The market for machine tools continues to boom despite a month-to-month dropoff from December to January, the latest U.S. Manufacturing Technology Consumption (USMTC) report states.
Consumption in January totaled $371.41 million, according to the report compiled by the American Machine Tool Distributors' Association and the Association for Manufacturing Technology. The total represented a 16.3% drop from December 2010, but it's up 188.3% from January 2010.
These numbers are based on the totals of actual data reported by companies in the USMTC program.
"Despite the slight decline in orders from December, the January USMTC report confirms U.S. manufacturers are reinvesting vigorously to improve productivity," said Peter Borden, AMTDA president. "As equipment deliveries grow longer and commodity prices increase, factories may continue to make these investments before inflation and other factors raise prices further."
The Western Region led the way, with an a 284.1% increase over the previous January on spending of $44.58 million, while the Southern Region saw rises in both overall spending (up 18.7% over December) and in percentage over January 2010 (96.5%).