Machine tool consumption down 35% in Q1

March U.S. machine tool consumption totaled $182.66 million, up 6.0% over February, but down 42.2% from $315.80 million reported for March 2001. The numbers are from a monthly survey by the Association For Manufacturing Technology and the American Machine Tool Distributors' Association. With a first quarter total of $513.62 million, 2002 is down 35.2% compared to the same period in 2001.

These numbers and all data in this report are based on the totals of actual data reported by companies participating in the USMTC program.
'The poor start to the 2002 machine tool market illustrates that the general economic recovery has not filtered down to manufacturing,' said Don F. Carlson, AMT president. 'While economic recoveries usually start without a pickup in investments in manufacturing, they never last without sustained manufacturing output. I'm concerned that the over valued dollar threatens all manufacturers' health and will put an end to this recovery before it truly gets underway.'

The United States Machine Tool 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. Analysis of machine tool consumption provides a reliable leading economic indicator as manufacturing industries invest in capital metalworking equipment to increase capacity and improve productivity.

U.S. machine tool consumption is also reported on a regional basis for five geographic break-downs of the U.S.

Northeast Region

March machine tool consumption in the Northeast Region stood at $34.32 million, slightly below February's $34.60 million, and down 36.1% compared to March 2001. The first quarter 2002 total of $91.31 million is 42.2% less than the comparable figure for 2001.

Southern Region

Totaling $33.52 million, March machine tool consumption in the Southern Region was up 29.9% compared to February's $25.81 million, but down 22.1% compared to last March. With a first quarter total of $79.61 million, 2002 is off 17.1% from the previous year at the same time.

Midwestern Region

Machine tool consumption in the Midwestern Region in March totaled $52.51 million, 4.7% below February's $55.12 million and 56.0% below the total for March 2001. Totaling $176.85 million, first quarter 2002 machine tool consumption is off 38.1% compared to 2001 at the same time.

Central Region

Central Region machine tool consumption in March stood at $29.80 million roughly level with February's $29.98 million, but down 49.0% when compared to March a year ago. With a first quarter total of $84.53 million, 2002 consumption is down 40.8% compared to last year at the same time.

Western Region

March machine tool consumption in the Western Region rose to $32.52 million, up 21.3% compared to February's $26.81 million, but down 21.1% compared to the previous March. Totaling $81.32 million for the first quarter, 2002 machine tool consumption is off 26.0% from the comparable figure for 2001.