June 2025 U.S. cutting tool consumption totaled $204.1 million, according to the latest Cutting Tool Market Report (CTMR) published by the U.S. Cutting Tool Institute (USCTI) and the Association for Manufacturing Technology (AMT).

That total was down 1.8% from May 2025, and likewise down 3.9% from June 2024. The monthly decrease in June followed a 2.3% decline in May, while the year-over-year decrease followed a longer trend.

Through June, year-to-date cutting tool orders were down 4.9% from a year earlier.

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“As we continue to wait for clarity on tariffs, demand for cutting tools has stagnated and cooled,” USCTI President Steve Boyer said in an Aug. 20 news release. “The tariffs that have been implemented have increased raw material costs, and the ongoing challenge of finding talented workers remains concerning. Orders for cutting tools have declined month over month and year over year in April, May, and June. Key markets such as aerospace, automotive, and heavy equipment continue to drive demand, but they have remained stagnant so far this year.”

Cutting Tool Engineering Editor-At-Large Alan Richter added: “Year-to-year and year-to-date monthly totals are down for the first six months of the year — for the latter, that means a reversal of a 43-month upward trend. These reduced shipments of cutting tools have been negatively impacted by the ongoing chaos created by tariff whiplash and complications from geopolitical tensions. Businesses are pausing or reversing manufacturing-connected investments as they take a wait-and-see approach. Although recent trade deals have removed some business uncertainty, storm clouds remain on the horizon, limiting clarity.”

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The CTMR is jointly compiled by AMT and USCTI, two trade associations representing the development, production and distribution of cutting tool technology and products. It provides a monthly statement on U.S. manufacturers’ consumption of what they tout as the primary consumable in the manufacturing process — the cutting tool.

The graph below includes the 12-month moving average for the durable goods shipments and cutting tool orders. These values are calculated by taking the average of the most recent 12 months and plotting them over time. Click on the chart for a larger version.