After reaching its highest total in three years in October, U.S. cutting tool consumption fell in November, according to the U.S. Cutting Tool Institute (USCTI) and the Association for Manufacturing Technology (AMT).
Their latest collaborative monthly Cutting Tool Market Report showed that November consumption totaled $194.4 million, down 3.1% from October but up 20.8% year-over-year. Year-to-date consumption through November was $2 billion, up 10.4% compared to the first 11 months of 2021.
“Cutting tool consumption is on pace with durable goods production, a positive sign that supply chain issues and shortages of raw materials are easing,” said Jack Burley, Chairman of AMT’s Cutting Tool Product Group and Committee. “Despite fears of a recession, cutting tool usage has not been affected so far, and industrial production capacity remains steady.”
“The GDP measures durable goods, non-durable goods, and services, so is it possible that the forecasted recession will largely avoid durable goods,” Jarvis Cutting Tools President Costikyan Jarvis said. “The 12-month CTMR average is only 90% of pre-pandemic levels. Commercial aerospace production is still recovering, and the automotive market, after only selling 13.7 million units, has the possibility to stay flat.”