“When can I get it?”

If you’ve asked yourself this question lately, you’re not alone. And we’re not simply talking about that next incremental volume of metal you need to get your job done. It’s everything from that piece of lumber to that custom-made gift for your loved one.

The availability of nearly every material is scarce these days, creating what some have characterized the shortage of everything.

But let's focus on metal. Availability has become a bigger concern than price for many. The price of carbon steel, for instance, is roughly 30% higher than its previous record highs in 2007-2008 and looks to stay elevated for the foreseeable future.

The market conversation has flipped from “what price can I get it” to “when can I get it?” or even “can I even get it?”.

The Freight Factor

One factor that is impeding the availability of metal these days is freight—getting the metal from point A to point B. Whether we are talking the bigger picture of getting imported steel from port to destination or simply getting local supply to their respective pick-up locations, it’s growing increasingly difficult to get product in transit.

This is a nationwide issue as the U.S. trucking industry is straining to keep up with demand, causing limited capacity on vehicles and a rise in rates. The load-to-truck ratio represents the number of loads for every truck posted and can act as a real-time indicator of the balance between spot market demand and capacity.

On the Road in Texas

The Texas trucking industry has been hit hard over the past 12 months. Already facing a shortage of truckers and the impact of COVID-19, February’s polar vortex temporarily tightened capacity even more. Transportation of freight in Texas is primarily a spot market.