Cutlery and Handtool Manufacturers

The 938 cutlery and handtool manufacturers in the US produce nonpowered hand and edge tools; saw blades; and metal kitchen cookware, utensils, and nonprecious and precious-plated metal cutlery and flatware. Large firms may also produce hardware, industrial tools, power tools, and related products, such as storage systems.

Foreign Competition

Domestic handtool and cutlery manufacturers compete with foreign producers, which offer the same or similar products but enjoy a more favorable cost structure.

Variability in Raw Material Costs

The cost of raw materials, including ferrous and non-ferrous metals, can vary and affect margins and profitability for handtool and cutlery manufacturers.

Sep 17, 2026 - Canadian Tariffs Hit US Tools and Cutlery

• New Canadian counter-tariffs that took effect September 8 include duties on numerous US-made hand tools and cutlery, according to Canada’s Department of Finance. US-made pipe cutters, bolt croppers, punches, knives, and table cutlery face 25% tariffs, while several categories of other hand tools are subject to 50% tariffs. Some interchangeable tools used for pressing, stamping, or punching face 15% tariffs. The new duties could make US-made cutlery and hand tools more expensive for Canadian buyers, potentially pressuring manufacturers’ export sales, pricing, and margins in that market.
• The Institute for Supply Management reports that fabricated metal products manufacturers reported growth in new orders, production, and employment in August. The sector also reported higher order backlogs and inventories, while customer inventories were considered too low. However, manufacturers of fabricated metal products reported higher raw material prices, slower supplier deliveries, lower new export orders, and lower import volumes. Improving orders and production may support demand for cutlery and hand tool manufacturers, but rising material costs and slower deliveries could create pressure on production costs and lead times. Lower export orders also suggest that overseas demand remains a potential weak spot.
• The newly enacted 21st Century ROAD to Housing Act is expected to boost US housing construction by reducing regulatory barriers and accelerating residential development, Forbes reports. The federal law streamlines environmental reviews, expands incentives for local governments to increase housing production, supports pre-approved home designs, and promotes manufactured, modular and other factory-built housing. It also modernizes financing programs, expands infrastructure and planning grants, and preserves the build-to-rent model by removing a proposed requirement that developers sell rental homes after seven years. While the legislation is unlikely to lower home prices immediately, it is expected to improve the long-term construction pipeline by shortening approval times, lowering development costs and encouraging greater investment in new housing projects, driving demand for handtools used by builders and ultimately household cutlery.
• The Iran war and effective closure of the Strait of Hormuz are disrupting global metals supply chains, according to Wood Mackenzie analysts. The region is a key supplier of aluminum and steel inputs, and disruptions to ports and shipping routes are tightening supply and raising market risk for manufacturers that purchase metals. Aluminum markets were already projected to face a deficit, and interruptions to exports from Gulf producers could further tighten supply and push prices higher. The most immediate impact is on steel markets. Iran typically exports about 4 million tons of finished steel and 7–8 million tons of semi-finished products annually, roughly 11% of global semi-finished steel trade. With ports disrupted, this supply has effectively disappeared, causing billet prices to surge as buyers seek alternative sources. For manufacturers that rely on metal inputs, the conflict increases the likelihood of higher raw material costs, shipping delays, and supply volatility.

Industry size & Structure

The average cutlery and handtool manufacturer operates out of a single location, employs 35 workers, and generates about $12 million annually.

• The cutlery and handtool manufacturing industry consists of about 938 firms, employs about 33,171 workers, and generates $11.3 billion annually.
• The industry is concentrated; the top 50 companies account for 74% of industry revenue.
• Large firms that manufacture cutlery or hand tools, which include Stanley Black & Decker, Snap-On, L.S. Starrett Company, and Lifetime Brands (Farberware, Hoffritz), may have global operations and generate a significant percentage of revenue from foreign markets.
• Handtool and saw blade manufacturers account for 78% of firms, and kitchen utensil and cookware manufacturers account for 22% of firms.