Steel Mill Lead Times: No Change

The market is keeping a close eye on mill lead times, hoping for some sign they are extending and perhaps signaling a pickup in order activity at the mills. Steel Market Update’s latest numbers, which show little change in lead times, are sure to disappoint.

Lead times for steel delivery are a measure of demand at the mill level. The shorter the lead time, the lighter the order activity at the mills and the more likely they are to negotiate on price. The average lead time for hot rolled is now below three and a half weeks, cold rolled is slightly above five weeks, and galvanized and Galvalume are now less than six weeks—roughly two weeks shorter than this time last year when steel demand was much stronger.