August 2025 U.S. cutting tool consumption totaled $210.6 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 2.7% from July 2025, and down 1.8% from August 2024. The monthly decrease in August followed a 4.9% increase in July, while the year-over-year decrease followed a 9.8% uptick. Through August, year-to-date cutting tool orders were down 2.7% from the same period a year ago.

““Key markets continue to struggle to gain traction as we approach the final quarter of 2025,” said Steve Boyer, president of USCTI. “While shipments of cutting tools have fallen short of their 2024 levels in all but one month this year, July 2025 shipment numbers were significantly better than the previous year, and aerospace has been a segment of strength. Some optimism exists with the de-escalation of war in the Middle East and hope for sustainable peace. However, the weight of uncertainty with tariffs continues to hinder confidence and investment in the short term.”

Bret Tayne, president of Everede Tool Company, said: “Uncertainty about the unfolding tariff situation and industry-specific challenges in some of the largest cutting tool customer segments appear to be the major hurdles affecting sales. As tariffs and other measures become more stable, and with an assist from declining interest rates, the cutting tool customer base may see some growth again as we finish out the year and head into 2026.”

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.