July 2019 U.S. cutting tool consumption totaled $198.4 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 0.6% from June's $199.7 million and down 1.3% when compared with the $201.0 million reported for July 2018. With a year-to-date total of $1.5 billion, 2019 is up 2.6% 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.
Brad Lawton, chairman of AMT’s Cutting Tool Product Group says, “While orders for production machines are down 12%, cutting tool shipments are still holding up in comparison to 2018 figures. The impending downturn in investment is expected to be short and shallow but it is still likely to yield a couple of tough quarters for cutting tool manufacturers.”
“The Purchasing Managers’ Index dip below 50 in July suggests that the year over year growth in cutting tools is likely to turn negative when August shipment levels are published. Still, some industries demand for cutting tools continues to expand as cautiousness shifted production downstream deeper into the supply chain or into contract machine shops,” said Dave Burns, President of Global Business Advisory Services LLC.