Tool market back to pre-pandemic levels
- December 10, 2021
While many industries continue to suffer under the yoke of Covid-19, Canada’s machine tool business has rebounded strongly with significant increases in orders for both metal cutting and metal forming, according to Marc Hasrouny, president of the Canadian Machine Tool Distributors’ Association (CMTDA).
The Canadian machine tool market was heavily impacted at the start of the pandemic with orders for metal cutting down 33% in 2020 and 20% for metal forming. Metal cutting was particularly under stress as that part of the industry had already faced an 8% drop in orders in 2019 as a result of a slumping economy.
But things started to improve significantly this year with order intakes returning to more normal levels.
“Comparing year to date figures through October 2021, metal cutting was up 59% and metal forming was up 50% over October 2020 and comparable to 2019 levels,” Hasrouny told members of CMTDA gathered in Milton this week for the association’s annual general meeting.
But it’s not all positive news ahead. Supply chain disruptions are posing a significant threat that is lasting longer than expected. High freight and raw material prices and significant delays in delivery due to the lack of available labour and containers have presented importers and manufacturers with cause for concern, Hasrouny said.
The good thing about the supply chain disruptions is that they have been significant and crippling enough to the North American economy that they have captured the attention of political leaders who are mobilizing to rectify the issue, Hasrouny said.