New orders for metal cutting, forming and fabricating machinery (manufacturing technology) totaled $538.9 million in October, showing sustained demand and large year-over-year gains.

According to the Association for Manufacturing Technology’s monthly Manufacturing Technology Orders Report (USMTO), the October figure was up 9% from September, and nearly a 40.3% increase from a year-earlier. It followed September’s 7.2% monthly decline and 11.0% YoY increase.

It was the third month in 2025 to surpass $500 million in new machinery orders – the most since 2021, when six months saw investments above $500 million.

“Despite widespread fears about the economy, manufacturers continue to invest in metalworking machinery due to renewed tax incentives and sustained demand for manufactured goods from both consumers and government entities,” the October USMTO report noted.

The October USMTO report also noted:

• October orders from contract machine shops, the largest customer of manufacturing technology, were the largest since March 2023. Despite the high dollar value, the number of units ordered was the same as in September 2024 – but with a 13.2% lower order value. The trend of expanding average order values in this industry underscores the increased demand for automation at all levels of the supply chain.
• October saw the highest order value from aerospace manufacturers since March 2025. This investment comes one month before the end of the government shutdown, which saw a significant number of Pentagon contract announcements, as well as the end of the Boeing defense workers’ strike. These developments could foreshadow additional orders before the end of the year, given the sector’s rising capacity constraints.
• Manufacturers of engines, turbines, and other power transmission equipment also increased orders significantly in October, reaching their highest value since February 2023 and the highest number of units since March 2022.
• Continued demand for electricity from data centers is prompting additional investment in new generation capacity and extending the life of some coalfired plants that were slated for decommission.

While numerous experts have predicted a mild industrial downturn in 2026, opportunities remain for manufacturing technology providers in sectors that have been outperforming the overall economy.