CNC Machine Tools Global Market Opportunities and Strategies to 2033

This report describes and explains the CNC machine tools market and covers 2018-2023, termed the historic period, and 2023-2028, 2033F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

The global CNC machine tools market reached a value of nearly $28 billion in 2023, having grown at a compound annual growth rate (CAGR) of 3.9% since 2018. The market is expected to grow from $28 billion in 2023 to $37.3 billion in 2028 at a rate of 5.9%. The market is then expected to grow at a CAGR of 7% from 2028 and reach $52.3 billion in 2033.

Growth in the historic period resulted from the growth of the aerospace industry, evolution of the internet of things (IoT) and strong economic growth in emerging markets. Factors that negatively affected growth in the historic period was high maintenance costs and lack of training.

Going forward, increasing automotive production, growing industrialization, increasing urbanization and growth in medical device manufacturing will drive the growth. Factor that could hinder the growth of the CNC machine tools market in the future include shortage of skilled workforce.

The CNC machine tools market is segmented by product type into milling machines, drilling machines, grinding machines and other product types. The milling machines market was the largest segment of the CNC machine tools market segmented by product type, accounting for 40.4% or $11.3 billion of the total in 2023. Going forward, the milling machines segment is expected to be the fastest growing segment in the CNC machine tools market segmented by product type, at a CAGR of 6.4% during 2023-2028.

The CNC machine tools market is segmented by material into aluminum, stainless steel, titanium and other materials. The stainless steel market was the largest segment of the CNC machine tools market segmented by material, accounting for 60.1% or $16.8 billion of the total in 2023. Going forward, the stainless steel segment is expected to be the fastest growing segment in the CNC machine tools market segmented by material, at a CAGR of 6.1% during 2023-2028.

The CNC machine tools market is segmented by application into automotive, general machinery, precision engineering, transport machinery and other applications. The automotive market was the largest segment of the CNC machine tools market segmented by application, accounting for 41.4% or $11.6 billion of the total in 2023. Going forward, the precision engineering segment is expected to be the fastest growing segment in the CNC machine tools market segmented by application, at a CAGR of 6.7% during 2023-2028.

Asia Pacific was the largest region in the CNC machine tools market, accounting for 39.2% or $11 billion of the total in 2023. It was followed by North America, Western Europe and then the other regions. Going forward, the fastest-growing regions in the CNC machine tools market will be Asia Pacific and Western Europe where growth will be at CAGRs of 7.2% and 5.6% respectively. These will be followed by Eastern Europe and North America where the markets are expected to grow at CAGRs of 5.1% and 5% respectively.

The global CNC machine tools market is fairly fragmented, with a large number of players operating in the market. The top ten competitors in the market made up to 15.87% of the total market in 2022. Fanuc Corporation was the largest competitor with a 3.04% share of the market, followed by DMG Mori Co., Ltd with 2.75%, Makino Inc with 1.98%, Okuma Corporation with 1.69%, JTEKT Corporation with 1.64%, Yamazaki Mazak Corporation with 1.30%, Haas Automation Inc with 1.19%, Takisawa Machine Tool Co. Ltd with 0.82%, Hurco Companies Inc with 0.81% and Trumpf Group with 0.65%.

The top opportunities in the CNC machine tools market segmented by product type will arise in the milling machines segment, which will gain $4.1 billion of global annual sales by 2028. The top opportunities in the CNC machine tools market segmented by material will arise in the stainless steel segment, which will gain $5.8 billion of global annual sales by 2028. The top opportunities in the CNC machine tools market segmented by application will arise in the automotive segment, which will gain $4.1 billion of global annual sales by 2028. The CNC machine tools market size will gain the most in China at $1.7 billion.

Market-trend-based strategies for the CNC machine tools market include launch of new simulation technology to optimize machine performance, use of digital twin technology for enhanced efficiency, new plant expansions to increase product portfolio, launch of innovative products to deliver the highest accuracy and quality and use of AI for predictive maintenance and enhanced CNC performance.

Player-adopted strategies in the CNC machine tools market include focus on leveraging strategic partnerships to introduce innovative products, expanding portfolio and market presence in heavy-duty machining by acquisition, offering cost-effective solutions tailored for diverse manufacturing needs, continual innovation and enhancement of their product offerings to elevate user experience and efficiency in modern manufacturing operations and expanding market presence and product offerings through strategic partnerships to strengthen its foothold in target regions.

To take advantage of the opportunities, the analyst recommends the CNC machine tools companies to focus on simulation technology integration, focus on digital twin technology, focus on strategic expansion and technology centers, focus on innovation in precision machining, focus on AI and IIOT integration for enhanced performance, focus on milling and drilling machines for market expansion, expand in emerging markets, continue to focus on developed markets, focus on diversifying distribution channels for market expansion, provide competitively priced offerings, participate in trade shows and events, continue to use B2B promotions and focus on automotive and precision engineering application segments.