Machine Tool Orders Gain in September
Orders totaled $321.8 million as autos, medical equipment and aerospace continue to be strong.
Posted: December 2, 2015
September 2015 U.S. manufacturing technology orders saw a monthly gain of 10.9 percent from August, but overall stand at 16.6 percent down for the first three quarters of 2015 compared to the previous year, according to the latest United States Manufacturing Technology Orders (USMTO) report from AMT-The Association For Manufacturing Technology (McLean, VA).
“Considering the growth in orders we’ve seen over the past two years, this decline is not as bad as it sounds,” said AMT president Douglas K. Woods. “It’s important to remember that 2014 was a top-performing year, and that some leveling off to minor pull backs are expected.” Energy costs, a stronger dollar and weakness in the global economy are having an impact on capital investment, but there are several factors working in favor of manufacturing.
October marked the 77th consecutive month of a manufacturing expansion, according to the Institute for Supply Management; the trade deficit narrowed in September to its lowest level in seven months; and the two-year budget deal just signed by President Obama averts the possibility of a government shutdown and default through the 2016 elections, injecting some level of certainty into the business environment.
“Our forecasters predict this market softness will last at least through the first quarter of 2016, but it could turn around sooner rather than later. Right now, economic indicators are favorable and several of our members’ key customer segments are strong. Autos, medical equipment and aerospace are all doing exceptionally well. That should help boost capital investment,” noted Woods. “Overall, we are looking positively at 2016, as we anticipate an upturn in time for IMTS.”
September U.S. manufacturing technology orders totaled $321.77 million. This total was up from August’s $290.25 million and down 49.6 percent when compared with the $638.82 million reported for September 2014. The year-to-date total for 2015 stands at $3,105.57 million, a 16.6 percent decline from the $3,722.27 million reported at this time in 2014. This data is a reliable leading economic indicator as manufacturing industries invest in capital metalworking equipment to increase capacity and improve productivity.
These numbers and all data in this report are based on the totals of actual data reported by companies participating in the USMTO program. This report, compiled by AMT, provides regional and national U.S. orders data of domestic and imported machine tools and related equipment. Analysis of manufacturing technology orders provides a reliable leading economic indicator as manufacturing industries invest in capital metalworking equipment to increase capacity and improve productivity.
AMT represents and promotes U.S.-based manufacturing technology and its members – those who design, build, sell, and service the continuously evolving technology that lies at the heart of manufacturing. Founded in 1902 and based in Virginia, the association specializes in providing targeted business assistance, extensive global support, and business intelligence systems and analysis.
AMT is the voice that communicates the importance of policies and programs that encouraged research and innovation, and the development of educational initiatives to create tomorrow’s Smartforce. AMT owns and manages IMTS – The International Manufacturing Technology Show, the premier technology event in North America.
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