U.S. machine shops and other manufacturers registered a significant rise in new orders for manufacturing technology in August, up 36.2% from July to $529.4 million. The new total represents a nearly 45% increase from the August 2024 result, and it means that the eight-month total for 2025 is $3.44 billion, an 18.3% improvement over January-August 2024 according to AMT - the Assn. for Manufacturing Technology.
One counterpoint to an overall positive U.S. Manufacturing Orders report for August is the subsequent development in which the U.S. Dept. of Commerce opened an investigation to determine the effects on the national security of imports of robotics and industrial machinery – to determine the U.S. interest in extending tariffs to those products. That could mean additional costs for imports of CNC machining centers, turning and milling machines, grinding and deburring equipment, and industrial stamping and pressing machines.
The investigation also includes automatic tool changers, jigs and fixtures, and machine tools for cutting, welding, and handling work pieces. Numerous other products also could be subject to tariffs, including equipment used to treat, form, or cut metal, metal finishing and treatment equipment, EDM machinery, and laser and water-cutting tools and machinery.
AMT’s monthly USMTO report summarizes manufacturers’ purchases of metal-cutting and metal-forming machinery, according to order value and machine units, nationwide and in six regions. USMTO is an index to future manufacturing activity because it quantifies machining operations’ investments in preparation for new production programs.
After a -14.0% drop in orders from June to July, contract machine shops’ August orders hit the highest level in 29 months (since March 2023), which is notable because those job shops comprise the largest buying segment for metal cutting and metal forming equipment. Yet, the number of units orders continued to decline – meaning that the rise in the value of new orders is reflective of increasing prices more than of widespread demand. As AMT noted, “the average order value, a general proxy for the level of automation or complexity, was the highest among job shop orders since August 2011.”
In contrast to job shop demand, orders for new machine tools by aerospace manufacturers and their suppliers were down -20.0% from July, AMT reported. But, it added that aerospace demand remains fairly high, as the total was 23.0% higher than the monthly average during the past 56 months (since January 2021.)
AMT also reported positive demand for machines used to manufacture construction machinery, the highest monthly total for that segment since 2012. Much higher demand was also recorded for machines used in producing products for ventilation, heating, air conditioning, and commercial refrigeration systems.