SMU Data and Models
April 5, 2020
Steel Mill Lead Times: Getting Shorter
Written by Tim Triplett
Lead times for spot orders of flat rolled and plate are shortening as steps to control the coronavirus decimate demand. Lead times for steel delivery are a measure of demand at the mill level—the shorter the lead time, the less busy the mill. Average lead times for most products have shortened by roughly half a week since mid-March, according to returns from Steel Market Update’s latest market trends questionnaire.
Hot rolled lead times now average 3.81 weeks, down from 4.50 weeks two weeks ago. Cold rolled orders currently have a lead time of 5.77 weeks, down from 6.28 weeks earlier in March. The current lead time for galvanized steel is 6.39 weeks, compared with 6.84 weeks, while Galvalume is at 6.43 weeks, down from 6.82 weeks in SMU’s last check of the market.
