Cold-drawn round steel costs 15-30% more than hot-rolled due to additional processing: hot-rolled bars are drawn through dies to improve dimensional accuracy and surface finish. For example, hot-rolled 1045 may cost 700/ton,while cold−drawn 1045 is 850/ton. The premium reflects tighter tolerances (±0.001 vs. ±0.015 inches), better surface quality (Ra 1.6 vs. 6.3 μm), and higher strength (work hardening increases tensile by 10-15%). Cold-drawn is preferred for parts requiring minimal machining (e.g., bolts, shafts), offsetting the higher material cost with reduced manufacturing time.