February U.S. cutting tool consumption totaled $174.98 million according to the U.S. Cutting Tool Institute and the Association for Manufacturing Technology.

This total, as reported by companies participating in the Cutting Tool Market Report collaboration, was up 1.1% from January’s $173.05 million and up 0.6% year over year. With a year-to-date total of $348.02 million, 2017 is up 4.5% when compared with 2016.

“There is a feeling of optimism in the air that is backed up by the positive growth the cutting tool market data shows after the first 2 months of the year,” said Steve Stokey, president of USCTI. “Manufacturing continues to be a hot topic and continues to have a seat at the table in the new Trump administration. The strong dollar will continue to challenge our ability to export but with the US automotive and aerospace markets remaining steady, it should provide a firm foundation for growth as the other industrial sectors rebound from a weak 2016. This should bode well for cutting tool manufacturers.”

Scott Hazelton, managing director of Economics & Country Risk at IHS Markit added, “The economy is enjoying improved business and consumer confidence, resulting in strong momentum in employment growth and single family housing as well as a rebound in nondefense capital spending, including the important energy sector. Consumption of cutting tools is forecasted to respond with increasing growth over the year. Acceleration of growth in 2018 is expected as tax reform and infrastructure investment enhance the investment outlook.”