On edge: As imports satisfy rising demand from consumers, revenue will decrease

Over the five years to 2018, revenue for the Hand Tool and Cutlery Manufacturing industry is projected to decrease. Demand for the bulk of industry products depends on growth in the number of households and consumer spending. Over the past five years, the number of households has increased and consumer spending has rebounded, but domestic demand for industry products has been increasingly satisfied by imports. In an attempt to mitigate the revenue loss from decreases in demand, industry operators reduced the size of their staff and decided to offshore their manufacturing facilities to cut costs...purchase to read more.

Industry Statistics & Market Size
Revenue
$10bn
Annual Growth 13-18
-1.1%
Forecast Growth 18-23
Profit
Employment
35,768
Businesses
1,137

Industry Threats & Opportunities

  • Industry operators reduced the size of their staff and decided to offshore their manufacturing facilities to cut costs
  • Significant growth in low-cost imports has limited the ability of many operators to raise prices
  • The number of homeowners will increase, indicating steady demand growth for hand tools and cutlery
  • Industry Report - Industry Analysis Chapter

    The Hand Tool and Cutlery Manufacturing industry produces a range of small metal products for consumers and professionals, including hand and edge tools, mainly mechanics’ hand tools and precision measuring devices; cutlery and flatware, mainly knives, scissors and razor blades; handsaws and saw blades; and pots, pans and other cookware, mainly made from aluminum. Consumer spending on these goods and professional services that use these products, such as mechanics, barbers and chefs, has improved. At the same time, imports have continued to make inroads into the market, reducing the industry’s ability to take advantage of increasing demand. Therefore, over the five years to 2018, industry revenue has decreased at an annualized rate of 1.1% to $10.3 billion, despite an increase of 0.4% i...purchase to read more.

    Additional Insights for the Hand Tool & Cutlery Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Hand Tool & Cutlery Manufacturing Industry are

  • Production of premium goods/services
  • Having an extensive distribution network
  • Access to the latest available and most efficient technology and techniques
  • IBISWorld analysts also discuss how external factors such as Consumer spending and Number of households in the Hand Tool & Cutlery Manufacturing industry impact industry performance..

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    What's in this report

    What is the Hand Tool & Cutlery Manufacturing Industry?

    This industry primarily manufactures hand tools, edge tools and metal blades (e.g. screwdrivers, scrapers, bits and saw blades). The industry also manufactures metal kitchen cookware, utensils and cutlery (excluding products made by casting or stamping, without further fabrication).

    Industry Products
  • Razor Blades and Razors
  • Mechanics' hand service tools
  • Cutting Tools and Precision Measuring Tools
  • Cutlery, utensils, Scissors and Snips
  • Edge tools, saw blades and handsaws
  • Industry Activities
  • Manufacturing nonpowered hand and edge tools
  • Manufacturing nonprecious and precious plated metal cutlery and flatware
  • Manufacturing saw blades and handsaws
  • Manufacturing metal kitchen utensils, pots and pans
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer spending
  • Number of households
  • Import penetration into the manufacturing sector
  • Trade-weighted index
  • Value of residential construction

  • Current Performance
  • Growth in consumer demand siphoned by imports
  • Profit increases
  • Chart: Revenue Growth

  • Industry Outlook
  • Downstream demand improves
  • Decreasing imports and increasing exports
  • Table: Hand Tool & Cutlery Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Hand Tool & Cutlery Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Tool & Hardware Wholesaling
  • Farm, Lawn & Garden Equipment Wholesaling
  • Drug, Cosmetic & Toiletry Wholesaling
  • Home Improvement Stores
  • Hardware Stores
  • Nursery & Garden Stores
  • Sporting Goods Stores
  • Department Stores
  • Warehouse Clubs & Supercenters

  • Key Selling Industries
  • Aluminum Manufacturing
  • Metal Stamping & Forging
  • Plastic & Resin Manufacturing
  • Plastic Film, Sheet & Bag Manufacturing
  • Steel Rolling & Drawing

  • Products & Services
  • Razor Blades and Razors
  • Mechanics' hand service tools
  • Edge tools, saw blades and handsaws
  • Cutlery, utensils, Scissors and Snips
  • Cutting Tools and Precision Measuring Tools
  • Other
  • Chart: Hand Tool & Cutlery Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
  • Construction Activity
  • Manufacturing Activity
  • Consumer confidence and per capita disposable income
  • Substitute goods

  • Major Markets
  • Big-box retailers and home improvement centers
  • Exports
  • Commercial and professional markets
  • Hardware stores and specialty shops
  • Grocery stores, department stores and pharmacies
  • Chart: Major Market Segmentation for the Hand Tool & Cutlery Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciation, rent and utilities and marketingOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Hand Tool & Cutlery Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Hand Tool & Cutlery Manufacturing Industry

  • Industry Globalization
    Stanley Black & Decker Inc., Snap-on Inc., The Procter & Gamble Company,
  • Table: Stanley Black & Decker Inc. - financial performance
  • Table: Snap-on Inc. - financial performance
  • Table: The Procter & Gamble Company - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Hand Tool & Cutlery Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Hand Tool & Cutlery Manufacturing Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • Number of households (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Cutlery
  • An edged or cutting tool that is generally used to cut, serve and eat food.
  • Cutting Tools
  • A hand tool used for cutting or smoothing; the category includes saws, chisels, planes, files and rasps.
  • Handsaw
  • A saw used with one hand, which is operated by moving the arm backward and forward.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Hand Tool & Cutlery Manufacturing Industry Research Report contains up-to-date data and analysis, allowing you to identify the strengths and potential weaknesses of major companies in the industry. Build your credibility with clients and prospects by sharing insights into the current and emerging trends driving their industry. Our market research gives you the tools to win new business and keep existing clients.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Hand Tool & Cutlery Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Hand Tool & Cutlery Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Hand Tool & Cutlery Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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