November 2023 U.S. cutting tool consumption was $202.7 million, according to the U.S. Cutting Tool Institute (USCTI) and AMT – The Association for Manufacturing Technology.
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This total, as reported by companies participating in the Cutting Tool Market Report collaboration, was down 4.9% from October’s $213 million and up 4.4% when compared with November 2022.
With a year-to-date total of $2.26 billion, 2023 is up 7.5% when compared with the same time period in 2022. 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.
“Aerospace and automotive markets are still working on an impressive backlog and sales that will continue to keep most shops busy well into the new year,” said Jack Burley, chairman of AMT’s Cutting Tool Product Group. “Despite high inflation and interest rates, there is still a positive mood for most companies who are working in manufacturing. This should be good news for 2024 forecasts within our industry.”
“Despite predictions of a recession in 2023, the economy has glided into what appears to be a soft landing,” said Christopher Chidzik, principal economist at AMT. “To support this steady economic activity, cutting tool shipments have been on a reliably upward trend since they hit bottom in mid-2020. Cutting tool demand in 2024 should continue as long as consumer demand for durable goods remains elevated, businesses continue to invest in capital equipment, and government investment in infrastructure and manufacturing continue to come online.”
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.
