Analysis
June 15, 2026
May service center shipments and inventories report
Written by David Schollaert
Flat rolled = 44.7 shipping days of supply
Plate = 45.9 shipping days of supply
Flat rolled
US service centers’ flat-rolled steel supply declined for a fourth straight month in May, with shipping days of supply slipping to 44.7 on an adjusted basis, according to SMU data.
That figure marks a 22% drop from 57.1 shipping days in May 2025. And it marks the lowest total since May 2021.
Flat roll inventories represented 2.23 months of supply in May, up 2.8% from 2.17 in April, but down nearly 18% from 2.75 months in May 2025. The month-on-month (m/m) increase in inventories was offset slightly by a marginal decline (-0.5%) in intake.
The driver of low inventories continues to be late shipments from domestic mills. Service centers report that their own external shipments are outpacing receipts from mills as lead times stretch out, a theme we have seen play out since mid-to-late Q1.
Service center shipments in May outpaced intake by 7%, leading to the decline in flat-rolled steel supply last month.
All told, service center shipments in May were 5.3% lower m/m but are up about 1% y/y. The shipping pace remained high, despite May having 20 shipping days — one day less than April. The daily shipping rate was down 0.6% m/m but 6.1% higher y/y.
At the end of April, service centers’ shipping days of supply on order were up 7% m/m and up 28% y/y. The numbers appear even more significant when compared with how lean inventories remain.
The latest SMU survey from June 10 showed lead times remained extended. The result corresponded with SMU’s May survey, which saw, on average, 32% of service centers focused on building inventory. Fifty-nine percent maintained their inventory levels, while just 9% reported material reductions.
Plate
US service center plate inventories recovered slightly in May, driven by a sharp decline in intake — which fell more than 19% m/m, according to SMU data.
At the end of May, service centers held 45.9 shipping days of supply of plate, up from 41.5 in April. Plate supply in May represented 2.30 months, up from 1.98 months in April.
A notable decline in intake came even as service centers’ external shipments outpaced receipts due to mill delays, the same trend we’ve seen in sheet. May inventories were marginally lower (-2.1%) m/m, while shipments saw a 15.7% decline vs. April.
May plate supply was also down vs. year-ago levels, when service centers carried 55.7 shipping days of supply, or 2.65 months of supply.
Meanwhile, the daily shipping rate was down 11.5% m/m after April reached the top mark since February 2020.
There are still some questions about what’s driving the increase in demand. Some think buying is reflective of strong demand, while others see it as demand being pulled ahead of anticipated future price hikes.
Similarly, some market participants fear inventories are becoming too lean, especially given an uptick in project work. But others tell us plate demand has started to pick up materially, supported by a rising volume of material on order.
Material on order rose in May. It’s up more than 13% m/m, and up a staggering 82.6% y/y. At the end of May, service centers’ shipping days of supply on order were up 28% from April, and up more than 50% from May 2025.
While added domestic capacity has offset lower imports, plate lead times remain extended. They now stand above eight weeks on average, up steadily from a month earlier, according to the latest SMU survey.
