US$82.3B global opportunity for machine tools by 2026

From turning, boring, milling, grinding, drilling, tapping, forming, casting, cutting to other more complex tasks, machine tools are indispensable in a wide gamut of manufacturing industries ranging from automotive, aerospace & defense, shipbuilding, electrical & electronics, precision engineering, power generation, railways to computers, medical, healthcare and biotechnology. The manufacturing industry is a critical growth driver and the shifting role of manufacturing and its level of contribution to economic development tends to impact growth patterns in the market. Growth in textile production and increased mechanization of the agricultural sector are poised to push the future demand for advanced, custom-made machine tools. Further, the increasing role of robotic tools in the production floor and technological innovations will sustain the growth momentum. With a majority of the jobs shops in developed countries serving companies in the automotive and electronics sectors, demand for high precision, technically advanced and efficient grinding machines is forecast to stem from these markets.

Amid the COVID-19 crisis, the global market for Machine Tools estimated at US$64.6 Billion in the year 2022, is projected to reach a revised size of US$82.3 Billion by 2026, growing at a CAGR of 3.7% over the analysis period. Machining Centers, one of the segments analyzed in the report, is projected to record a 3.7% CAGR and reach US$18.5 Billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Lathe Machines segment is readjusted to a revised 4.1% CAGR for the next 7-year period.

The U.S. Market is Estimated at $6.2 Billion in 2022, While China is Forecast to Reach $30.1 Billion by 2026 
The Machine Tools market in the U.S. is estimated at US$6.2 Billion in the year 2022. China, the world`s second largest economy, is forecast to reach a projected market size of US$30.1 Billion by the year 2026 trailing a CAGR of 4.5% over the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 2.2% and 3.4% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 2.6% CAGR. In the United States, manufacturing renaissance and reshoring of manufacturing are forecast to benefit the machine tools market. Spiraling labor costs in China and increasing shipping costs are fast eroding China's edge as a low cost manufacturing hub. In addition, cheap shale gas is attracting industrial companies back into the US, boding a possible return to industrialization after decades of consumption led growth. Manufacturing industries in developing countries are poised to flaunt greater demand for high quality precision equipment on par with their developed counterparts.

Bending & Forming Machines Segment to Reach $10.8 Billion by 2026 
Bending & forming tools die cast metal into a desired shape by uniaxially deforming the metal blank beyond its yield strength using temperature and/or pressure gradients that do not perturb its tensile strength, such that the metal's malleability is optimally leveraged to shape it into the desired form. These automatic high-speed part changeover machines are capable of inducing any number of bends on the surfaces through continuous revolution of the manipulator and are usually deployed to create a variety of partial bends, tubular bends, isolated bends and hems. In the global Bending & Forming Machines segment, USA, Canada, Japan, China and Europe will drive the 4.1% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$6.9 Billion will reach a projected size of US$9.2 Billion by the close of the analysis period. China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$1.6 Billion by the year 2026, while Latin America will expand at a 4.1% CAGR through the analysis period. More