This total, as reported by companies participating in the Cutting Tool Market Report (CTMR) collaboration, was down 5.7 percent from March’s US$184.08 million and down 15 percent when compared with the total of US$204.34 million reported for April last year.

These numbers and all data are based on the totals reported by the companies participating in the CTMR programme. The totals here represent the bulk of the US market for cutting tools.

The Cutting Tool Market Report 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 the primary consumable in the manufacturing process – the cutting tool. Analysis of cutting tool consumption is an indicator of both upturns and downturns in US manufacturing activity, as it is a measure of actual production levels.

Steve Stokey, president of USCTI, stated: “The cutting tool numbers continue to be negative in scenarios – month over month, year over year and year to date. While there is not much good news on the horizon as we head into the typically soft summer months of the business cycle, there is some optimism with the PMI moving over 50, but there is definitely a sense of caution as we move into the next 90 days.”

“The cutting tool sector took a step backwards in April after showing some modest improvements over the last few months. Demand levels continue to reflect a movement to stabilisation in a generally weak environment for manufacturing. This reflects the sluggish global economic growth with minimal gains in US industrial production, the strong dollar, weak agriculture, oil and gas activity, and the rising election uncertainty,” said Eli Lustgarten, senior vice president at Longbow Securities. “Current headwinds are likely to continue in the near term with some added pressure from relatively flat automotive demand, material weakening in heavy truck production and ongoing significant weakness in coal mining. Despite talks of a possible interest rate increase from the Fed, we expect some modest improvement in the second half of 2016 as US economic growth drives robust consumer spending and housing activity.”