Metals leadtimes are shrinking

Staff -- Purchasing, 11/3/2005

PURCHASING's leadtime index in October declined by 16.5% as either supply was expanding or demand was shrinking or some of both. Leadtimes for 37 of 45 steel, nonferrous and fabricated metals products tracked monthly by PURCHASING shrank or stayed even in October, a clear indication that metalworking growth has paused. There still were some pockets of tightness among steel bar and light structural grades, but these are more in sync with construction than manufacturing. Barely half of the metals buyers polled planned to increase purchasing activity in the fourth quarter.