MachineWorks Ltd. photo
New orders for machine tools and related technology in the U.S. rose 0.3% from September to October, to $327.4 million. While this second consecutive monthly increase offers a trace of encouragement, the president of AMT – the Association for Manufacturing Technology noted, “manufacturers are not making significant capital investment.”
New orders for machine tools and related technology in the U.S. rose 0.3% from September to October, to $327.4 million. While this second consecutive monthly increase offers a trace of encouragement, the president of AMT – the Association for Manufacturing Technology noted, “manufacturers are not making significant capital investment.”
New orders for machine tools and related technology in the U.S. rose 0.3% from September to October, to $327.4 million. While this second consecutive monthly increase offers a trace of encouragement, the president of AMT – the Association for Manufacturing Technology noted, “manufacturers are not making significant capital investment.”
New orders for machine tools and related technology in the U.S. rose 0.3% from September to October, to $327.4 million. While this second consecutive monthly increase offers a trace of encouragement, the president of AMT – the Association for Manufacturing Technology noted, “manufacturers are not making significant capital investment.”
New orders for machine tools and related technology in the U.S. rose 0.3% from September to October, to $327.4 million. While this second consecutive monthly increase offers a trace of encouragement, the president of AMT – the Association for Manufacturing Technology noted, “manufacturers are not making significant capital investment.”

October U.S. Machine Tool Orders Show Manufacturing's Weakness

Dec. 14, 2015
Manufacturing technology orders at $327.4 million for October, -28.3% Y/Y, -17.4% YTD Orders rose for second straight month “… manufacturers are not making significant capital investment” AMT sees “market flatness” into 2016

New orders for machine tools and related technology dipped only slightly from September to October, falling 0.3% to $327.4 million, according to data reported by AMT – the Association for Manufacturing Technology in its latest U.S. Machine Tools Orders report. It was the second-consecutive monthly increase in order volumes, an encouraging detail in what has been a 15-month stall in overall growth for the manufacturing technology sector.

The October result is 28.3% lower than the October 2014 posting, and for the year-to-date the USMTO ($3.45 billion) shows a 17.4% decline in order volume versus the comparable 10-month period of 2014.

AMT’s monthly USMTO results are based on actual machine tool orders reported by participating companies who produce and distribute metal cutting and metal-forming and –fabricating equipment, including domestically manufactured and imported

 machinery and equipment. While it is not reflective of manufacturing activity, as an indicator of capital investment it represents a gauge of manufacturers’ confidence in future activity.

“While the general economy continues to grow at a moderate pace, the manufacturing sector is struggling with the effects of a strong dollar, reduced commodity prices, especially oil, and struggles in key export markets like China,” commented AMT president Douglas K. Woods. “As the broader industry faces this slowdown, manufacturers are not making significant capital investment in new manufacturing technology.”

In its release, AMT noted that U.S. GDP is forecast to grow 2.4% in 2015, largely on the strength of consumer spending. “Economic data around manufacturing isn’t as positive,” the association averred, offering the contraction in the economy revealed in the Purchasing Managers Index in the October by the Institute for Supply Management.

“Additionally, the number of ‘net manufacturing jobs’ dropped by 1,000 while the larger economy added 211,000 jobs,” AMT added. “The ISM report and other indicators also show that manufacturers are working to reduce their 
excess inventory, meaning companies are concerned with the prospects for short-term future growth.”

“Market flatness can be expected to remain into 2016, and signs pointing to short-term interest rate hikes from the Federal Reserve could potentially hamper the consumer spending that is currently driving economic growth,” Woods cautioned.

Read the full report at AmericanMachinist.com

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!