How to Save Money When Buying High-Performance Alloy Tool Steel

16 Jun.,2025

 

The Complete Guide to Buying Metal Products - Mead Metals

AISI

Stands for American Iron and Steel Institute. The institute serves as the voice of the North American steel industry. AISI numbers are used to categorize metals by alloy type and carbon content, and they do it with four digits. The first two digits of an AISI number refer to the alloy type, and the second two digits refer to carbon content.

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ALLOY

A metal made by combining two or more metallic elements. An alloy typically possesses qualities different from those of the components used to create it.

ASM

Stands for American Society for Metals. ASM International is the world’s largest association of metal material engineers and scientists. The association engages and connects materials professionals and their organizations to the resources necessary to solve problems, improve outcomes, and advance society.

ASTM

Stands for American Society for Testing and Materials. ASTM International is a not-for-profit organization that develops standards for materials, products, systems, and services. Metal with an ASTM designation meets the international standards for quality and regulations.

CUT-TO-LENGTH

This process levels coil into a flat sheet or blank. The service provides better length and width tolerances than sheared product, and it can improve diagonal tolerances as well.

DEBURRING

Cutting metals can leave behind burrs, which are unwanted raised edges or protrusions. Deburring is the process of removing these burrs with a tool.

DRAWING

Drawing is a metalworking process that uses tensile forces to stretch metal. As the metal is drawn, it stretches thinner, into a desired shape and thickness.

DRAWING TEMPERATURE

Drawing is usually done at room temperature, classifying it as a cold working process. However, it may be performed at elevated temperatures during special applications like on large wires, rods, or hollow sections in order to reduce forces.

ELONGATION

A metal fabricating term that refers to the degree to which a material can be bent, stretched, or compressed before rupturing. A metal’s elongation is a point between tensile strength and yield strength, and it is typically expressed as a percentage of the original length.

GAUGE

The thickness of sheet metal in the USA is commonly specified by a traditional, non-linear measure known as its gauge. The larger the gauge number, the thinner the metal.

HEAT LOTS OR HEAT NUMBER

A heat number is an identification number that is stamped on a material plate to prove it meets industry quality standards which require materials to be tested by the manufacturer. The heat lot or heat number is used to identify production runs for quality control purposes.

EDGE ROLLING

Edge rolling is the process of adding finishing edges to metal. It forms the edge of a strip to the desired shape beyond that of a standard slit edge.

MIL STD

Stands for Military Standard. This classification establishes uniform engineering and technical requirements for military-unique or substantially modified commercial processes, procedures, practices, and methods. In order to qualify, materials have undergone rugged, exact testing, equal to the exigencies of combat use.

NORMALIZING TEMPERATURE

Normalization is a heat treatment that relieves stress on steel to improve ductility and toughness in steel that may harden after the cold working process. During normalization, steel is warmed to a temperature just above its upper critical point. Normalized heat treatment facilitates a more uniform final product.

ROCKWELL SCALE

The Rockwell Scale indicates the hardness of materials. Rockwell hardness numbers are most often used to describe the hardness of metals, although they are also used for some plastics. The Rockwell scale is based on measuring the depth of the indentation made by pressing a diamond point into a material.

SAE

Stands for Society of Automotive Engineers. SAE International is a global association of engineers and related technical experts in the aerospace, automotive, and commercial-vehicle industries. Materials meeting SAE standards are internationally recognized for safety, quality, and effectiveness.

SLITTING

Slitting is a precise shearing process, but instead of making cuts at the end of a workpiece like shearing, slitting cuts a wide coil of metal into a number of narrower coils as the main coil is moved through the slitter. During the slitting process, the metal coil passes lengthwise through the slitter’s circular blades.

TEMPER

Temper refers to reheating hardened, normalized, or mechanically worked steel to a temperature below the critical range to soften it and improve impact strength. Tempering results in greater toughness by decreasing an alloy’s hardness.

TENSILE STRENGTH

The maximum stress a material will withstand before fracturing or breaking. The ultimate tensile strength is calculated from the maximum load applied during the test, divided by the original cross-sectional area.

UNS DESIGNATION/NUMBER

Stands for the Unified Numbering System for Metals and Alloys. UNS designation provides a means of correlating internationally used metal and alloy numbering systems currently administered by societies, trade associations, and those individual users and producers of metals and alloys. This system is meant to avoid the confusion caused by using more than one identification number for the same metal or alloy, and the opposite situation of having the same number assigned to two or more different metals or alloys.

YIELD STRENGTH

The amount of stress a material can withstand before causing permanent deformity.

20 Cost reduction ideas for steel procurement - Nomoq.in

Introduction: Steel procurement can be a major expense for small and medium-sized enterprises (SMEs), especially in industries such as construction, manufacturing, and infrastructure development. However, there are many ways to reduce costs and optimize your steel procurement process without compromising quality or safety. In this blog post, we will share 20 cost reduction ideas for steel procurement that are specifically tailored to Indian SMEs, along with relevant examples and tips.

Contact us to discuss your requirements of High-Performance Alloy Tool Steel. Our experienced sales team can help you identify the options that best suit your needs.

  1. Conduct market research and benchmarking To ensure that you are getting the best possible prices and terms for your steel purchases, it’s essential to conduct thorough market research and benchmarking. This involves comparing prices, quality, and delivery times from multiple suppliers and keeping up-to-date with market trends and fluctuations.

Example: A construction company could benchmark steel prices and delivery times from multiple suppliers to identify the most cost-effective option for their project.

  1. Build long-term supplier relationships Building long-term relationships with reliable and trustworthy steel suppliers can help you negotiate better prices, avoid supply chain disruptions, and receive personalized service and support.

Example: A manufacturer could partner with a steel supplier to establish a long-term supply agreement with volume discounts and customized product specifications.

  1. Explore alternative steel grades and forms Depending on your specific application, it may be possible to substitute traditional steel grades and forms with lower-cost alternatives such as rebar, sheet metal, or structural steel. These options can offer similar performance and durability at a lower cost.

Example: An infrastructure developer could use rebar instead of structural steel for a bridge construction project to save costs without compromising safety or quality.

  1. Optimize steel ordering and inventory management By optimizing your steel ordering and inventory management processes, you can reduce the risk of overstocking or stockouts, minimize storage and handling costs, and streamline your procurement operations.

Example: A purchasing manager could use just-in-time (JIT) inventory management to minimize inventory levels and reduce storage costs for steel products.

  1. Negotiate better payment terms Negotiating better payment terms with your steel suppliers, such as longer payment periods or lower upfront payments, can help you manage your cash flow and improve your overall financial stability.

Example: A startup could negotiate flexible payment terms with their steel supplier to ensure they have enough working capital to fund other business operations.

  1. Consider bulk purchasing or group buying options By joining purchasing consortiums or pooling resources with other businesses, you can leverage your collective buying power to negotiate lower prices, bulk discounts, and better delivery terms for your steel purchases.

Example: A group of SMEs in the manufacturing sector could form a purchasing consortium to buy steel products in bulk and negotiate lower prices with their suppliers.

  1. Use online steel marketplaces Online steel marketplaces can offer a convenient and cost-effective way to purchase steel products, compare prices and suppliers, and access a wider range of products and services.

Example: A steel fabricator could use an online marketplace to find the best deals on steel raw materials, tools, and equipment.

  1. Minimize steel waste and scrap By minimizing steel waste and scrap in your production processes, you can reduce your material costs, lower your environmental impact, and optimize your overall efficiency.

Example: A metalworking company could implement lean manufacturing principles to minimize steel waste and scrap and improve their production processes.

  1. Invest in steel recycling and reusing Investing in steel recycling and reusing technologies can help you reduce your raw material costs, support sustainability and circular economy goals, and create new revenue streams from scrap metal sales.

Example: A construction company could partner with a steel recycling facility to collect

  1. Evaluate transportation and logistics costs Transportation and logistics costs can account for a significant portion of your overall steel procurement expenses. By evaluating your shipping and delivery options, you can identify opportunities to reduce costs and improve your supply chain efficiency.

Example: A distributor could use a freight management system to optimize their transportation routes and consolidate their steel shipments to reduce their shipping costs.

  1. Consider steel import options Importing steel products from international suppliers can offer cost savings and access to a wider range of products and suppliers. However, it’s important to evaluate the potential risks and benefits of importing steel, such as customs duties, tariffs, and quality control issues.

Example: A manufacturer could explore importing steel products from countries such as China or Japan to take advantage of lower prices and higher product quality.

  1. Collaborate with steel industry associations and experts Collaborating with steel industry associations, experts, and consultants can provide you with valuable insights and best practices for optimizing your steel procurement processes and reducing costs.

Example: A purchasing manager could attend a steel industry conference or workshop to learn about the latest trends and strategies for cost reduction in steel procurement.

  1. Use steel scrap as a raw material source Using steel scrap as a raw material source for your production processes can help you reduce your material costs, support sustainability goals, and create new revenue streams from scrap metal sales.

Example: A metalworking company could invest in steel scrap recycling equipment to turn scrap metal into new steel products and materials.

  1. Optimize steel fabrication processes By optimizing your steel fabrication processes, you can reduce labor costs, improve product quality, and increase overall efficiency.

Example: A steel fabricator could implement automation and robotics technologies to reduce labor costs and improve production speed and accuracy.

  1. Implement steel quality control measures Implementing quality control measures for your steel procurement processes can help you ensure that your products meet industry standards and avoid costly defects and recalls.

Example: A construction company could implement a quality control program for their steel products to ensure that they meet safety and performance requirements.

  1. Use alternative steel production methods Using alternative steel production methods, such as electric arc furnaces or direct reduced iron, can offer cost savings and environmental benefits compared to traditional steel production methods.

Example: A steel producer could invest in electric arc furnace technology to reduce their energy and raw material costs and improve their environmental footprint.

  1. Use energy-efficient steel products Using energy-efficient steel products, such as high-strength low-alloy steel or weathering steel, can help you reduce your energy consumption and operating costs over the long term.

Example: A building developer could use weathering steel for their construction project to reduce maintenance costs and improve energy efficiency.

  1. Collaborate with steel suppliers on product development Collaborating with your steel suppliers on product development and customization can help you optimize your products and reduce costs by leveraging their expertise and knowledge.

Example: A manufacturer could partner with their steel supplier to develop customized steel products that meet their specific requirements and improve their production processes.

  1. Consider steel leasing or rental options Leasing or renting steel products and equipment can offer cost savings and flexibility compared to purchasing and owning them outright.

Example: A contractor could lease steel scaffolding equipment for their construction project to reduce their upfront costs and improve their operational efficiency.

  1. Invest in steel training and education Investing in steel training and education for your employees can help you improve your knowledge and expertise in steel procurement and reduce costly mistakes and errors.

Example: A purchasing team could attend a steel procurement training program to learn about best practices and strategies for cost reduction in steel procurement.

Conclusion: By implementing these cost reduction ideas for steel procurement, Indian SMEs can improve their financial stability, optimize their supply chain operations.

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