Cutting Tools Market Research Report - Global Forecast until 2030

Cutting Tools Market Research Report: Information By Tool Type (Indexable Inserts(Indexable Turning & Boring, Indexable Milling, Indexable Hole making and Indexable Threading) and Solid Round Tools), By Material Type (Cemented Carbide, High-Speed Steel, Ceramics, Stainless steel, Polycrystalline Diamond, Cubic Boron Nitride and Exotic materials), By Application(Automotive, Aerospace & Defense, Construction, Electronics, Oil & Gas, Power Generation, Wood, Die and Mold and Others) - Forecast till 2030

ID: MRFR/IA - E/2710-CR | August 2020 | Region: Global | 192 pages

Impact of COVID-19 on the Cutting Tools Market

Cutting tools are used during the production and manufacturing of various products. The cutting tool market had been negatively impacted due to lockdowns imposed across the globe. The Asia-Pacific is one of the major producers of cutting tools; however, due to the outbreak of the COVID-19 pandemic, manufacturing plants were temporarily shut down, affecting the market growth. Furthermore, the disruptions in the supply of raw material such as cemented carbide, high-speed steel, ceramics, stainless steel, polycrystalline diamond, cubic boron nitride, and exotic materials have affected the manufacturing of cutting tools leading to declining revenues. Various industry verticals, including automotive, aerospace & defense, construction, electronics, oil & gas, power generation, wood, and die & mold have been affected due to the broken supply chains. The global pandemic has induced a steep decline in the demand for components, especially in countries under complete lockdowns. The trade war between China and the US has already disrupted the US tech industry, which has been further aggravated due to the coronavirus outbreak. Most of the manufacturers and component providers have been affected due to the restrictions on the import and export of components.

The shipping industry is responsible for nearly 90% of the freight carried worldwide. However, it has also been affected due to the COVID-19 pandemic. The outbreak of COVID-19 has created severe disruptions in the supply of raw material across countries, causing a rise in the prices of raw materials primarily due to the short supply and opportunistic pricing. However, the lifting of the lockdowns is likely to restore economic conditions and the demand for various products and services, which is anticipated to boost the demand for cutting tools in the coming months. The cutting tools market is anticipated to grow significantly in the coming years owing to the rising demand from the industrial sector and the professional segment and the increasing usage of cutting tools in manufacturing activities. The growth in the industrial sector is expected to fuel the cutting tools market. The need for cutting tools is likely to increase with the rising demand from the metal industry. The prime driving factor responsible for the growth of the market is the increasing demand for these tools in the aerospace & defense, construction, and automotive industries.

Source: National Association of Manufacturers