Manufacturing technology consumption up 8 percent in 2007

Feb. 12, 2008

December U.S. manufacturing technology consumption totaled $400.31 million, according to the U.S. Manufacturing Technology Report (USMTC) ( issued by the Association For Manufacturing Technology (AMT) and the American Machine Tool Distributors’ Association (AMTDA).

This total, as reported by companies participating in the USMTC program, was up 7.5 percent from November, and up 20.9 percent from the total of $331.23 million reported for December 2006. With a year-end total of $4,261.47 million, 2007 was up 8.0 percent compared with 2006. These numbers are based on the totals of actual data reported by companies participating in the USMTC program.

“Exceptionally strong December results have driven 2007 manufacturing technology orders to a level 8 percent above 2006,” John B. Byrd III, AMT President said. “This is the fourth complete year in the current growth cycle as U.S. manufacturers continue to apply innovative manufacturing technologies to improve productivity.”

The United States Manufacturing Technology Consumption (USMTC) report, jointly compiled by the two trade associations representing the production and distribution of manufacturing technology, provides regional and national U.S. consumption data of domestic and imported machine tools and related equipment. According to the two associations, analysis of manufacturing technology consumption provides a reliable leading economic indicator as manufacturing industries invest in capital metalworking equipment to increase capacity and improve productivity.

U.S. manufacturing technology consumption is also reported on a regional basis for five geographic breakdowns of the United States.

Northeast Region

Northeast Region manufacturing technology consumption totalled $54.87 million in December, 4.7 percent less than November’s $57.55 million and 4.7 percent less than the December tally a year ago. The year-end total of $650.74 million was 10.5 percent higher than the 2006 year-end total.

Southern Region

At $52.95 million, December manufacturing technology consumption in the Southern Region was 16.0 percent higher than the November total of $45.63 million, but 2.5 percent less than in December 2006. The year-end total of $543.72 million was 7.8 percent ahead of the comparable figure for 2006.

Midwestern Region

Midwestern Region manufacturing technology consumption in December rose to $154.53 million, 31.9 percent higher than November’s $117.13 million and 112.6 percent higher than the total last December. At $1,422.48 million, the 2007 year-end total was 15.4 percent above the closing total in 2006.

Central Region

December manufacturing technology consumption in the Central Region stood at $83.72 million down 7.9 percent when compared with November’s $90.86 million but up 1.3 percent when compared with December 2006. The year-end total of $1,075.15 million was 5.6 percent higher than the comparable figure for 2006.

Western Region

With a December total of $54.24 million, Western Region manufacturing technology consumption was down 11.2 percent from November’s $61.08 million, and down 15.2 percent when compared with last December. The year-end total of $569.36 million fell 5.1 percent short of the 2006 year-end figure.