COUNTRIES TO CONNECT US
On The Rise Again The US machine tools industry, despite a sharp drop in production, export and import in the recent economic downturn, is relatively healthy. After the economic slowdown, the country is again bouncing back, with the order book on the rise. Advanced technologies and recent developments are again making the industry competitive in the global market, with its sales steadily rebounding.
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he US is among the highly developed and technologically advanced countries in the world. It is one of the main countries producing highprecision machined components, tools and machine tools accessories since many decades. US is one of the biggest consumers of machine tools as well.
Market Trend After the economic slowdown in 2008– 09, the country’s machine tools industry is on the rise again. The economy, high manufacturing and stable government are helping US regain lost ground, and the automobile machine tools manufacturers in the country are again getting orders. To restructure its economy, the government is supporting the industry in many ways such as tax reduction and skill development programmes. Compiled by the Association for Manufacturing Technology (AMT), in 2012, new orders for machine tools and related technology rose 40.7% to US$667.47 million in September, from US$474.31 million in August. The data is included in the monthly US Manufacturing Technology 160 MMT - January 2013
Orders report, which includes actual results of domestic sales of machine tools and associated equipment. Additionally, the US government has also sought to reduce the excessive burden of tax and regulatory policies that hamper growth, particularly on smaller companies. To meet these challenges and to make US manufacturing more globally competitive, the government launched the ‘Advanced Manufacturing Partnership and Skills for America’s Future’ programme. These initiatives focus on boosting manufacturing innovation and meeting the demands of a 21st-century workplace. Both industry leaders and the current administration see the development and expansion of a smart force in the US as critical to growth in the machine tools sector.
Opportunities Galore As the US economy is again getting back in shape and sending hope for the business, this is the time for Indian machine tools builders to invest in the country. Indian companies, apart from providing engineering components and equipment, can also become suppliers of
Why US?
Growing consumption Demand for cost-effective components Healthy trade relations
cost-effective Special Purpose Machines (SPMs). As the consumption is gradually increasing in the country, American companies are looking for cheap component providers. This certainly will generate business for Indian component providers.
Tremendous Scope India has very good relations with American companies, especially in supplying automobile components. Many automobile manufacturers like Kennametal and Haas Automation have set up their base in the country. Since India is one of the biggest consumers of American machine tools and Indian companies are looking to expand in America, the future looks promising for both the countries. nishant.kashyap@network18publishing.com