Cutting Tools Market Overview:
Cutting tool, also recognized as cutter, in industrial terms is a tool employed to eliminate material from the workpiece by means of shear deformation. Industrialization and manufacturing are vital obligations for sustainable development of any economy. The essentiality of an adequate production serving the unprecedented demand across the global economies is the foremost driver of cutting tools market from the manufacturing sector. The global cutting tools market size is estimated to be $34.42 billion, with the opportunities growing at a CAGR of 3.25% during the forecast period 2019-2025. Such affluence of cutting tools can be attributed to heavy industrial operations and unprecedented production demand surfacing by the means of global industrialization and the necessity for an operative and well-functioning economy.
Cutting Tools Market Outlook:
On the basis of type, the cutting tools market is segmented into linear cutting tools consisting of tool bits (single-point cutting tools), broaches and rotary cutting tools including drill bits, countersinks, milling cutters, and reamers. Owing to sustainable application in plentiful profit persuading sectors such as automotive, construction, oil and gas, and power generation, the opportunities in the cutting tools market are progressing rampantly.
Metal cutting is among the leading application owing to the enormous demand from vigorously growing sectors such as automobile (with sales of 97 million automobiles per year) and construction (with majority of modern projects exploiting on steel structures instead of traditional concrete). APAC region is the largest producer of various minerals and an established manufacturing hub, which accounted for a substantial 33% of global cutting tools market share in 2018. The impeccable raw material production has enabled APAC to establish enormous manufacturing units in the region and generate profitable leads for cutting tools market leading from the front. Some factors supporting the sheer affluence of the APAC cutting tools market are-
· Automotive sector of APAC region is instilled with tremendous demand from densely populated economies of China and India, and a strong presence of OEM manufacturers in Japan, India, and China. Japan holds the second spot after Germany in terms of cars export with an export value of $101 billion. Automotive industry employs several cutting tools such as drills, center drills, piloted reamers, piloted core drills, and reamers, and the scope of application in this sector is estimated to progress further with an increase in the productivity.
· The global construction sector capitalizing on several inevitable events such as robust industrialization, housing demand for mounting population, and increasing disposable income fashioning avenues for infrastructural upgrade is estimated to climb the mark of $8 trillion by 2030. And with India and China as participants in more than 50% of the global construction growth, the demand for construction cutting tools for various operations including drilling and earth mining will disrupt the market demand.
In terms of application, cutting tools market is configured of processes such as milling, turning, and drilling. After advance and deep analysis pertaining to application insights, milling was identified to be the fastest growing segment progressing with an application CAGR of 3.30% going through 2025. A milling machine is an equipment installed with cutters and have remarkable employment range in the metal industry for precise cutting. Apart from metal industry, the flourishing metal recycling market valued at $300120 million is creating viable commercialization opportunities for milling cutting tools.
Cutting Tools Market Trends and Growth Drivers:
· Convergence of Industry 4.0 with the cutting tools is a mega trend imposing opportunities of voluminous trade and adoption on the cutting tools market. Cutting tool systems manufacturing company Sandvik Coromant has publicized its ‘CoroPlus’ suite of Industrial Internet of Things (IIOT) solutions intended at facilitating industrialists organize for Industry 4.0. The company stated that, this concept amalgamated with the cutting tools is aimed to develop the control and efficiency of output and condense costs through an arrangement of connected machining and access to manufacturing data and expert knowledge.
· Increased production demand to capitalize on the bourgeoning global requirements is enforcing industrialist to employ advance tools to support efficient operations and dwell higher outputs in lesser time. This is creating opportunities of conjunction for DCS (digital control system) and cutting tools. A digitalized layout reduces the chances of compromise on precision which is an utmost necessity for cutting tools hence elevating its application trajectory.
· CRPF (Carbon-fiber reinforced polymer) is making a significant impact in the cutting tools market sideling the expensive PCD (polycrystalline diamond) tools. Its strength, durability, and corrosion resistance makes it ideal for automotive and aerospace use. PVD coatings on various cutting tools are extending the lifespan of tools delivering an economic perspective for the industrialist.
Cutting Tools Market Challenges:
Cutting tool suppliers and machine tool builders are reliant on cutting fluids to eradicate high temperature, supply lubricity, diminish wear and rust, and provide chip evacuation. The health and environmental concerns related to the use of metal-cutting fluids in manufacturing settings is a major factor restraining the cutting tools market growth. Application of these fluids on a daily basis in a working territory, expose machine operators to potential health vulnerabilities. However, with constant and substantial influx of investments in R&D conventional substitute are surfacing along with the advancements in industrial protective gears for operators.
Cutting Tools Market Players Perspective:
Some of the key players functioning in the global cutting tools market are Sandvik, Hitachi, Ehwa, BIAX, Asahi, Kennametal,Iscar,OSG,Mitsubishi,Kyocera,Sumitomo,Mapal,Nachi-Fujikoshi, and LMT ZCCCT.
Cutting Tools Market Research Scope:
The base year of the study is 2018, with forecast done up to 2025. The study presents a thorough analysis of the competitive landscape, taking into account the market shares of the leading companies. It also provides information on unit shipments. These provide the key market participants with the necessary business intelligence and help them understand the future of the cutting tools market. The assessment includes the forecast, an overview of the competitive structure, the market shares of the competitors, as well as the market trends, market demands, market drivers, market challenges, and product analysis. The market drivers and restraints have been assessed to fathom their impact over the forecast period. This report further identifies the key opportunities for growth while also detailing the key challenges and possible threats. The key areas of focus include the various types of innovations in global cutting tools market, and their specific advantages.
The Cutting Tools Market report also analyzes the major geographic regions for the market as well as the major countries for the market in these regions. The regions and countries covered in the study include:
• North America: The U.S., Canada, Mexico
• South America: Brazil, Venezuela, Argentina, Ecuador, Peru, Colombia, Costa Rica
• Europe: The U.K., Germany, Italy, France, the Netherlands, Belgium, Spain, Denmark
• APAC: China, Japan, Australia, South Korea, India, Taiwan, Malaysia, Hong Kong
• Middle East and Africa: Israel, South Africa, Saudi Arabia
Key Questions Addressed in the Cutting Tools Market Report
1. Is the market for cutting tools growing? How long will it continue to grow and at what rate?
2. Which type of segment presents the major growth opportunities?
3. Is there a possibility for change in the market structure over time?
4. Are additional developments needed for the existing product or services offerings or do the existing products meet the customer demands?
5. Do the key vendors look for partnerships to expand their businesses with respect to geography or product?
6. What are the short-term, long-term, and medium-term growth drivers for the market?
7. What are the short-term, medium-term, and long-term challenges for the market?
8. What are the short-term, medium-term, and long-term opportunities for the market
9. Who are the top players/companies of the market?
10. What are the recent innovations in the market?
11. How many patents have been filed by the leading players?
12. What are the types of patents filed by the leading players?
13. What is our Vision 2030 cutting tools market?
A few focus points of this Research are given below:
• Give a deep-dive analysis of the key operational strategies with focus on the corporate structure, R&D strategies, localization strategies, production capabilities, and sales performance of various companies
• Provide an overview of the product portfolio, including product planning, development, and positioning
• Discuss the role of technology companies in partnerships
• Explore the regional sales activities
• Analyze the market size and giving the forecast for current and future cutting tools market during the forecast 2019–2025
• Analyze the competitive factors, competitors’ market shares, product capabilities, and supply chain structures.