U.S. Cutting Tool Orders Down 1% in November Year to Date

November 2019 U.S. cutting tool consumption totaled $189.1 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 collaboration, was down 12.6 percent from Octobers’s $216.4 million and down 9.7 percent when compared with the $209.4 million reported for November 2018. With a year-to-date total of $2.3 billion, 2019 is down 1.1 percent when compared with 2018. Please note revisions to September 2019 through October 2019 data.

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.

According to Brad Lawton, Chairman of AMT’s Cutting Tool Product Group, “The Cutting Tool Industry has been managing through declining sales volumes for 2019. The economic forecasts indicate that this trend will continue into 2020. However, the recent progress that has been accomplished with Trade Agreements could improve economic activity.”

“The CTMR did not drop off as significantly as machine tool orders in 2019 but was on a downward trend for most of the year and remained in negative territory. We should see an upturn in December compared to the previous month as year-end budgets are expended. I’m actually surprised orders are as close to 2018 levels as they are, and that may be due to relatively high capacity utilization rates in many industries,” said Chris Kaiser, CEO of Big Kaiser.