WASHINGTON, March 8 (Reuters) - Demand for the machine tools that shape metal for products such as car engines and refrigerators fell to a record low in January, two groups said in a joint report on Sunday.
U.S. January machine tool demand fell 59.2 percent to a record low $94.95 million from $232.59 million in December, the American Machine Tool Distributors' Association (AMTDA) and the Association for Manufacturing Technology (AMT) said in a joint report.
Machine tool demand in January fell 71.9 percent from $338 million a year earlier in January 2008.
December demand was originally estimated at a much lower $194.01 million.
'There's no way or reason to try to sugar coat these numbers -- they are the lowest since the program began in 1996,' AMTDA President Peter Borden said in a statement.
Borden indicated that demand may continue to decline. 'No one knows at this point where the bottom is and if a recovery will occur this year. The optimism that we had hoped would follow the (Obama) Inauguration thus far has not materialized,' he said.
January demand for machine tools was down from December in all regions included in the report. It fell strongest in the Northeast, by 68.6 percent, and in the South by 62.2 percent. Demand in the Central United States fell 60.3 percent, while it dipped 54.9 percent in the West and 49.7 percent in the Midwest, the data showed.
(Reporting by Melissa Bland, Editing by Neil Stempleman) Keywords: USA ECONOMY/TOOLS (melissa.bland@rthomsonreuters.com; +1-202-898-8318; Reuters Messaging: melissa.bland.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
U.S. January machine tool demand fell 59.2 percent to a record low $94.95 million from $232.59 million in December, the American Machine Tool Distributors' Association (AMTDA) and the Association for Manufacturing Technology (AMT) said in a joint report.
Machine tool demand in January fell 71.9 percent from $338 million a year earlier in January 2008.
December demand was originally estimated at a much lower $194.01 million.
'There's no way or reason to try to sugar coat these numbers -- they are the lowest since the program began in 1996,' AMTDA President Peter Borden said in a statement.
Borden indicated that demand may continue to decline. 'No one knows at this point where the bottom is and if a recovery will occur this year. The optimism that we had hoped would follow the (Obama) Inauguration thus far has not materialized,' he said.
January demand for machine tools was down from December in all regions included in the report. It fell strongest in the Northeast, by 68.6 percent, and in the South by 62.2 percent. Demand in the Central United States fell 60.3 percent, while it dipped 54.9 percent in the West and 49.7 percent in the Midwest, the data showed.
(Reporting by Melissa Bland, Editing by Neil Stempleman) Keywords: USA ECONOMY/TOOLS (melissa.bland@rthomsonreuters.com; +1-202-898-8318; Reuters Messaging: melissa.bland.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.