Long-term Growth is Tied to Sustainable Manufacturing Practices

Robots lend a hand in sustainable manufacturing; and end of year Manufacturing PMI beat analysts’ expectations. Could it signal a lasting uptick in 2025? The post Long-term Growth is Tied to Sustainable Manufacturing Practices appeared first on Fabricating & Metalworking.

Feb 10, 2025 - 22:43
 0
Long-term Growth is Tied to Sustainable Manufacturing Practices
AMT, AI technolgy, ISM
Close up of gas tungsten arc welding torch rotating to vertical weld position. Robotic and automation advancements enhance efficiency and precision, as well as play a role in promoting sustainability. Image courtesy of ARC Specialties.

The never-ending advances made in software, machinery and equipment, and accessories and tools are driven by the need for increased efficiency, precision and sustainability. Consider that based on the current state of the U.S. manufacturing skills gap, there will be 2.1 million unfulfilled manufacturing jobs by 2030, which could total a loss of $1 trillion in 2030 alone, according to a report from Deloitte and The Manufacturing Institute.

In “Sustainability: Shifting from Vision to Reality,” we highlight the crucial role robots and automation play in improving a shop’s environmental sustainability practices. In addition to closing the gap when it comes to skilled labor and keeping team members safe, by minimizing the use of consumables and reducing waste streams, robots not only save resources and energy, but also support increases in productivity, efficiently and precisely.

For example, the use of AI technology enables a robot system supplier to conduct advanced prognostics and health management of its robots and systems used for applications such as sanding, grinding and polishing. Through its 24/7 support, end users of these systems have achieved a 95%-to-99% system uptime; and 97% of issues can be resolved within five minutes, noted Ariyan Kabir, co-founder and CEO, GrayMatter Robotics, Gardena, CA. GrayMatter Robotics offers autonomous surface finishing and treatment solutions.

Rising Orders Inspire Confidence

Undoubtedly, fabricating and metal machining companies are under constant pressure to adapt and innovate to remain competitive within their local markets, as well as in regional and global markets. Beyond automating their processes, shops are keeping a close eye on supply chains, costs for raw materials, interest rates — the list is long.

That is why it was welcome news that 2024 ended with a small uptick as ISM’s December Manufacturing PMI beat analysts’ expectations (up 0.9 percentage points to 49.3; 42.5 indicates overall expansion).

And in November 2024, orders for metalworking machinery increased 16.8% from October 2024, and 12.4% from November 2023, according to a report released by AMT – The Association For Manufacturing Technology. AMT reported that new orders for manufacturing technology placed in November 2024 were nearly 30% above a typical November and at the highest order level for any November since 2021. AMT’s research also found a lengthened buying cycle for metalworking machinery in recent months. It stated: “As the impetus for capital investment shifts from augmenting capacity to quality and efficiency improvements, the time between an initial quotation and an order being placed has expanded.”

Anxieties will continue to persist in 2025. “2024 was quite a year that started out and ended in a dynamic way,” said Tim Fiore, chair of the Institute for Supply Management’s Manufacturing Business Survey Committee. “It looks like the manufacturing sector turned a corner in November, and there’s a new growth profile. There are a lot of variables in 2025 — geopolitical, tariffs and the use of economic tools to solve non-economic issues. It should be a lot of fun to watch.”

It is clear that as the metalworking industry evolves and navigates trends in the economy, its commitment to issues such as sustainability will become integral to its progress.

The post Long-term Growth is Tied to Sustainable Manufacturing Practices appeared first on Fabricating & Metalworking.