McLean, Va. (June 18, 2025) — Shipments of cutting tools, measured by the Cutting Tool Market Report compiled in a collaboration between AMT – The Association For Manufacturing Technology and the U.S. Cutting Tool Institute (USCTI), totaled $212.8 million in April 2025. Orders increased 2.7% from March 2025 but were down 2.8% from April 2024. Year-to-date shipments totaled $818.3 million, a drop of 5.1% from the same period in 2024.
“Tariff negotiations change every week without clear direction, stagnating key market segments for our products,” said Steve Boyer, president of USCTI. “Industries like aerospace and automotive, which are heavy users of our products, have been lagging due to uncertainty regarding raw materials, inventories, and acquisition costs of components for assembly. The uncertainties have led to declines in year-over-year orders and delayed what most of us expected would be a considerable uptick for the first half of this year. Gaining traction in the second half of 2025 will be significantly impacted by the speed at which clarity is gained, and manufacturing can be ramped up once that’s achieved.”
Steve Stokey, executive vice president and owner of Allied Machine and Engineering, said: “2025 did not get off to the strong start we experienced in 2024. Recent forecasts have pushed growth out to the third quarter. With clarity on tariffs beginning to take shape and the expectation that Congress and the president will pass the “Big Beautiful Bill,” businesses will have a clearer picture of the playing field for the second half of 2025. If the forecasters are right, the stars should align, and the numbers will turn upward in the second half of the year.”
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 a leading indicator of both upturns and downturns in U.S. manufacturing activity, as it is a true measure of actual production levels.
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AMT – The Association For Manufacturing Technology represents U.S.-based providers of manufacturing technology – the advanced machinery, devices, and digital equipment that U.S. manufacturing relies on to be productive, innovative, and competitive. Located in McLean, Virginia, near the nation’s capital, AMT acts as the industry’s voice to accelerate the pace of innovation, increase global competitiveness, and develop manufacturing’s advanced workforce of tomorrow. With extensive expertise in industry data and market intelligence, as well as a full complement of international business operations, 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. Learn more at AMTonline.org.
The United States Cutting Tool Institute (USCTI) was formed in 1988 and resulted from a merger of the two national associations representing the cutting tool manufacturing industry. USCTI works to represent, promote, and expand the U.S. cutting tool industry and to promote the benefits of buying American-made cutting tools manufactured by its members. The Institute recently expanded its by-laws to include any North American manufacturer and/or remanufacturer of cutting tools, as well as post-fabrication tool surface treatment providers. Members, which number over 80, belong to seven product divisions: Carbide Tooling, Drill & Reamer, Milling Cutter, PCD & PCBN, Tap & Die, Tool Holder and All Other Tooling. A wide range of activities includes a comprehensive statistics program, human resources surveys and forums, development of product specifications and standards, and semi-annual meetings to share ideas and receive information on key industry trends.
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