According to the U.S. Manufacturing Technology Orders Report by AMT, February 2025 saw $389.9 million in new orders for metalworking machinery. Cumulatively, orders for the first two months of the year reached $744.74 million, marking an 8.8% increase over the same period in 2024.
Contract machine shops, the largest buyers of manufacturing technology, increased their orders by nearly 25% compared to January. However, their activity remains slightly below the levels seen at the end of 2024. Meanwhile, aerospace manufacturers showed a decline in order value but a slight increase in unit purchases, reflecting efforts to address capacity constraints.
Electrical equipment manufacturers nearly doubled their unit orders from January to February, despite flat order values. This surge is likely tied to ongoing transformer shortages but could face risks if data center development slows.
Economic uncertainty, fueled by new tariffs and inflation, has led to downgraded growth forecasts for 2025. However, manufacturers investing in advanced, efficient technologies may offset rising costs and improve profit margins through process improvements. This trend highlights the importance of innovation in maintaining competitiveness in the metalworking industry.
The early growth in metalworking machinery orders suggests a strong start to the year, with opportunities for manufacturers to capitalize on new technologies. As the industry navigates economic challenges, investments in efficiency and capacity improvements could drive long-term success.
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