CNC Machine Market is expected to be valued at USD 126 Billion with a CAGR of 5% Forecast by 2030
The CNC machine market is anticipated to rise at a CAGR of 5% from 2022 to 2030. Automated CNC systems and industrial robots equipped with simulation software to boost output are projected to drive the market's growth over the forecast period. The CNC machine market size is expected to reach approximately USD 126 Billion by 2030. One of the key motivations for implementing automated CNC machines is to address the skilled labor shortage that most businesses are currently experiencing. This enables manufacturing businesses to improve their efficiency and enhance their output. To meet this demand, incumbents in this market, such as OKAMA America Corporation and Fanuc Corporation, place a premium on integrating new technology into their existing product portfolios.
COVID-19 Impact Analysis
The market experienced tremendous growth in 2021 due to the pandemic's pent-up demand and the backlog of orders. This tendency will likely continue in the foreseeable future when backlogs from 2020 are cleared. However, the lack of semiconductors, rising steel costs, and logistical expenses are expected to stymie OEM sales revenues until 2023.
CNC Machine Market Dynamics
The market for computer numerical control machines is expected to grow favorably over the projection period, owing to automated CNC systems coupled with industrial robots and simulation software to enhance output. CNC machine automation is being used primarily to address the current shortage of trained workers that most industries suffer. This allows manufacturing industries to increase production and efficiency. The surge in EV sales, combined with a rise in demand for the processing of ultra-precision EV parts, is predicted to bode well for the automotive segment's growth throughout the forecast period. Demand for customized components such as crankshafts, cylinder heads, and motor pumps will likely drive market expansion further. For Instance, by 2030, it is predicted that there will be a demand for more than twenty-eight hundred thousand CNC machines. The main driver predicted to propel market growth throughout the projected period is the increase in the need for medical devices, telecom communication equipment, electric vehicles (EV), and equipment used in fabrication. The necessity for five-axis milling and ultra-precision machinery to meet the demands of EV manufacturers is also projected to fuel expansion.
CNC systems are increasingly being employed in companies that create huge volumes of goods due to their ability to generate exceedingly exact parts and components. Furthermore, many of the methods used in CNC to build standardized components utilizing machine tools, such as CAD and CAM, are completely interchangeable. Furthermore, using CNC in manufacturing facilities directly impacts cost reduction while also dramatically enhancing productivity and product quality. For Instance, in February 2021, Citizen Machinery introduced the Cincom L32 XII, a Sliding Headstock Type Automatic CNC Lathe with an automatic tool changer. The features allow for machining complex structures, such as implants used in medical procedures, and the performance of numerous functions simultaneously.
.The high cost of purchasing this equipment and the expenditures connected with their upkeep are likely to stymie industry expansion. Furthermore, a shortage of semiconductors used in CNC machines, as well as fluctuations in raw material costs, are expected to provide challenges to the market during the forecast period.
An increase is influencing the market in demand for automated CNC systems that are coupled with industrial robots. These systems employ simulation software to optimize production, alleviate manpower shortages, and boost productivity. Furthermore, increased urbanization, lifestyle shift, investments, and higher consumer spending benefit the market for computer numerical control (CNC) devices.
CNC Machine Market Segmentation
The CNC machine market segmentation, based on type, is milling machines, lathe machines, laser machines, welding machines, grinding machines, winding machines, and others. The CNC machine market growth was prominently high under the CNC lathe machines category in 2021 and is predicted to grow at the fastest CAGR during the forecast period. The automotive industry's growing demand for CNC lathe machines to make customized parts such as starter motors, cylinder heads, gearboxes, and other prototyping applications is expected to fuel market growth shortly. Furthermore, technological advancements in CNC lathe systems with advanced features for various applications are expected to drive market expansion. There is an increasing need for CNC laser cutting equipment from semiconductor manufacturing companies to address the continuous scarcity of semiconductors across all industries. Additionally, market growth is expected to be positive in the next years due to the increasing use of CNC fiber laser cutting equipment in the sheet metal processing and kitchenware industries.
End User Insights
The CNC machine market segmentation, based on end user, is automotive, aerospace & defense, construction equipment, power & energy, industrial, and others. The industrial segment held the largest market share in 2021 and is anticipated to register the fastest CAGR by 2030. General manufacturing sectors such as electronics, medical, packaging, and other industries are included in the industrial segment.
Global CNC Machine Market Share, by Region, 2021 (%)
CNC Machine Market Overview, by Region
By region, the CNC machine market has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific region accounted for the most extensive market share, and Europe is anticipated to register the highest CAGR during the review period.
The Asia-Pacific region had the largest market share in 2021 and is expected to maintain that position throughout the forecast period. CNC machine sales are predicted to reach 790,000 units in 2022, quadrupling by 2030. The boom in industrial equipment manufacturers outsourcing services, the accessibility of affordable raw materials, and low operational costs are driving demand for manufacturing outsourcing and increasing sales of CNC machines over the forecast period.
Europe is expected to expand at the fastest CAGR during the forecast period. The key drivers of the expansion include Italy, France, Germany, and other European countries. Over the next few years, market growth is likely to be supported by a labor shortage, which will force metalworking companies to increase their automation spending to increase the productivity of their CNC machines
CNC Machine Market Competitive Landscape
The market includes tier-1, tier-2, and local players. The tier-1 and tier-2 players have reach with diverse product portfolios. Companies such as Amada Co. Ltd. (Japan), Haas Automation Inc. (US), Fanuc Corporation (Japan), Datron AG (Germany), Amera Seiki (US), MG Mori (Germany), among others, dominate the market due to product differentiation, strategic developments, financial stability, and diversified regional presence. CNC machine firms are focusing on developing new and inventive methods to make facility assets and services relevant and necessary for improving customer experience, business administration, occupational physiology, and supporting their core business. Property management services are tailored to property owners' short and long-term financial goals. Service and solution providers develop a strategic property operations plan for their customers based on a zero-based operating budget and capital plan. To expand their market footprint and acquire more clients, these market players are investing in R&D and engaging in marketing strategies such as partnerships & collaborations, mergers & acquisitions, product launches, and developments.
Major players in the CNC machine market research are Okuma Corporation (Japan), Yamazaki Mazak Corporation (Japan), Amada Co. Ltd. (Japan), Haas Automation Inc. (US), Fanuc Corporation (Japan), Datron AG (Germany), Amera Seiki (US), MG Mori (Germany), Hurco Companies Inc. (US), Dalian Machine Tool Group (DMTG) Corporation (China), Shenyang Machine Tool Co. Ltd. (SMTCL), and others.
Scope of the CNC Machine Market Report
End User Outlook
Objectives of the Study
The objectives of the study are summarized in 5 stages. They are as mentioned below:
CNC Machine Market Forecast & Size:
To identify and estimate the market size for the CNC machine market report segmented by type and end-user by value (in US dollars). Also, to understand the consumption/ demand created by consumers in the CNC machine market forecast between 2022 and 2030
Market Landscape and Trends:
To identify and infer the drivers, restraints, opportunities, and challenges in the CNC machine market growth
Market Influencing Factors:
To find out the factors which are affecting the CNC machine market size among consumers
Impact of COVID-19:
To identify and understand the various factors involved in the market affected by the pandemic
To provide a detailed insight into the major companies operating in the market. The profiling will include the company's financial health in the past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.
|Market Size||2030: USD 126.17 billion|
|CAGR||5% (2022 to 2030)|
|Forecast Period||2022 to 2030|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type, End-User|
|Geographies Covered||North America, Europe, Asia-Pacific, and the Rest of the World (RoW)|
|Key Vendors||Okuma Corporation (Japan), Yamazaki Mazak Corporation (Japan), Amada Co. Ltd. (Japan), Haas Automation Inc. (US), Fanuc Corporation (Japan), Datron AG (Germany), Amera Seiki (US), MG Mori (Germany), Hurco Companies Inc. (US), Dalian Machine Tool Group (DMTG) Corporation (China), Shenyang Machine Tool Co. Ltd. (SMTCL)|
|Key Market Opportunities||Automated CNC Systems Are Popular|
|Key Market Drivers||Demand for mass-production plants is increasing|
The CNC machine market forecast period is 2022 - 2030
The market is expected to register a CAGR of ~5.00% over the next 10 years, according to the CNC machine market research.
Europe is expected to register the highest CAGR during 2022 - 2030
Asia-Pacific held the largest share in 2021
The market size is expected to be USD 126.17 billion by 2030.
Okuma Corporation (Japan), Yamazaki Mazak Corporation (Japan), Amada Co. Ltd. (Japan), Haas Automation Inc. (US), and Fanuc Corporation (Japan) are the major companies operating in the market.