per ton is up approximately $120 in the past two months.
Note: These lead times are based on the average from manufacturers and steel service centers who participated in this week’s SMU market trends analysis. Our lead times do not predict what any individual may get from any specific mill supplier. Look to your mill rep for actual lead times. Our lead times are meant only to identify trends and changes in the marketplace. To see an interactive history of our Steel Mill Lead Times data, visit our website here.
Tim Triplett
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