US cutting tool consumption up 8% in February

Cleveland, Ohio – February 2019 U.S. cutting tool consumption totaled $205.6 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 4.4% from January’s $215.1 million and up 8% when compared with the $190.3 million reported for February 2018. With a year-to-date total of $420.7 million, 2019 is up 13% 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 a significant market share of the U.S. market for cutting tools.

“The 8% year over year increase posted in February reflects the continuing strength in the U.S. manufacturing base. We are hearing of signs that the market’s growth rate may slow later this year but February’s results are getting the year off to a good start,” says Phil Kurtz, president of USCTI.

According to Greg Daco, Chief US Economist at Oxford Economics, “Cutting tool shipments are off to a solid start in 2019, bucking the trend of cooler momentum in the broader durable goods category. A very solid 13% gain in year-to-date cutting tool shipments through February puts the category well ahead of the healthy 6% year-to-date rise in overall durable goods shipments. Leading manufacturing activity indicators point to healthy, but gradually cooling momentum in 2019. Slower global growth, lingering trade tensions, and reduced fiscal stimulus will weigh on growth while elevated private sector confidence, a solid labor market and a more dovish Fed support activity.”