Buyers "shutting it down" until 2002
By Staff -- Purchasing, 10/4/2001
The metals markets still lack a clear sense of upward direction with 72% of metals buyers surveyed in September projecting flat-to-down production by their companies through next March. So, the buyers remained cautious in their present and near-term future strategies for supply chain management. In fact, 66% of metals buyers plan to maintain non-expansionary buying through year's end. And 94% say their inventory trend through December will be to reduce or maintain stocks. That's despite the fact the largest margin ever (94%) report that metals inventories are the same or lower in September than the month before. Similarly, 92% of these buyers have the same or lower levels of fabricated metals in stock. Interestingly, 86% of buyers polled in September continued to look offshore for some of their future metals needs. And that's despite the fact that availability, pricing and quality are not concerns when sourcing from either domestic mills or service centers.

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