US Machine Tools Market by End-user, Technology and Type - Forecast and Analysis 2024-2028

US Machine Tools Market Forecast 2024-2028

The US Machine tools market size is forecast to increase by USD 5.02 billion, at a CAGR of 5.24% between 2023 and 2028. The growth rate of the market depends on several factors such as a rise in demand for metal parts in major end-user industries, increased customization and specialization of these instruments and growth in the production of fabricated metal products. Our report examines historical data from 2018-2022, besides analyzing the current and forecasted market scenario.

In the US machine tool market, Allied Machine and Engineering Corp. stands out with its diverse offerings, providing a range of machine instruments including industrial drills, boring instruments, thread mills, reamers, and more. Similarly, AMADA Co. Ltd. contributes significantly to the market, specializing in machine instruments like metal cutting, structural steel, grinding machines, general fabrication, blades, and other essential equipment, collectively enhancing the robustness and efficiency of the market.

Market Forecasting and Size

Market  Forecast 2024-2028

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Market Dynamic

Our researchers studied the market research and growth data for years, with 2023 as the base year and 2024 as the estimated year, and presented the key drivers, trends, and challenges for the market.

Driver - Rise in demand for metal parts in major end-user industries

Metal forming is crucial in the automotive and aerospace and defense industries. The majority of mass-produced passenger cars are made of metal. Metals are the most commonly used raw materials in the above industries because they are easy to transform and form into shapes that meet application requirements. With the current emphasis on lean manufacturing and better operational efficiency through various cost-cutting measures, the metal forming process will become extremely valuable for various OEMs. The market is driven by increased investments in the domestic automotive, aerospace, and defense industries, which are major end-users of metal products. 

Furthermore, all metal parts used in aircraft must be durable and able to withstand the pressure and temperature fluctuations that occur during flight. In the aerospace and defense industry, metals are used for components like air restrictors, airframes, brackets, and seat components. Increasing investments in the automotive aerospace and defense industries have raised the demand for metal-cutting instruments. Therefore, these factors will accelerate the growth of the market during the forecast period.

Trends - The growing market for high-speed steel-cutting tools

High-speed steel (HSS) metal-cutting instruments play a crucial role across diverse end-user industries such as automotive, aerospace, shipbuilding, and more, enhancing the efficiency and quality of end-product development. In response to global industrial demands for timely and cost-effective high-quality products, organizations worldwide, including those in the US, increasingly utilize HSS instruments like milling, drilling, tapping, and gear-cutting tools. This strategic adoption not only reduces lead times in product development but also elevates customer satisfaction through the creation of superior products.

Moreover, key companies in the US market, such as OSG USA Inc., IMCO Carbide Tool Inc., Kennametal Inc., and IMC International Metalworking Companies B.V., offer an extensive range of high-performance cutting instruments, leveraging advanced geometries and coatings to enhance performance and productivity in various industries. As the demand for superior products and global outsourcing continues to rise, the market is poised for significant growth during the forecast period.

Challenge - Rising safety concerns while operating machine tools

Rising safety concerns while using device instruments present significant challenges and impede the growth of the market. Equipment malfunctions, operator errors, inadequate training, and a lack of proper safety protocols are all potential causes of safety issues. One of the primary concerns is the possibility of workplace accidents and injuries while operating machine tools. These accidents can cause serious injuries or even lead to fatalities, resulting in legal liabilities, medical expenses, and a loss of productivity for manufacturers. As a result, companies may be hesitant to invest in new tools or expand their manufacturing operations out of concern for worker safety and potential liabilities.

Furthermore, safety concerns may hurt employee morale and job satisfaction, resulting in increased turnover and difficulties in attracting skilled workers to the manufacturing industry. This shortage of skilled labor may further impede the adoption of advanced device instruments, reducing productivity and growth in end-user industries. Thus, safety concerns for the workforce while using device instruments will impede the growth of the market during the forecast period.

Market Segmentation by End-user, Technology and Type

End-user Segment Analysis: 

The market share growth by the automotive segment will be significant during the forecast period. The automotive industry is the primary user of these instruments in the US, which are used to cut metal parts used in almost every part of automotive vehicles, ranging from fuel delivery systems to airbag components. Trucks, cars, sports utility vehicles (SUVs), and hybrid electric vehicle (EV) manufacturers use laser systems in various applications, including headliners, carpets, trunk liners, metal gaskets, decorative brackets, fittings, and fuel systems. 

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The automotive segment was the largest and was valued at USD 6.22 billion in 2018. The growing use of such instruments in the automotive industry is driven by the industry's growing demand for precision, efficiency, and automation in manufacturing processes. Such instruments play an important role in the manufacturing of automotive components by facilitating tasks such as cutting, drilling, milling, and shaping metal, plastic, and composites. Companies such as Haas Automation Inc., Yamazaki Mazak Corp., and DMG MORI Co. Ltd. are key players in the market, offering a diverse range of machining solutions that are tailored to the needs of the automotive industry. These companies provide CNC machining centers, turning centers, grinding devices, and other advanced equipment that improves productivity, accuracy, and flexibility in automotive manufacturing. This will, thus, increase the demand for such tools from the US automotive industry during the forecast period. Hence, the market will grow significantly during the forecast period.

Technology Segment Analysis: 

Based on the technology, the market has been segmented into computer numerical control (CNC) machine tools and conventional machine instruments. The computer numerical control (CNC) machine tools?segment will account for the largest share of this segment.? Computer Numerical Control (CNC) machine tools play an important role in propelling the growth of the market. Furthermore, CNC device instruments improve productivity and efficiency in manufacturing operations. Furthermore, advances in software integration, data analytics, and connectivity in CNC device tools enable predictive maintenance, process optimization, and remote monitoring, which improves overall operational efficiency and uptime. Manufacturers of CNC device tools continue to invest in advanced systems for machine tools to unlock new capabilities, improve production processes, and meet the demands of a dynamic and competitive manufacturing landscape. These factors will propel the growth of the segment of the market during the forecast period.

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

DMG MORI Co. Ltd. - The company offers machine tools such as turning, milling, lasertec, additive manufacturing, and grinding.

We also have detailed analyses of the market’s competitive landscape and offer information on 20 market companies, including Allied Machine and Engineering Corp., AMADA Co. Ltd., DMG MORI Co. Ltd., DN Solutions Co. Ltd., Fair Friend Enterprise Group, FALCON MACHINE TOOLS Co. Ltd., FANUC Corp., Georg Fischer Ltd., Haas Automation Inc., Hardinge Inc., Hyundai Motor Co., IMC International Metalworking Companies B.V., Kennametal Inc., The Lincoln Electric Co., Makino Milling Machine Co. Ltd., Mitsubishi Corp., Okuma Corp., Otto Bihler Maschinenfabrik GmbH and Co. KG, Sandvik AB, TRUMPF SE Co. KG, Yamazaki Mazak Corp., IMCO Carbide Tool Inc., Komatsu Ltd., OSG USA Inc., and JTEKT Corp. 

Technavio market forecast is an in-depth analysis of the market and its players through combined qualitative and quantitative data. The analysis classifies companies into categories based on their business approaches, including pure-play, category-focused, industry-focused, and diversified. Companies are specially categorized into dominant, leading, strong, tentative, and weak, based on their quantitative data analysis.  

Segment Overview

The market analysis and report forecasts market growth by revenue and provides an analysis of the latest trends and growth opportunities from 2018 to 2028. 

• End-user Outlook  
  • Automotive
  • Industrial machinery
  • Precision engineering
  • Transportation
  • Others

• Technology Outlook 
  • Computer numerical control (CNC) machine tools
  • Conventional machine tools

• Type Outlook 
  • Metal cutting
  • Metal forming

Market Analyst Overview

The United States Machine Tools Market is undergoing a transformative shift driven by the principles of Industry 4.0, with notable applications across diverse sectors. The Department of Defense is a significant player in fostering innovation and technological advancements within the market, particularly in response to the growing demand for such instruments in the production of components for the defense industry. Additionally, the market is pivotal in supporting the expansion of renewable energy initiatives, contributing to the production of essential components like solar panels, wind turbines, and electric vehicle batteries. The presence of a robust network of small and medium-sized enterprises (SMBs), particularly in regions like the Great Lakes, Midwest, California, and Texas, highlights the market's widespread influence.

Moreover, such instruments find extensive application in key sectors such as construction, mining, energy, and aerospace & defense, supporting the overall growth of the manufacturing sector. Organizations like the Association for Manufacturing Technology play a crucial role in advancing the adoption of innovative technologies, including metal-cutting, metal-forming, and metal-fabricating devices. As the manufacturing sector continues to evolve through automation, the market remains at the forefront, steering the nation towards technological excellence in the global landscape.

US Machine Tools Market Scope
Report Coverage	Details
Page number	147
Base year	2023
Historic period	2018-2022
Forecast period	2024-2028
Growth momentum & CAGR	Accelerate at a CAGR of 5.24%
Market growth 2024-2028	USD 5.02 billion
Market structure	Fragmented
YoY growth 2023-2024(%)	4.73
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	Allied Machine and Engineering Corp., AMADA Co. Ltd., DMG MORI Co. Ltd., DN Solutions Co. Ltd., Fair Friend Enterprise Group, FALCON MACHINE TOOLS Co. Ltd., FANUC Corp., Georg Fischer Ltd., Haas Automation Inc., Hardinge Inc., Hyundai Motor Co., IMC International Metalworking Companies B.V., Kennametal Inc., The Lincoln Electric Co., Makino Milling Machine Co. Ltd., Mitsubishi Corp., Okuma Corp., Otto Bihler Maschinenfabrik GmbH and Co. KG, Sandvik AB, TRUMPF SE Co. KG, Yamazaki Mazak Corp., IMCO Carbide Tool Inc., Komatsu Ltd., OSG USA Inc., and JTEKT Corp.
Market dynamics	Parent market growth analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this US Machine Tools Marke Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the market between 2024 and 2028
• Precise estimation of the market growth and trends and its contribution to the market in focus on the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Market growth and forecasting across US
• A thorough market analysis and market report of the market’s competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of market  companies

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