March 2024 U.S. cutting tool consumption totaled $212.4 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 1.1% from February and down 5.8% year-over-year, a downshift from February’s increases of 4.9% month-to-month and 4.1% year-over-year.

Year-to-date, cutting tool orders of $631.5 million through the first three months of the year were up 2% vs. the same period in 2023.

These numbers and all data in this report are based on the totals reported by the companies participating in the CTMR program. The totals here represent the majority of the U.S. market for cutting tools.

“Despite the troubles at Boeing, cutting tool shipments to aerospace and defense-related manufacturing remain quite strong,” shared Jack Burley, chairman of AMT’s Cutting Tool Product Group. “First quarter data indicates that consumption of cutting tools and tooling remains on pace with current industrial production at a modest level. This may be an indicator of somewhat sluggish activity.”

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.

“New projects are available in most industries, but many customers are reluctant to move forward, possibly because they are worried about inflation and election results,” Burley added. “Despite the downward trend in new machine tool orders, I find it very interesting that cutting tools and related accessories to keep shops running are still performing reasonably well.”

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 images for a larger version.