Report Details:
15 Companies Covered
192 Pages
Market Research Future (MRFR) has published a cooked research report on the “Global Cutting Tools Market” that contains information from 2019 to 2035.
The Global Cutting Tools Market is estimated to register a CAGR of 4.5% during the forecast period of 2024 to 2035.
MRFR recognizes the following companies as the key players in the Global Cutting Tools Market — include Robert Bosch Gmbh, OSG Corporation, ISCAR LTD, MAPAL Dr. Kress SE & Co. KG, Stanley Black & Decker Inc., Klein Tools Inc., ICS Cutting Tools Inc., Snap-on Corporated, OTTO BAIER GmbH, Hilti Corporation, among Others.
Cutting Tools Market Highlights
The Cutting Tools Market is estimated to register a CAGR of 4.5% during the forecast period and is estimated to reach USD 1,35,989.4 Million by 2035.
The global cutting tools market reached an estimated valuation of USD 83.8 billion in 2024, reflecting the vital role these tools play across a wide spectrum of manufacturing and industrial applications.. By tool type, indexable inserts accounted for the largest share, generating USD 47.3 billion, which is over 56% of the total cutting tools revenue. Solid round tools, including drills, end mills, and reamers, contributed USD 36.5 billion, reflecting strong adoption in both general machining and specialty manufacturing where tighter tolerances are critical. Analyzing the market by tool mechanism, electric powered tools led the category with USD 32.0 billion, fueled by rising automation, CNC integration, and Industry 4.0 implementations. Pneumatic tools, valued at USD 24.4 billion, remain widely used in high-speed and repetitive industrial operations. Meanwhile, manual tools, although contributing a smaller share (USD 15.7 billion), still hold relevance in woodworking, construction, and low-volume tasks. Hydraulic tools contributed USD 11.6 billion, often utilized in heavy-duty and energy-intensive applications. From an application standpoint, turning operations generated the highest revenue at USD 17.3 billion, reflecting its foundational role in metal cutting and machining. Milling and drilling followed closely at USD 14.3 billion and USD 13.8 billion, respectively, driven by widespread use in component manufacturing. Applications like grinding (USD 11.1 billion) and boring (USD 6.6 billion) also demonstrated steady growth, while emerging needs in micro-machining (USD 2.7 billion) reflected demand from electronics and precision components.
Segment Analysis
The Global Cutting Tools Market has been segmented based on By Tool Type, By Tool Mechanism, By Application, By Material, By End User Industry, By Sales Channel.
Based on Tool, the Global Cutting Tools Market is segmented into Indexable Inserts & Solid Round Tools. The Indexable Inserts & Solid Round Tools segment dominated the market in 2024, is projected to be the fastest-growing segment during the forecast period, 2025–2035.
The indexable inserts segment is a crucial and highly utilized category within the global cutting tool market, known for its efficiency, cost-effectiveness, and adaptability across a wide range of machining applications. Indexable inserts are specially designed cutting components that are clamped into a tool holder and feature multiple cutting edge.
On the basis of Tool Mechanism, Global Cutting Tools Market is segmented into Manual Tools, Electric Powered Tools, Pneumatic Powered Tools, Hydraulic Powered Tools. The cutting tool segment dominated the market in 2024, segment is projected to be the fastest-growing segment during the forecast period, 2025–2035.
Electric powered tools also align with the trend toward smart manufacturing. Integration of sensors, digital controls, and programmable features allows for precise monitoring of tool condition, cutting depth, and rotational speed. This integration enables predictive maintenance and consistent quality, crucial in sectors like aerospace, automotive, and electronics.
On the basis of application, the Global Cutting Tools Market is segmented Turning, Milling, Drilling, Boring, Tapping/Threading, Broaching, Hobbing, Grinding, Micro-machining, Others. The cutting tool segment dominated the market in 2024, segment is projected to be the fastest-growing segment during the forecast period, 2025–2035
Turning is one of the most foundational and widely applied machining processes in the cutting tools industry. It involves the removal of material from a rotating workpiece using a single-point cutting tool. This application is primarily used to produce cylindrical parts and components, such as shafts, pins, bushings, and threaded parts. Turning is essential in industries like automotive, aerospace, and heavy machinery, where high-volume production of round parts is routine.
Based on Application, the Global Cutting Tools Market has been segmented into Cemented Carbide, High-Speed Steel, Ceramics, Polycrystalline Diamond, Cubic Boron Nitride, Others. The Global Cutting Tools Market segment held the largest market share in 2024, and the clinical trials segment is the fastest-growing segment during the forecast period (2025 -2035).
Cemented carbide, commonly known as tungsten carbide, is a high-performance material used extensively in the cutting tools industry. It is composed of extremely hard particles primarily tungsten carbide cemented together with a metallic binder like cobalt, which provides toughness and durability. High-Speed Steel (HSS) cutting tools represent a crucial segment of the global cutting tools market, known for their cost-efficiency, versatility, and ability to retain hardness at elevated temperatures. HSS is a type of tool steel alloyed with elements like tungsten, molybdenum, chromium, vanadium, and sometimes cobalt, which enhance its wear resistance and thermal stability.
Based on Indication, the Global Cutting Tools Market has been segmented into Automotive, Aerospace & Defence, Construction, Electronics, Oil & Gas, Power Generation, Woodworking, Die & Mold. The Cutting Tool segment held the largest market share in 2024, and growing segment during the forecast period (2025 -2035). As the automotive segment represents one of the most significant end-use industries in the global cutting tools market, driven by the sector’s high-volume production requirements and continual innovations in vehicle design and manufacturing. Cutting tools are critical in shaping, machining, and finishing key automotive components such as engine blocks, cylinder heads, transmissions, suspension systems, and increasingly, electric vehicle (EV) parts like battery housings and electric motor components.
Based on End User, the Global Cutting Tools Market has been segmented into OEM & Aftermarket. The OEM & Aftermarket segment held the largest market share in 2024, and the contract research organizations (CROs) segment is the fastest-growing segment during the forecast period (2025 -2035).
OEMs often collaborate closely with tool manufacturers to co-develop custom solutions that meet their exact specifications, ensuring optimal performance and minimal downtime. The OEM segment plays a pivotal role in shaping innovation and demand in the cutting tool market. As the largest consumers of cutting tools, OEMs significantly influence material preferences, performance standards, and global supply chain strategies. The rise of digital platforms and e-commerce tools offered by leading companies like Sandvik, Dormer Pramet, and Kennametal are making it easier for aftermarket users to reorder, track, and manage tooling inventories efficiently. Secondly, there is a growing preference for tool recycling and reconditioning services, which is aligned with global sustainability goals
Regional Analysis
The Global Cutting Tools Market accounted for USD 83,796.5 Million in 2024 and is projected to grow at a CAGR of 4.5% during the forecast period. Global market is further segmented into North America, Europe, Asia-Pacific, South America, Middle East & Africa.
The North America one of the most technologically advanced and mature markets globally, driven predominantly by the United States and Canada. It plays a critical role in the global manufacturing and machining landscape due to its strong industrial base, emphasis on precision engineering, and early adoption of advanced machining and automation technologies.
Meanwhile, advanced and innovation-driven segments globally, owing to the region’s deep-rooted industrial base and engineering expertise. Cutting tools such as milling cutters, drills, inserts, broaches, and grinding wheels are essential in various high precision manufacturing sectors, including automotive, aerospace and defense, energy, medical devices, industrial machinery, and die/mold applications.
Further, dominance is primarily fueled by extensive manufacturing activities across countries such as China, India, Japan, South Korea, and Taiwan. the demand for cutting tools is notably high in the automotive industry, where manufacturers in India, China, and Japan utilize them to fabricate engine components, transmission systems, and structural parts. Moreover, general engineering and fabrication shops across the region heavily rely on solid carbide tools, indexable inserts, and HSS tools for small-batch and customized production.
Additionally, the region has traditionally been dependent on imports for high-precision manufacturing technologies, current trends indicate a growing investment in cutting tools such as drills, end mills, reamers, and inserts for use in diverse sectors like oil & gas, construction, defense, aerospace, mining, and automotive. One of the major growth drivers in the general-purpose cutting tools continue to serve a large segment of small and medium-sized enterprises (SMEs) engaged in mold making, welding, and machining workshops across the region. For instance, Saudi Arabia’s Vision 2030 and the UAE’s Industrial Strategy 300bn are focused on reducing reliance on oil exports and building robust domestic manufacturing bases.
Key Findings of the Study
- The Global Cutting Tools Market is expected to reach USD 1,35,989.4 Million by 2035, at a CAGR of 4.5% during the forecast period.
- The Asia Pacific region accounted for the largest growth in the global market.
- Based on By Tool, the Cutting Tools segment was attributed to holding the largest market in 2024.
- Robert Bosch Gmbh, OSG Corporation, ISCAR LTD, MAPAL Dr. Kress SE & Co. KG, Stanley Black & Decker Inc., Klein Tools Inc., ICS Cutting Tools Inc., Snap-on Corporated, OTTO BAIER GmbH, Hilti Corporation, among Others are the key market players.