Importing metals can be complex, as there are many steps involved in the process. International trading partners like Leeco Trading are knowledgeable about international supply chains and help customers successfully navigate them to import the materials they need.

From production to delivery, here is what you need to know about international metals supply chains before placing an imports order.

Ample lead time is required with any metals order, but this lead time is lengthened for imports orders due to the material traveling a long distance. Leeco Trading finds that South American manufacturers should generally expect 82 days between when they place a metals order and when they receive it.

This lead time can, of course, be impacted by unexpected circumstances, so it is important to consider market factors that could increase lead time. To help customers stay informed about these market conditions, Leeco Trading publishes a monthly newsletter detailing news and trends influencing the trading market. Contact our team to be added to the newsletter distribution list.

Metals production requires immense material and time resources, which is why mills plan their production schedules – also known as “books” – weeks in advance. Leeco Trading finds that, on average, it takes mills 45 days to produce an order.

This production length can be influenced by several factors, such as raw material shortages or increasing demand. It is important to work with trusted trading partners like Leeco Trading who have a close relationship with several mills and are knowledgeable about current lead times.

The way metals are produced can also impact production time. Blast furnaces – or basic oxygen furnaces – use raw materials like coke, iron ore and limestone to produce metals. Typically, blast furnaces can produce molten metal in about 45 minutes. Coke is produced from coal, so this process adds about 18-24 hours to production time. Electric arc furnaces (EAFs), on the other hand, use recycled scrap metals to produce molten metal. This takes about 40 minutes.

Material that is heat treated, which is the process of re-heating and re-cooling a material to alter its chemical properties, can add several hours to production time.

Once a metals order is produced, it is ready to begin the international shipping process.

Before an order can actually be shipped, freight arrangements must be made to reserve shipping containers and a barge. This is sometimes done by the mill, but often requires the material buyer to arrange. International freight can be difficult to coordinate with directly, but trusted trading partners like Leeco Trading can use their strong connections with logistics providers to seamlessly navigate this process.

Scheduling an international shipment varies based on cargo container and barge availability. As we saw following post-COVID economic reopening, there was an ocean container shortage as demand greatly outweighed available supply. This shortage drastically increased ocean freight shipping times and made scheduling shipments a challenge.

While this container shortage has subsided, it is important to consider how market conditions could impact ocean freight. A trading partner can keep manufacturers informed about port conditions and ocean freight lead time.

Once freight arrangements are made, metals are transported from the mill to a port, either via truck or rail transportation, and are then loaded onto a barge. Depending on the distance between ports and the route a barge takes, it can take anywhere from 20-45 days for a metals order to reach its destination country. Leeco Trading finds that metals shipments going to South America from Asia or Europe take about 30 days to reach a port.

When a metals order reaches its destination country, it must be processed through that country’s customs. Depending on the country and its required customs documentation, this process can take anywhere from five to seven days.

Customs paperwork issues could delay the clearance process, so it is important to ensure you are knowledgeable about your country’s customs process, or work with a partner who is. Leeco Trading works closely with logistics partners experienced in customs clearance to ensure that materials arrive to their destination as quickly as possible.

Once the material clears customs, it is ready to move forward to its delivery destination. Depending on how far the final delivery location is – and whether the material is transported via truck or rail – this process can take anywhere from 3-5 days.

International supply chains can be complex and challenging to navigate. However, working with an experienced international trading partner can make the process simpler.

When choosing an international trading company for importing metals, it is important to look for someone with the following:

• Extensive knowledge of the trading market to help customers be aware of and navigate any supply chain constraints
• Strong relationships with logistics partners and mills to ensure products are delivered when you need them
• Value-added services – such as an extended credit line – to make the imports process efficient and cost-effective

For more things to consider when choosing an international trading partner, read our guide.

With more than 140 years of metals procurement experience and strong relationships with metals suppliers across the globe, Leeco Trading’s experienced team can help you successfully navigate the international metals supply chain.

Contact Leeco Trading today to receive a quote for your next project.