Manufacturing Tech Orders Surge in January - Modern Distribution Management

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Manufacturing Tech Orders Surge in January

Manufacturing technology orders for the month totaled $436.6 million, according to the latest U.S. Manufacturing Technology Orders Report.
manufacturing technology orders january 2022

Manufacturing technology orders reached $436.6 million in January, according to the latest U.S. Manufacturing Technology Orders Report published by AMT, The Association For Manufacturing Technology.

The month’s orders decreased nearly 27% from December 2021 but increased 33% over January 2021. January orders were also the strongest on record since USMTO began tracking orders, according to the report.

“USMTO typically shows a drop in orders from December to January, and, after December 2021 proved to be the best month on record, we expected to see a substantial decrease,” said Douglas K. Woods, AMT president. “Recording the best January on record is a welcome sign that the strength of the manufacturing technology market will continue into 2022. Recent demand for production capacity has shifted from sectors producing final consumer goods to ones closer to the raw material process.”

Strong consumer demand through January 2022 drove continued investments in manufacturing technology in all stages of the supply chain, according to the report.

“Consumer demand necessitated elevated capital investment, but we are now seeing a shift to industrial demand,” Woods said. “This shift in industrial demand indicates that entire manufacturing supply chains are being brought back to the United States. Long term, the broad industrial base created by concentrated supply chains is a huge positive for the manufacturing technology industry and the economy as a whole.”

The market for manufacturing technology has proved resilient over the past several months despite several challenges facing manufacturers, according to the report.

“We have been highlighting issues that could take the wind out of the sails for the past several months, but the industry has overcome them in one way or another,” said Woods. “Recent geopolitical events and sustained inflation are two more challenges, and time will tell if the industry can find a silver lining behind them.”

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