Laser Cutting Machine Market - Forecast(2024 - 2030)

Report Code: ESR 65675 Report Format: PDF + Excel

Laser Cutting Machine Market Overview

The global Laser Cutting Machine Market is currently valued at $5.6 billion in 2021 and is expected to reach a valuation of $6.69 billion by 2027 growing at a CAGR of 9.65% during 2022-2027. Laser Cutting is a thermal separation method in which many different materials can be cut efficiently, quickly, and precisely without reworking. The urgent requirement of many industries to reduce human involvement and the role of machine tools and automate the metal cutting process for better cutting precision and accuracy and lower material wastage has been one of the driving factors behind the growth of this market. The rapid expansion of end-user industries such as the automotive industry, consumer electronics, home appliances, defence, aviation, and others has given a big impetus to the manufacturers to increase production which in turn is fuelling the market growth, especially of fibre laser cutting machine and CNC laser cutting machine. In April 2022, Monoport Tech Inc. launched their series of affordable laser cutting machines “Monoport Laser” which was specifically designed for small businesses and individual use. Such developments coupled with rapid industrial expansion in emerging economies, different types of cutting materials, the need to automate metal cutting processes, and technological advancements will positively impact the growth of this market.

Report Coverage

By Type: CO2 Laser Cutting Machine, and Fibre Laser Cutting Machine.
By Technology: Solid-State Laser, Gas Laser, and Semiconductor Laser
By End User: Automotive, Electronics, Defence and Aerospace, and Aviation, Manufacturing, and others
By Process: Fusion Cutting, Flame Cutting, and Sublimation Cutting.
By Geography: North America (U.S, Canada, Mexico), Europe (U.K, Germany, France, Italy, Spain, Others), APAC (China, Japan, South Korea, India, Australia, Others), South America (Brazil, Argentina, Others) and RoW (Middle East, Africa)

Key Takeaways

  • Semiconductor Lasers will be the fastest-growing segment in this market with a CAGR of about 10.18% due to its energy efficiency, low cost, and easy operability.
  • Fiber Laser Cutting Machine holds the largest share in this market owing to its varied industrial applications, low maintenance cost, long service life, and greater efficiency.
  • APAC region holds the largest market share at 33% due to rapid economic growth, expansion of end-user industries in emerging economies especially China and India, and massive increase in private consumption as these countries transition from low income to middle-income economies.

Laser Cutting Machine Market Value Share, By Geography 2021, (%)

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Laser Cutting Machine Market Segment Analysis- By Type

The Laser cutting machines market can be broadly classified into two segments: CO2 Laser Cutting machines and Fibre Laser Cutting machines. Fibre laser cutting machine is the fastest-growing segment in the Laser cutting machine market with a CAGR of 10.22% between 2022-and 2027. Low maintenance cost, long service life, compact size coupled with high electrical efficiency resulting in lower power consumption than CO2 lasers are some of the major factors that have been driving the growth of the Fibre laser cutting machine segment. The rapid growth of the automotive, consumer electronics, defence, and other industries in the emerging economies will provide a major boost to the growth of this market. In April 2022, Yamazaki Mazak launched their OPTIPLEX 3015 NEO-S-15 which is a 2D fiber laser cutting machine with advanced technologies such as innovative Beam Shaping Mode technology for enhanced control of beam shape and diameter, MCT3 Cutting Head, and a new MAZATROL Smooth Lx CNC control system to ensure optimal performance on a wide range of materials which greatly eases versatile operations on the workpiece that will ultimately result in widespread adoption. Such developments will positively affect the growth of this market.

Laser Cutting Machine Market Segment Analysis- By Process

The Flame-cutting segment is forecasted to grow with the highest CAGR of 10.56% between 2022-and 2027. Flame cutting process uses a neutral flame to heat the material up to its kindling temperature and then an additional flow high flowing stream of oxygen is injected into the flame to sever the material and blow away the molten metal or dross. Factors such as high portability, low power supply, and its ability to operate on materials with high thicknesses up to 25mm are driving the growth of this segment. The varied applications of this process in various rapidly growing industries such as automotive, consumer electronics and others coupled with its ability to operate with different types of materials as long as the oxide formed has a lower temperature than the base material to be cut is one of the key factors leading to the widespread adoption of this process. In 2020, the government of India launched the PLI (Production-Linked Incentive) scheme which aims to encourage manufacturers to start manufacturing in India. Under this scheme, iPhone manufacturers Foxconn and Wistron are expected to manufacture iPhones worth $5 billion in India. Such developments coupled with technological advancements will boost the growth of this market.

Laser Cutting Machine Market Segment Analysis- By Geography

The Laser cutting machine market in APAC region will account for the largest share at 33% in 2021. The factors that are propelling the growth of the Laser cutting machine market in APAC are rising demand due to the rapid growth of end-user industries in emerging economies, rising purchasing power, and increased need for manufacturers to automate the cutting process to produce objects with complex geometry. The increased focus on electric vehicles, electronic component manufacturing, and private consumption as the economy recovers will provide a massive boost to the growth of this market in this region. In September 2021, the Indian government issued a notification regarding a PLI scheme for automobile and auto components worth $3.49 billion. In January 2022, the total production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles reached 1,860,809 units. Such developments will further propel the growth of this market in the coming years.

Laser Cutting Machine Market Drivers

Rapid Adoption of Laser cutting machines in Emerging Economies: Rapid urbanization, increase in industrial expansion, and government policies leading to widespread adoption of Laser cutting machines

The rapid growth of infrastructure, urbanization and industrial automation are the main driving factors behind the rapid expansion of the Laser cutting machine market in developing economies. The breakneck speed of urbanization and infrastructural development coupled with the need to maintain cutting precision and limit material wastage are the key factors that are driving the growth of the market. Apart from this, the exponential increase in electronic and automotive component manufacturing, increasing defence budgets, and burgeoning aviation industry has led to the rapid adoption of Laser cutting machines by manufacturers everywhere. Lowering costs along with significant technological advancements such as integration of multiple power modes, auto-changing tables, and compact design are also giving a significant boost to this market. In April 2022, Nukon launched its Eco 315 2D 4kW model fitted with Lift tech which allows it to operate with 2 machines at the same time thereby enhancing its efficiency and production capacity. The factors such as rapid urbanization, rapid industrial development, and technological advancements are the main factors that will drive the growth of this market.

Increased requirement of manufacturers to automate cutting processes to enhance production capacity and precision

The increased need felt by manufacturers across the globe to automate cutting processes, especially in emerging economies has led to widespread adoption of laser cutting machines by industry. The rapid growth of end-user industries, increased competition among firms to produce objects with complex geometry, and lowering production cost are some of the main factors driving the growth of this market. The integration of advanced technologies like beam control, flame profile control and the ability to operate at multiple power levels positively impact the growth of this market. The rapid adoption of sophisticated Laser cutting machines enabled with advanced technologies by the various industries of some of the major countries to do increase production, enhance precision and lower cost has been one of the key drivers of this market. In April 2022, Union Minister Ashwini Vaishnaw announced that India will be manufacturing $300 billion worth of electronic goods and components in FY 2022-2023. Such developments coupled with widespread industrial adoption, urgent need for automation, and technological advancements are some of the main reasons behind the growth of this market.

Laser Cutting Machine Market Challenges

High Costs and Technological Constraints:

The high equipment cost and technological constraints are the major challenges that are impeding the growth of this industry. Although the cost of a laser cutting machine cost ranges between $30,000 to $200,000 depending upon the specifications and is relatively inexpensive for large-scale manufacturers, its pricing point becomes an insurmountable barrier in the case of small-scale operations or start-ups. Apart from this, there are certain materials such as plastic, thermosets, and others that are unsuitable for operation by laser cutting machines as they produce toxic gaseous by-products during the process. The other factors that inhibit the widespread adoption of laser cutting machines are their inability to operate on thick materials, distortion of the workpiece, and setup time. Such developments will negatively impact the growth of this market.

Laser Cutting Machine Market Landscape

Product launches, collaborations, and R&D activities are key strategies adopted by players in the Laser Cutting Machine market. The top 10 companies in the Laser cutting machine market are 

  2. Tanaka
  4. KOIKE
  5. Amada
  6. Mazak
  7. Salvagnini
  8. Prima Power
  9. Messer
  10. Mitsubishi.

Recent Developments

  • In April 2022, the venture capital division of TRUMPF invested $15 million in sensiBel, a MEMS microphone startup to support the ramp in production of high quality optical audio devices. Such developments will lead to growth in the consumer electronics industry which will lead to the market growth of laser cutting machines.
  • In April 2022, Bystronic partnered with Nano Lock Security to develop security solutions for sheet and tube metal cutting, bending, and automation systems. Such technological developments will lead to the solution of many pending issues in downstream industries which will result in the increased demand of laser cutting machines leading to market growth.
  • In April 2022, Mazak launched FG-220, which is capable of round, square, rectangular and open profile structural material cutting resulting in reduced setup time, reduced lead time, fewer operators, and reduced floor space requirements. Such developments will lead to widespread adoption and positively affect the market growth in the coming years.

Relevant Reports

Metal Cutting Machine

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Cutting Tools Market

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3D Milling Machines Market

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1. Laser Cutting Machine Market - Market Overview
    1.1 Definitions and Scope
2. Laser Cutting Machine Market - Executive Summary
    2.1 Market Revenue, Market Size, and Key Trends by Company
    2.2 Key trends by type
    2.3 Key trends segmented by Geography
3. Laser Cutting Machine Market
    3.1 Comparative Analysis
        3.1.1 Product/Service Benchmarking-Top 5 Companies
        3.1.2 Top 5 Financial Analysis
        3.1.3 Market Value Split by Top 5 Companies
        3.1.4 Patent Analysis
        3.1.5 Pricing Analysis
4. Laser Cutting Machine Market – Startup Companies Scenario Premium 
    4.1 Top 10 Startup Company Analysis by
        4.1.1 Investment
        4.1.2 Revenue
        4.1.3 Market Share
        4.1.4 Market S Size and Application Analysis
        4.1.5 Venture Capital and Funding Scenario
5. Laser Cutting Machine Market – Industry Market Entry Scenario Premium Premium
    5.1 Regulatory Framework Overview
    5.2 New Business and Ease of Doing Business Index
    5.3 Case Studies of Successful Ventures
    5.4 Customer Analysis – Top 10 Companies
6. Laser Cutting Machine Market - Market Forces
    6.1 Market Drivers
    6.2 Market Constraints/Challenges
    6.3 Porters five force model
        6.3.1 Bargaining power of suppliers
        6.3.2 Bargaining powers of customers
        6.3.3 Threat of new entrants
        6.3.4 Rivalry among existing players
        6.3.5 Threat of substitutes
7. Laser Cutting Machine Market – By Strategic Analysis (Market Size -$Million/Billion)
    7.1 Value Chain Analysis
    7.2 Opportunities Analysis
    7.3 Product Life Cycle/Market Life Cycle Analysis
    7.4 Suppliers and Distributors
8. Laser Cutting Machine Market - By Type
    8.1 CO2 Laser Cutting Machine
    8.2 . Fiber Laser Cutting Machine
9. Laser Cutting Machine Market - By Technology
    9.1 Solid-State laser
    9.2 Gas Laser
    9.3 Semiconductor Laser
10. Laser Cutting Machine Market -By End-Users
    10.1 Automotive
    10.2 Electronics
    10.3 Defence and Avionics
    10.4 Aerospace
11. Laser Cutting Machine Market- By Process
    11.1 Fusion Cutting
    11.2 Flame Cutting
    11.3 Sublimation Cutting
12. Laser Cutting Machine Market -By Geography (Market Size -$Million)
    12.1 North America
        12.1.1 U.S.
        12.1.2 Canada
        12.1.3 Mexico
    12.2 South America
        12.2.1 Brazil
        12.2.2 Argentina
        12.2.3 Rest of Americas
    12.3 Europe
        12.3.1 U.K.
        12.3.2 Germany
        12.3.3 France
        12.3.4 Italy
        12.3.5 Netherlands
        12.3.6 Rest of Europe
    12.4 Asia-Pacific (APAC)
        12.4.1 China
        12.4.2 Japan
        12.4.3 India
        12.4.4 South Korea
        12.4.5 Australia & New Zealand
        12.4.6 Rest of APAC
    12.5 Rest of World (RoW)
        12.5.1 Middle East
        12.5.2. Africa
13. Laser Cutting Machine Market - Market Entropy
    13.1 New Product Launches
    13.2 M&As, Collaborations, JVs and Partnerships
14. Laser Cutting Machine - Industry/Segment Competition Landscape Premium 
    14.1 Market Share Analysis
        14.1.1 Market Share by Country- Top 5 Companies
        14.1.2 Market Share by Region- Top 10 Companies
        14.1.3 Market Share by Type of Application- Top 10 Companies
        14.1.4 Market Share by Type of Product/ Product Category- Top 10 Companies
        14.1.5 Market Share by At Global Level- Top 10 Companies
        14.1.6 Best Practices For Companies 
15. Laser Cutting Machine Market – Key Company List by Country Premium Premium 
16. Laser Cutting Machine- Company Analysis
    16.1 TRUMPF
    16.2 Tanaka
    16.3 BYSTRONIC
    16.4 KOIKE
    16.5 Amada
    16.6 Mazak
    16.7 Salvagnini
    16.8 Prima Power
    16.9 Messer
    16.10 Mitsubishi