CNC Market by Offering (Machines, Parts & Accessories, Services), Product Type (Milling Machines, Machining Centers, Lathe Machines, Laser Machines, Drilling Machines, Grinding Machines, EDM Machines), End-User Industry & Region - Global Forecast to 2028
The CNC market size is projected to grow from USD 67.5 billion in 2023 to USD 80.4 billion by 2028, at a CAGR of 3.5% during the forecast period. Increasing automation in manufacturing industries globally and reduced operating costs and rising mass production of high-precision components for high-growth industriesare driving the CNC industry.
CNC Market Forecast to 2028
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CNC Market Dynamics
Driver: Increasing automation in manufacturing industries globally
The increasing significance of real-time data for process analysis and predictive maintenance in industrial settings, along with the rising demand for automated manufacturing systems driven by robotics and advanced control systems, are the primary factors propelling the adoption of industrial automation solutions in the global manufacturing industry. Industrial automation provides several benefits, including improved quality, greater consistency, enhanced safety, and increased accuracy in manufacturing processes, as well as higher production speeds and reduced operating costs for companies. The market for industrial control and factory automation is poised for substantial future growth, thanks to the widespread adoption of advanced automation systems like CNC machines by manufacturers seeking to automate their production processes.
Restraint: High installation and maintenance costs of CNC machines
The substantial investment needed for the procurement of CNC machines serves as a significant impediment to the global growth of the CNC market. Brand-new CNC machines, including lathes and routers, come with a price tag that frequently extends into the thousands of dollars, contingent on factors like brand and model. These expenses encompass not only the initial purchase price but also associated costs for shipping, installation, ongoing operation, and maintenance, thereby increasing the overall financial burden on companies that implement CNC machines. CNC machines are robust and can vary in weight from 100 pounds to several tons. Generally, transportation costs are integrated into purchase agreements, but if not, they can result in substantial outlays for customers. Furthermore, CNC machines can be tailored to meet the specific demands and specifications of end-users. The required configurations of CNC machines differ based on the specific applications in which they will be used. Additionally, CNC machines necessitate periodic upgrades to remain compatible with changes in the manufacturing process or product variations, incurring significant expenses. These high costs associated with the overall operations of CNC machines are the key factors considered in making the purchase decisions. They are expected to hinder the adoption of CNC machines, especially across cost-sensitive regions and industries. Therefore, high installation and maintenance costs pertaining to CNC machines are expected to prove to be a restraining factor for the growth of the CNC market.
Opportunity: Increasing demand for artificial intelligence-based systems in manufacturing
Globally, traditional systems have almost shifted toward smart manufacturing and digitization. They allowed physical equipment or machines to communicate with control systems and act autonomously using machine learning (ML) and artificial intelligence (AI). Therefore, many organizations have embraced AI and automation to speed up supply chains, increase inventory and order accuracy, and improve quality control. The integration of AI into CNC machining is a burgeoning trend, witnessing increasing acceptance among machine shops. As AI technology advances, it is increasingly likely that AI will attain a level of sophistication that allows it to seamlessly integrate with design software, automatically enhancing designs to achieve better results. A prime example of this is generative design—an iterative process that automatically optimizes designs. Generative design software, such as Autodesk Dreamcatcher, is already demonstrating the potential of AI by directly connecting to both additive manufacturing (3D printing) and subtractive manufacturing (CNC machining) processes.
Challenge: Lack of expert technicians to operate CNC machines
A significant hurdle impacting the CNC market's growth is the shortage of qualified CNC programmers, setup machinists, and machine operators. In the past, the challenge revolved around optimizing the limited capabilities of machines. However, CNC technology has effectively addressed this issue. Today, the primary challenge lies in the scarcity of skilled personnel who can proficiently program, set up, and operate these machines. CNC machines are capable of performing a wide range of tasks when programmed accurately. Nonetheless, incorrect programming of CNC machines can lead to manufacturing errors, resulting in unnecessary cost burdens for end-users. The demand for skilled technicians to operate CNC machines has grown over the years. However, in many industries, there is a shortage of qualified engineers and maintenance personnel needed to adequately support and upkeep these machines.As CNC machines comprise various components, it necessitates the requirement of highly skilled workers to set them up. However, the shortage of qualified setup machinists and machine operators, coupled with high labor costs, is a key challenge for the growth of the CNC market.
CNC Market Ecosystem
This section describes the CNC ecosystem and the deployment of CNC solutions in different end-user industries, along with the impact of associated technologies on the CNC market.
Machines Segment to hold the largest share of the CNC market during 2023–2028
The machines segment is expected to account for the largest size of the CNC market during the forecast period. The machines come in various types, including milling machines, lathes, and grinding; each designed for specific machining processes. These machines serve as the foundational technology and hardware that underpin precision manufacturing processes across a wide range of industries, making them the central focus of the market. Furthermore, CNC machines continually benefit from ongoing technological advancements and innovations. These innovations drive demand for more advanced and efficient systems, reinforcing their significance in the market. The ability to deliver increasingly sophisticated machining capabilities further solidifies their position as a core component of the CNC market.
Machining Centers product type to dominate the CNC market during the forecast period.
Machining Centers product type segment is expected to account for the largest size of the CNC market during the forecast period. Machining centers offer exceptional versatility and precision, catering to a wide spectrum of industries. Their automation capabilities contribute to enhanced operational efficiency, making them equally adept for high-volume production and customized, intricate components. Ongoing technological advancements have continuously improved their performance and capabilities. Furthermore, the growing demand for CNC-machined components in diverse sectors underpins their prominent standing in the market, reflecting the market's confidence in their ability to deliver quality and cost-effective solutions.
Automotive & Transportation end-user industry to dominate the market during the forecast period
The automotive & transportation end-user industry is expected to account for the largest share of the CNC market during the forecast period. CNC machines contribute to higher productivity and cost savings in the automotive industry through automation and efficient production processes. This machine ensures consistency in part production. They follow precise instructions, minimizing the likelihood of defects or variations in dimensions. This level of quality control is critical in the automotive industry, where safety and performance standards are stringent. The automotive and transportation industry is experiencing a significant increase in global demand driven by population growth, urbanization, and rising consumer expectations. To meet this ongoing and increasing demand, automotive manufacturers need efficient and scalable production methods, with CNC machines being a key component of these processes.
The CNC market in Asia PAcific is expected to maintain the highest share during 2023–2028
Asia Pacific is expected to hold the largest share of the CNC market throughout the forecast period. The region is considered significant in the growth of the global CNC market, both in production and sales. The aging population in China and Japan has resulted in rising labor costs, leading to the growing adoption of automation. The increasing population is also attracting companies to invest in the Asia Pacific. The presence of some of the most prominent players in the CNC market space, such as DMG MORI (Japan), OKUMA Corporation (Japan), Makino Milling Machine Co., Ltd. (Japan), JTEKT Corporation (Japan), DN SOLUTIONS (South Korea), and others is another major factor driving the market in this region.
CNC Market by Region
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Key Market Players
The CNC players have /implemented various types of organic and inorganic growth strategies, such as product launches, product developments, partnerships, and collaborations, to strengthen their offerings in the market. The major players are DMG MORI (Japan), Okuma Corporation (Japan), Makino Milling Machine Co., Ltd. (Japan), Haas Automation, Inc (US), JTEKT Corporation (Japan), DN SOLUTIONS (South Korea), TRUMPF (Germany), Hurco Companies, Inc. (US), Yamazaki Mazak Corporation (Japan), GF Machining Solutions Management SA (Switzerland), CHIRON Group SE (Germany), and others. The study includes an in-depth competitive analysis of these key players in the CNC Companies with their company profiles, recent developments, and key market strategies.
CNC Market Report Scope
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Report Metric |
Details |
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Estimated Market Size |
USD 67.5 billion in 2023 |
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Projected Market Size |
USD 80.4 billion by 2028 |
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Growth Rate |
CAGR of 3.5% |
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Market size available for years |
2019—2028 |
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Base year |
2022 |
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Forecast period |
2023—2028 |
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Units |
Value (USD Million/Billion) |
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Segments Covered |
Offering, Product Type, End-User Industry and Region |
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Geographic regions covered |
North America, Europe, Asia Pacific, and Rest of the World |
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Companies covered |
Key players in the CNC market are DMG MORI (Japan), Okuma Corporation (Japan), Makino Milling Machine Co., Ltd. (Japan), Haas Automation, Inc (US), JTEKT Corporation (Japan), DN SOLUTIONS (South Korea), TRUMPF (Germany), Hurco Companies, Inc. (US), Yamazaki Mazak Corporation (Japan) are some of the key players in CNC market.—a total of 25 companies. |
CNC Market Highlights
This report categorizes the CNC market based on offering, product type, end-user industry, and region.
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Segment |
Subsegment |
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By Offering: |
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By Product Type: |
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By End-User Industry: |
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By Region |
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Recent Developments
- In June 2023, Makino Milling Machine Co., Ltd. introduced A91NX launched horizontal machining center. The product is the latest addition to its renowned NX-series lineup, bringing advanced capabilities to the machining of oversized components. The machine offers high-quality machining results, outstanding thruput capabilities, and lower overall manufacturing costs. The machine is suitable for use in automotive, industrial components, agriculture equipment, construction machinery, and aero structural pieces.
- In May 2023, DMG MORI launched the newest additive manufacturing machine, the LASERTEC SLM 30 US. This machine features adaptive beam control and a non-contact recoating method. It offers several significant advancements, including a hybrid toolpath strategy, dynamic adjustments to laser power, laser speed, and laser beam profile at the best industry production cost. With a working area of 11.8 x 11.8 x 11.8 inches, the LASERTEC 30 SLM US focuses on cost-effective part production and handling complex shapes.
- In April 2022, Okuma Corporation introduced the LB3000 EX III, the latest addition to the LB-EX series of high-precision CNC lathes with a single saddle. The product attains exceptional levels of decarbonization, precision, and productivity. The newly launched lathe machine offers user-friendly operation and simplifies advanced machining tasks. In addition, its digital twin-based front loading boosts efficiency.
- In September 2022, JTEKT Machinery Americas Corporation introduced the FH5000 series, a high-speed horizontal machining center (HMC), in IMTS 2022. The FH5000S HMC, with a 60-tool ATC, is designed for speed and production reliability, featuring a 15,000-rpm spindle, 50 hp power, and a 0.7-second index time for the B-axis table. This enag bles aggressive, high-volume machining in a compact space.
Critical Questions:
What is a CNC machine?
CNC stands for Computer Numerical Control. It is a technology that uses computer systems to control and automate machine tools and other manufacturing processes. CNC machines, such as milling machines, lathes, routers, and laser cutters, are used to precisely and efficiently shape, cut, and manipulate materials like metal, plastic, and wood based on computer-generated designs and instructions. CNC technology enhances precision, productivity, and consistency in manufacturing and has a wide range of applications across various industries.
What is the current size of the global CNC market?
The global CNC market is estimated to be around USD 67.5 billion in 2023 and is projected to reach USD 80.4 billion by 2028 at a CAGR of 3.5%.
Who are the top players in the CNC market?
The major vendors operating in the CNC market include DMG MORI (Japan), Okuma Corporation (Japan), Makino Milling Machine Co., Ltd. (Japan), Haas Automation, Inc (US), JTEKT Corporation (Japan), and others.
Which major countries are considered in the Asia Pacific region?
The report includes an analysis of the China, Japan, India and Rest of the Asia Pacific countries.
Which are the major industries in which CNC machines are used?
Significant industries for CNC machines are Automotive & Transportation, Aerospace, Medical, Semiconductors, Capital Goods, and Energy & Power.
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The study involves four major activities for estimating the size of the CNC market. Exhaustive secondary research has been conducted to collect information related to the market. The next step has been validating these findings, assumptions, and sizing with the industry experts across the value chain through primary research. Both top-down and bottom-up approaches have been employed to estimate the overall size of the CNC market. After that, market breakdown and data triangulation procedures have been used to determine the extent of different segments and subsegments of the market.
Secondary Research:
Secondary sources in this research study include corporate filings (such as annual reports, investor presentations, and financial statements); trade, business, and professional associations; white papers, certified publications, articles from recognized authors; directories; and databases. The secondary data has been collected and analyzed to determine the overall market size estimations, further validated by primary research.
Primary Research
In the primary research process, several sources from both supply and demand sides were interviewed to obtain qualitative and quantitative information about this report. Several primary interviews have been conducted with market experts from both demand and supply sides across four major regions—North America, Europe, Asia Pacific, and the Rest of the World. This primary data has been collected through questionnaires, emails, and telephonic interviews. Approximately 60% of the primary interviews have been conducted with the demand side and 40% with the supply side. This primary data has been collected mainly through telephonic interviews, which accounted for 80% of the total primary interviews. Additionally, questionnaires and emails were used to collect the data.
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
In the complete market engineering process, both top-down and bottom-up approaches have been implemented, along with several data triangulation methods, to estimate and validate the size of the CNC market and other dependent submarkets listed in this report.
- The key players in the industry and markets have been identified through extensive secondary research.
- Both the supply chain of the industry and the market size, in terms of value, have been determined through primary and secondary research.
- All percentage shares, splits, and breakdowns have been determined using secondary sources and verified through primary sources.
Data Triangulation
After arriving at the overall market size, the total market has been split into several segments. To complete the overall market engineering process and arrive at exact statistics for all segments, the market breakdown and data triangulation procedures have been employed wherever applicable. The data has been triangulated by studying various factors and trends from both the demand and supply sides. The market has also been validated using both top-down and bottom-up approaches.
Market Definition
CNC or computer numerical control machines are sophisticated tools a computer system controls, allowing for precise operation. These machines are versatile and can work with various materials, such as metals, plastics, wood, and composites. The operation of CNC machines relies on a pre-programmed set of instructions that dictate their movements and material removal processes. These instructions dictate tool movements and material removal quantities, often achieving tolerances of less than one-thousandth of an inch. CNC machines play a pivotal role across diverse industries, such as automotive, aerospace, medical, semiconductor, capital goods, and energy & power, contributing to the production of various components, such as engines, gears, circuit boards, and medical implants.
Key Stakeholders
- Automation Consultants
- Integrators of Automation Systems
- Distributors and Providers of CNC Machines
- Companies Developing and Integrating Industrial Software
- Vendors of CNC Machining Software
- Suppliers of CNC Machine Components
- Research Organizations and Consulting Companies
- Technology Investors
- Technology Standards Organizations, Forums, Alliances, and Associations
Study Objectives:
- To describe and forecast the size of the CNC market based on offering, product type, end-user industry, and region in terms of value
- To describe and forecast the size of the CNC market based on four regions: North America, Europe, Asia Pacific, and Rest of the World (RoW), along with their respective countries, in terms of value
- To provide industry-specific information on drivers, restraints, opportunities, and challenges influencing the market growth
- To understand and analyze the impact of evolving technologies in the value chain of the CNC market and upcoming trends
- To provide ecosystem analysis, case study analysis, patent analysis, technology analysis, pricing analysis, Porter’s five forces analysis, key stakeholders and buying criteria, key conferences and events, and regulatory landscape pertaining to the market under study
- To strategically analyze micromarkets1 concerning individual growth trends, prospects, and contributions to the overall market size
- To study the complete value chain of the CNC market
- To strategically profile the key players and comprehensively analyze their market positions in terms of their ranking and core competencies2, along with a detailed market competitive landscape
- To analyze competitive developments, such as product launches, acquisitions, agreements, partnerships, contracts, and expansions, in the market
- To benchmark market players using the company evaluation matrix, which includes an analysis of the market players based on product footprint and market share/rank
Available Customizations
With the given market data, MarketsandMarkets offers customizations according to the specific requirements of companies. The following customization options are available for the report:
Product Analysis
- Product matrix that gives a detailed comparison of the product portfolio of each company
Company Information
- Detailed analysis and profiling of 25 market players
Growth opportunities and latent adjacency in CNC Market