Consumption of cutting tools by machine shops and other manufacturers fell 16.6% from October to November 2013, totaling $156 million. That figure also represents a 7.0% decline from the year-ago (November 2012) result.
The monthly Cutting Tool Market Report is compiled jointly and issued by the U.S. Cutting Tool Institute and AMT – The Association for Manufacturing Technology. The data is based on actual totals reported by the companies participating in the CMTR program. The final montly report for 2013 will be issued in February.
The current report prolongs with the wavering pattern of monthly activity in the machining and manufacturing industries, a trend visible in the monthly U.S. Manufacturing Technology Orders report as well as the CTMR.
“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,” offered the report’s sources.
The CTMR data represents about 80% of the U.S. market for cutting tools, the sources stated.
As of the current monthly data, year-to-date (January-November 2013) cutting tool shipments are down 3.9% from the comparable 2012 figures.
“The month-to-month comparison for November suffered in part due to strong sales in October,” state Brad Lawton, chairman of AMT’s Cutting Tool Product Group. “The year-to-date comparison to 2012 shows a much more modest decline and was also fairly consistent from April or May through November, something anyone doing a forecast should appreciate.”