Sluggish economy puts pinch on manufacturing technology orders | Automation.com

Sluggish economy puts pinch on manufacturing technology orders

Sluggish economy puts pinch on manufacturing technology orders

June 13, 2016 - Manufacturing technology orders for April 2016 were down 27.5% from the same month a year ago, according to the latest U.S. Manufacturing Technology Orders report compiled by AMT – The Association For Manufacturing Technology. Year to date, orders are down 16.6% compared to the same point in 2015.

“The current conditions for manufacturing technology providers are a reflection of larger stagnation in manufacturing and the overall economy – some industries are performing well, and others are struggling,” said AMT President Douglas K. Woods. “Automotive and aerospace, which mitigated the market decline for the last 15 months of the current downturn, continue to hold their own but they aren’t growing. Some industries are growing, such as consumer electronics, firearms, and medical, but those represent only 12 percent of our overall market. Weakness continues in the oil and gas and construction/off-road industries.”

Industry forecasters continue to anticipate an upswing in business in the fourth quarter; however, the current market downturn was more than forecasters had expected. AMT member companies report strong levels of quotation activity, but longer conversion rates for order placement. Manufacturing companies are resistant to make investments in capital equipment out of a sense of caution.

April 2016 manufacturing technology orders were valued at $284.10 million, compared to $391.69 million in April 2015. Monthly orders dropped 25.5% compared to March 2016. Year to date, total orders stand at $1,230.94 million, compared to $1,476.42 at the same point the previous year. USMTO data is a reliable leading economic indicator as manufacturing companies invest in capital metalworking equipment to increase capacity and improve productivity.

About the United States Manufacturing Technology Orders (USMTO) report
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 – The As¬sociation For Manufacturing Technology, 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.

About AMT – The Association For Manufacturing Technology
AMT represents U.S.-based builders and distributors of manufacturing technology – the advanced machinery, devices, and digital equipment that U.S. manufacturing relies on to be pro¬ductive, innovative, and competitive. Located in McLean, VA, near the nation’s capital, AMT acts as the industry’s voice to speed the pace of innovation, increase global competitiveness and develop manufacturing’s advanced workforce of tomorrow. With extensive expertise in industry data and intelligence, as well as a full complement of international business opera¬tions, AMT offers its members an unparalleled level of support. AMT also produces IMTS – The International Manufacturing Technology Show, the premier manufacturing technology event in North America.

IMTS – International Manufacturing Technology Show
The largest and longest running manufacturing technology trade show in the United States is held every other year at McCormick Place in Chicago, Ill. IMTS 2016 will run Sept. 12-17. IMTS is ranked among the largest trade shows in the world. Recognized as one of the world’s preeminent stages for introducing and selling manufacturing equipment and technol¬ogy, IMTS attracts more than 114,000 visitors from every level of industry and more than 112 countries. IMTS is owned and managed by AMT – The Association For Manufacturing Technology.

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