Press release
Machine Tools Market Set to Grow at 3.7% CAGR Through 2031, Says Persistence Market Research
The global machine tools market is a critical pillar in the industrial manufacturing sector, offering equipment used for cutting, shaping, grinding, and drilling of metals and other rigid materials. From traditional tools to advanced Computer Numerical Control (CNC) systems, these machines form the backbone of production across industries including automotive, aerospace, construction, and electronics. In 2024, the market is estimated to be valued at US$86.7 billion, with forecasts suggesting growth to US$111.8 billion by 2031, reflecting a compound annual growth rate (CAGR) of 3.7% during the forecast period.This growth is largely propelled by increasing automation, Industry 4.0 integration, and surging demand in emerging economies. CNC machines dominate the market, accounting for over 60% of total revenue, thanks to their precision and compatibility with smart manufacturing systems. Regionally, Europe leads the global landscape with a 28% share, thanks to its robust manufacturing infrastructure, especially in Germany, Italy, and Switzerland. The region's focus on precision engineering, innovation, and sustainability supports its dominance.
✦ Key Highlights from the Report:
✦ CNC machines account for over 60% of the total market revenue share due to high automation and precision.
✦ Carbide-based tools hold a leading 28% market share, favored for their durability and wear resistance.
✦ Europe leads the global machine tools market with a 28% value share, driven by industrial strength and technological expertise.
✦ Industry 4.0 integration is a primary driver, incorporating IoT, AI, and smart systems into machining operations.
✦ Additive manufacturing is reshaping the market, offering opportunities in rapid prototyping and customization.
✦ Asia Pacific presents strong growth potential, fueled by industrialization and government support for smart manufacturing.
Market Segmentation
The machine tools market is segmented based on product type, material type, and end-user application.
By product type, CNC machines dominate the industry, capturing a 60% revenue share. These machines are instrumental in enabling automation, reducing human error, and supporting complex geometries with high-speed, repeatable precision. Their application across sectors, particularly in automotive and aerospace, drives sustained demand. In contrast, conventional machines retain a niche presence where customization and manual control are still valued.
Material-wise, carbide tools stand out with a 28% market share due to their superior hardness, heat resistance, and long operational life. They are widely used in demanding applications across the aerospace and automotive sectors. High-speed steel and carbon steel remain in use, though gradually being outpaced by carbide and emerging ceramic tools, especially in extreme conditions.
By end-user, the automotive and aerospace industries lead the market due to their high demand for precision, quality, and lightweight component manufacturing. Other major consumers include electronics, construction, and general machinery sectors, which increasingly rely on high-performance machine tools to improve productivity and maintain competitive edges.
Regional Insights
Europe remains the dominant force in the machine tools market, commanding approximately 28% of the global market share. Its leadership is supported by a strong industrial foundation, government support for R&D, and widespread adoption of smart manufacturing techniques. Germany, in particular, plays a pivotal role as a hub of machine tool innovation, with numerous global manufacturers headquartered in the region.
Asia Pacific is rapidly emerging as the most lucrative growth region, thanks to expanding industrial activity in countries like China, India, Japan, and South Korea. These economies are investing heavily in infrastructure, automation, and export-oriented manufacturing, spurring demand for advanced machine tools. The region is also a hotspot for additive manufacturing adoption and has seen significant integration of IoT in factory operations.
North America remains a significant market, supported by the revival of domestic manufacturing and strong demand from the aerospace and defense sectors. Meanwhile, South Asia, Latin America, and the Middle East & Africa are gradually catching up, offering new avenues for market penetration driven by industrial expansion and government support.
Market Drivers
One of the most powerful growth catalysts is the rise of Industry 4.0, where smart technologies such as IoT, AI, machine learning, and predictive analytics are reshaping the manufacturing ecosystem. Machine tools integrated with these technologies can monitor their own performance, predict breakdowns, and even auto-adjust operations for optimal efficiency.
Another driver is the increasing adoption in the automotive and aerospace industries, where demand for lightweight, high-precision components is essential. As electric vehicles (EVs) and new aerospace designs proliferate, manufacturers are leaning more heavily on machine tools capable of high-speed, high-accuracy operations, often using unconventional materials like aluminum alloys and composites.
Market Restraints
Despite its optimistic outlook, the market is not without challenges. Economic volatility is a significant hurdle, as fluctuations in global trade, recession risks, and inflationary pressures can delay capital investments in new machinery. Machine tools are often considered long-term assets, and during economic downturns, businesses are likely to defer or cancel purchase decisions.
Additionally, the industry faces technological disruption. Traditional manufacturers must contend with emerging technologies such as additive manufacturing and advanced robotics. These changes demand large upfront investments in R&D and a major shift in skills and operational models. Companies failing to adapt risk losing market share to more technologically nimble competitors.
Market Opportunities
The ongoing trend toward customization and personalization in manufacturing opens up exciting avenues for machine tool manufacturers. Advanced tools now allow for the efficient production of small batches and one-off items without sacrificing precision or cost-effectiveness.
Remote monitoring and maintenance are becoming increasingly valuable in global operations. Leveraging IoT and connected systems, manufacturers can reduce downtime and optimize tool usage by receiving real-time performance alerts, even from thousands of miles away.
Developing regions such as India, Southeast Asia, and parts of Africa present significant untapped potential. Rapid industrialization, infrastructural development, and local government incentives can drive increased adoption of modern machining solutions in these markets.
Lastly, diversification into additive manufacturing provides a strategic opportunity. By incorporating 3D printing into their product lines, traditional machine tool companies can tap into new markets such as rapid prototyping, medical device manufacturing, and customized tooling.
✔ Reasons to Buy the Report
✔ Gain a comprehensive understanding of the current and forecasted size of the machine tools market.
✔ Stay ahead with insights into emerging trends like Industry 4.0, additive manufacturing, and smart tools.
✔ Analyze competitive dynamics and benchmark leading players' strategies and innovations.
✔ Identify key investment pockets based on regional performance and end-user demand.
✔ Make informed decisions with detailed segmentation analysis and growth opportunity assessments.
🏢 Company Insights
• Amada Co. Ltd.
• DMG Mori Aktiengesellschaft
• Trumpf Group
• MAG
• Makino
• Okuma Corporation
• Shenyang Machine Tool Group Co Ltd
• Haas Automation Inc.
• Dalian Machine Tool Group Corporation
• EMAG
Recent Developments:
February 2024 - Nidec Machine Tool unveiled a compact, lightweight universal head designed for flexible machining applications.
August 2023 - Okuma America Corporation introduced its next-gen CNC machine control system, aimed at improving UI/UX and operational speed.
Conclusion
The global machine tools market is on a steady upward trajectory, driven by the digitalization of manufacturing, heightened demand for precision engineering, and the expanding capabilities of CNC and smart tools. While economic uncertainty and disruptive innovations pose challenges, they also spur evolution and adaptation in the industry. The growing emphasis on sustainability, automation, and customization is redefining operational paradigms across regions. Europe remains the vanguard of innovation, but Asia Pacific's rapid industrial growth cannot be overlooked. By embracing new technologies and capitalizing on emerging opportunities, machine tool manufacturers are well-positioned to carve out sustainable growth in this dynamic industrial landscape.
Contact Us:
Persistence Market Research
G04 Golden Mile House, Clayponds Lane
Brentford, London, TW8 0GU UK
USA Phone: +1 646-878-6329
UK Phone: +44 203-837-5656
Email: sales@persistencemarketresearch.com
Web: https://www.persistencemarketresearch.com
About Persistence Market Research:
At Persistence Market Research, we specialize in creating research studies that serve as strategic tools for driving business growth. Established as a proprietary firm in 2012, we have evolved into a registered company in England and Wales in 2023 under the name Persistence Research & Consultancy Services Ltd. With a solid foundation, we have completed over 3600 custom and syndicate market research projects, and delivered more than 2700 projects for other leading market research companies' clients.
Our approach combines traditional market research methods with modern tools to offer comprehensive research solutions. With a decade of experience, we pride ourselves on deriving actionable insights from data to help businesses stay ahead of the competition. Our client base spans multinational corporations, leading consulting firms, investment funds, and government departments. A significant portion of our sales comes from repeat clients, a testament to the value and trust we've built over the years.
This release was published on openPR.
Permanent link to this press release:
Copy
Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.
You can edit or delete your press release Machine Tools Market Set to Grow at 3.7% CAGR Through 2031, Says Persistence Market Research here
News-ID: 3998693 • Views: …
More Releases from Persistence Market Research

Global Automotive Active Health Monitoring Systems Market Expected to Surge from …
The Automotive Active Health Monitoring Systems Market is poised for significant growth over the forecast period of 2025 to 2032. This market is projected to expand from USD 683.9 million in 2025 to USD 2,338.3 million by 2032, registering a robust CAGR of 19.20%. Automotive active health monitoring systems are designed to track the real-time status of vehicles, enabling predictive maintenance, reducing downtime, and enhancing overall vehicle safety. With growing…

Primary Packaging Labels Market to Reach US$12.2 Bn by 2031 with Steady Growth a …
➤Overview of the Market
The global primary packaging labels market is a crucial segment of the packaging industry, enabling product identification, regulatory compliance, and brand differentiation. Primary labels are applied directly on product packaging, such as bottles, vials, boxes, and pouches, serving both functional and promotional roles. As consumer awareness of product authenticity and safety continues to rise, demand for innovative labeling solutions is expanding. Moreover, stringent regulatory frameworks in industries…

Shelf Stable Packaging Market to Reach US$10.7 Bn by 2031 with Steady Growth at …
➤Overview of the Market
The shelf stable packaging market plays a critical role in extending the shelf life of food and beverages without the need for refrigeration, ensuring product safety, convenience, and affordability. These packaging solutions-spanning cartons, pouches, cans, and plastic containers-are widely used in ready-to-eat meals, dairy alternatives, sauces, soups, and beverages. Growth in the market is closely linked to evolving consumer lifestyles, increasing urbanization, and demand for long-lasting packaged…

Print Label Market to Reach US$68.6 Bn by 2031 with Steady Growth at 4.3% CAGR - …
➤Overview of the Market
The global print label market is poised for substantial expansion, driven by increasing demand across industries such as food & beverages, pharmaceuticals, cosmetics, and logistics. Labels play a crucial role in brand identity, product differentiation, and regulatory compliance. In addition to providing essential information like product ingredients, expiration dates, and barcodes, printed labels serve as key marketing tools that influence consumer purchase decisions. With the rapid rise…
More Releases for Machine
Concrete Block Machine market: Lucrative Segments and their Underlying Factors | …
"
The Concrete Block Machine global market is thoroughly researched in this report, noting important aspects like market competition, global and regional growth, market segmentation and market structure. The report author analysts have estimated the size of the global market in terms of value and volume using the latest research tools and techniques. The report also includes estimates for market share, revenue, production, consumption, gross profit margin, CAGR, and other key…
Agriculture Machine to Machine (M2M) Agriculture Machine to Machine (M2M)
Global Agriculture Machine to Machine (M2M) market study offers an all-inclusive analysis of the major strategies, corporate models, and market shares of the most noticeable players in this market. Significant market players of market their aggressive scene, improvement plans and arrangements are clarified in the research report. Further, the market status and SWOT analysis are conducted on a regional and country level to prepare development plans and analyse the market…
Machine To Machine (M2M) Connections Market
Machine to Machine (M2M) Connections Market Research study which offers insights of in-depth research on historic and current market size along with the expected future prospects of the market and emerging trends in the market. The Machine to Machine (M2M) Connections Market report provides crucial information about the market, including Opinions from Industry experts, and the recent progressions and developments of the Machine to Machine (M2M) Connections Market.
Mobile, other connected…
Drilling Machine Market by Type (Sensitive Drilling Machine, Upright Drilling Ma …
Asia-Pacific serves as the most productive region as compared to others with diverse industry verticals significantly investing in drilling machine. Moreover, various domestic players are investing in the automotive and military & defense sectors, which is anticipated to boost the demand for drilling machines and its components to complete the respective operations with reduced labor cost and high precision of work within optimized time. Furthermore, the drilling machine market is…
Drilling Machine Market Report 2018: Segmentation by Type (Portable Drilling Mac …
Global Drilling Machine market research report provides company profile for Halliburton, Atlas Copco, Torquado Drilling Accessories, DATRON, DMTG, DMG MORI, SMTCL, NewTech Drilling Products, Baker Huges, Cheston, National Oilwell Varco and Others.
This market study includes data about consumer perspective, comprehensive analysis, statistics, market share, company performances (Stocks), historical analysis 2012 to 2017, market forecast 2018 to 2025 in terms of volume, revenue, YOY growth rate, and CAGR for the…
Washing Machine Market Report 2018: Segmentation by Washing Machine Type (Drum-t …
Global Washing Machine market research report provides company profile for Frigidaire (US), Arbreau (US), Kenmore (US), ECOAP (China), Turbo Series (Korea), Avanti (Denmark), Fisher & Paykel (New Zealand), Globe House Products (US), GE (US), LG (Korea), Electrolux (Sweden), Samsung (Korea), Speed Queen(US), Bosch (Germany) and Others.
This market study includes data about consumer perspective, comprehensive analysis, statistics, market share, company performances (Stocks), historical analysis 2012 to 2017, market forecast 2018…