St. Paul, MN (July 12, 2019) — April 2019 U.S. cutting tool consumption totaled $206.3 million according to the U.S. Cutting Tool Institute (USCTI) and AMT – the Association for Manufacturing Technology. This total, as reported by companies participating in the Cutting Tool Market Report (CTMR) collaboration, was down 1.9 percent from March’s $210.4 million and up 1.3 percent when compared with the $203.7 million reported for April 2018. With a year-to-date total of $837.4 million, 2019 is up 6.7 percent when compared with 2018.
These numbers and all data in this report are based on the totals reported by the companies participating in the CTMR program. The totals here represent the majority of the U.S. market for cutting tools.
“April’s report continues to reflect a very robust market. However, the growth rate appears to be slowing. This is in line with what other industries are reporting. The effect of reduced Boeing 737 production rates and unsettled trade agreements are causing some of the market headwinds. If those issues are resolved in the next couple of months, 2019 could end as another record year,” said Phil Kurtz, President of USCTI.
According to Mark Killion, Director of U.S. Industries at Oxford Economics, “New orders fell back in April, although remaining above year-ago levels, in line with slowing business investment and weakness in the motor vehicles sector.”
The Cutting Tool Market Report is jointly compiled by AMT and USCTI, two trade associations representing the development, production and distribution of cutting tool technology and products. It provides a monthly statement on U.S. manufacturers’ consumption of the primary consumable in the manufacturing process – the cutting tool. Analysis of cutting tool consumption is a leading indicator of both upturns and downturns in U.S. manufacturing activity, as it is a true measure of actual production levels.
Historical data for the Cutting Tool Market Report is available dating back to January 2012. This collaboration of AMT and USCTI is the first step in the two associations working together to promote and support U.S.-based manufacturers of cutting tool technology.
The graph below includes the 12-month moving average for the durable goods shipments and cutting tool orders. These values are calculated by taking the average of the most recent 12 months and plotting them over time.