Industry Analysis & Industry Trends
The Tool Manufacturing industry is mainly comprised of manufacturers of relatively high-tech specialist equipment with industrial or mining applications. Over the five years through 2016-17, industry revenue is estimated to decline at a compound annual rate of 1.4% to reach £1.16 billion. This includes a forecast decline of 1.4% in 2016-17 due to continued weak demand from the downstream oil exploration and extraction markets. The majority of household tools are now manufactured in low-cost countries in Asia and Eastern Europe.
The recession resulted in falling demand for tools from the construction, manufacturing and energy exploration industries, which had a negative effect on the industry's performance at the start of the period... purchase to read more
Industry Report - Industry Key Buyers Chapter
The industry has a low level of market share concentration, partly as a result of the import competition that the domestic market faces. Large exporting countries that have an abundance of cheap labour can mass-produce cheap items such as saws, screwdrivers and knives for far less than companies based in the United Kingdom. The result is that UK companies choose instead to compete in more specialist, low-volume, high value-added markets. Consequently, the industry is characterised by a large number of small businesses. In 2016-17, the industry's four largest firms are estimated to account for 14.3% of industry revenue. Con.. purchase to read more