U.S. Manufacturing Technology Orders Decreased in January to Lowest Monthly Total since January 2017
McLean, Va. (March 9, 2020) – U.S. manufacturing technology orders decreased 32 percent in January from the previous month to $269 million, according to the latest U.S. Manufacturing Technology Orders report published by AMT – The Association For Manufacturing Technology. January manufacturing technology orders were the lowest since January 2017. New orders placed in January 2020 fell 34 percent from January 2019.
“Based on our economic forecasts, we projected that the beginning of 2020 was going to be challenging for manufacturers, and indications were that growth would resume mid-year. However, it now appears that the coronavirus will likely impact a turnaround in manufacturing technology on several fronts,” said Douglas K. Woods, president of AMT. “Global travel and commerce will be negatively impacted, supply chains in Asia will continue to be disrupted, and purchasing decisions will be delayed due to uncertainty. In previous outbreaks such as SARS and MERS, the economic downturn lasted several months, and economies quickly rebounded after the threat subsided and demand returned. We would expect a similar scenario in this case as well.”
“While our industry will be affected by the coronavirus outbreak, there are notable bright spots in the economy that indicate a solid recovery after the virus subsides. One bright spot in economic news is that the PMI index was back up in January, moving past 50, and indicating that the market will expand. Additionally, consumer sentiment inched up half a percent from 99.3 to 99.8 percent. Housing starts were also positive, up 21.4 percent over last January and at a higher level than average for the past ten years. These data all indicate that the fundamentals of the U.S. economy are strong, and this should aid in a quick recovery.”
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The United States Manufacturing Technology Orders (USMTO) Report is based on the totals of actual data reported by companies participating in the USMTO program. This report, compiled by AMT – The Association 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.
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, 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 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. www.amtonline.org
IMTS – International Manufacturing Technology Show is 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 2020 will run Sept. 14-19. 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 technology, IMTS attracts visitors from every level of industry and more than 117 countries. IMTS 2018 was the largest in number of registrations (129,415), net square feet of exhibit space (1,424,232 sq. ft.), booths (2,123) and exhibiting companies (2,563). IMTS is owned and managed by AMT-The Association For Manufacturing Technology. www.IMTS.com