March U.S. cutting tool consumption totaled $207.08 million according to the U.S. Cutting Tool Institute (USCTI) and the Association for Manufacturing Technology. This total, as reported by companies participating in the Cutting Tool Market Report collaboration, was up 8.8% from February’s $190.32 million and up 3.5% when compared with the $200.05 million reported for March 2017. With a year-to-date total of $581.02 million, 2018 is up 6.0% when compared with 2017.

“The cutting tool industry continues to show strong growth in 2018. However, the industry is challenged with increasing raw material costs, record low unemployment and insecure international trade, because of changing global trade policies,” said Brad Lawton, chairman of AMT’s Cutting Tool Product Group.

“The March cutting tool numbers continue to tell a story of strength and growth for our industry, however, there are potential negative clouds forming on the horizon. The potential steel tariffs are creating indecision in the marketplace and have purchasing agents scrambling to develop alternate plans for supply. Shortages will cause disruptions and could impact growth as we move forward,” said Steve Stokey, executive VP and owner of Allied Machine and Engineering and chairman of the AMT board of directors.