Europe Machine Tools Market Size (2023 – 2030)

The Europe Machine Tools Market was valued at USD 15.44 billion and is projected to reach a market size of USD 20.73 billion by the end of 2030. Over the forecast period of 2024-2030, the market is projected to grow at a CAGR of 4.3%.

A machine tool is a device that performs operations on a piece of raw material to transform it into a completed product. Machine tools are capable of carrying out a variety of tasks, including drilling, shearing, cutting, grinding, and other types of deformation. A headstock, saddle, column, worktable, bed or base, machine tool, foundation, channel, etc. are among the main parts of machine tools.

Europe Machine Tools Market Drivers:

The market is being stimulated by coolants and lubricants that improve productivity and performance in machine tool operations:

To lessen the harmful effects of friction and high temperatures, cutting fluids or coolants are used in a variety of machine-tool operations. Generally speaking, the main functions of a coolant are to lubricate and cool. When cutting a screw thread on a lathe or with a tap, the lubricating function is most important; in production-grinding processes, the cooling function is most important. Although water is a fantastic method to stay cool, it corrodes ferrous metals. Despite having good lubricating qualities, lard oil is susceptible to going rancid. The mineral oil that has been sulfurized is one of the most often used coolants. Work-related chips are less likely to weld to the tip of the tool when sulfur is present. For grinding and sawing tasks, soluble oil, an oily emulsion easily miscible in water, is frequently employed.

Machine tool markets in Europe are seeing explosive growth and innovation for the following reasons:

For a variety of sectors, machine tools provide several advantages. Reduced efforts, higher efficiency, and a decrease in the need for human labor are a few of these. The machine tools industry is expanding due to these benefits. The quick development of cutting-edge ideas and technology is another factor fueling the industry's expansion. Hardware and software have improved recently as a result of the increased integration of 3D printing technology with machine tools. Additionally, as machine tools increasingly use the Internet of Things (10T), it is now able to track the many parameters related to the various processes up until the finished product is ready for use.

Europe Machine Tools Market Challenges:

The machine tool market is facing obstacles to expansion in Europe due to the following factors:

One of the key things holding back the machine tool market's expansion in recent years has been the economic slowdown that has been hitting Europe. The exorbitant price of contemporary CNC machines and machine equipment. Eastern European areas are dominated by local manufacturers and small-scale businesses; the majority of these sectors employ archaic machine tools, which has a detrimental impact on the productivity and efficiency of their factories when compared to those that use contemporary CNC machines.

COVID-19 Impact on Europe Machine Tools Market:

Production has been halted across a wide range of industries due to the COVID-19 outbreak, including the aerospace and automobile industries. Additionally, a lot of nations gave instructions to stay at home to stop the Coronavirus from spreading and contain it. This had a direct effect on the demand for machine tools. As the sectors recover from this catastrophe, the market will experience tremendous growth. Scaling up the market's growth will depend on the demand from these sectors.

Europe Machine Tools Market Recent developments:

• In March 2022: New-generation horizontal machining centers have been introduced, according to Heller. It includes the second generation of the HF 3500 5-axis model as well as the fourth iteration of the H-Series 4-axis HMCs. Due to improvements in the second generation, which are meant to increase cutting performance, the minimum distance between the spindle nose and the centreline has approximately dropped by 50%.
• In July 2022: As part of its Strategy 2025, CF Machining Solutions, a division of GF, announced the acquisition of Vam Control S.r.l. in Italy as a further step towards improving its automation and milling capabilities and expanding its service offering in Europe. Through this purchase, GF Machining Solutions will be able to offer the European market new services, such as minor machine repairs and rebuilding essential components and equipment.

EUROPE MACHINE TOOLS MARKET REPORT COVERAGE:

Europe Machine Tools Market Segmentation

Europe Machine Tools Market Segmentation: By Type

• Lathe Machines
• Milling Machines
• Laser Machines
• Grinding Machines
• Welding Machines
• Winding Machines
• Others

The machine tool market is led by milling machines in the product type category and this trend is anticipated to continue. Milling machines are capable of carrying out several tasks. It can simultaneously generate small and big quantities and handle heavy components. Additionally, they find use in several sectors that are becoming more significant in the European area, such as the construction, aerospace, and automotive industries. The benefits that milling machines provide to companies aid in the segment's expansion within the market.

The laser machines category is the one with the fastest-growing market share in Europe for machine tools. This is because laser equipment can cut, engrave, mark, and weld a variety of materials, including metals, polymers, ceramics, and wood, with extreme precision, speed, and flexibility1. A growing number of sectors, including aerospace, automotive, medical, and electronics, utilize laser technology.

Europe Machine Tools Market Segmentation: By Technology Type

• Conventional
• CNC (Computerized Numerical Control)

Leading the machine tool market in the automation type sector, CNC Machine Tools are anticipated to expand quickly over the next years. The growing desire for efficiency and contemporary automation methods are two major market drivers for the European machine tool industry. For CNC machines to be successful, they are crucial. Operating costs have decreased, production mistakes have been minimized, and there has been smooth adoption with the growth of IOT thanks to the preprogrammed equipment. Digital twins are furthermore employed in the recently introduced setup procedure for CNC machines to stop production surprises during the setup procedure. The automobile market may benefit from these improvements.

According to technology type, the conventional machine tools sector in Europe's machine tool market is expanding at the highest rate. This is because traditional machine tools are still chosen for straightforward, inexpensive machining tasks that don't need great accuracy or complexity1. Compared to CNC machine tools, conventional machine tools are also more cheap and simpler to maintain1. The majority of industries that employ conventional machine tools are sheet metal, capital goods, and transportation.

Europe Machine Tools Market Segmentation: By Sales Channel

• Direct
• Indirect

 By sales channel, the market is further divided into distributor and direct sales. The machine tool market's distributor sector is currently in the lead and is anticipated to expand at a rapid CAGR. Since distributors are widely accessible and may be located in a range of places, distributor sales provide end customers with several benefits in addition to convenient after-sales services. In Europe, distribution channels predominate in the selling of machine tools, accounting for the bulk of sales. Direct sales are typically a better alternative for larger projects that are not frequently seen on the market.

The indirect sales channel segment is the one that is expanding the quickest in the market for machine tools in Europe. This is because indirect sales channels have several benefits for both producers and end users, including cheaper marketing costs, more market penetration, improved customer service, and simpler access to common devices. Small and medium-sized businesses (SMEs) favor indirect sales channels in particular since they rely on distributors to provide machine tools at reasonable costs and after-sales service. A greater percentage of sales are made through indirect channels in nations with a significant number of machine tool distributors, such as Germany, Spain, and Italy.

Europe Machine Tools Market Segmentation: By End Use Industry

• Automotive
• Aerospace and Defense
• Electrical and Electronics
• Consumer Goods
• Precision Engineering
• Others

The segment's dominant industry, the automotive industry, is anticipated to develop faster than other sectors throughout the projection period. Western European nations are home to several vehicle manufacturers. When it comes to the creation and use of machine tools, the automobile sector is among the region's biggest customers. It uses more than half of these tools' whole output. As a hybrid, machine tools are becoming more and more popular among customers, and the popularity of electric automobiles is growing quickly. To improve production efficiency in their operations, enterprises have also been forced to adopt a current trend of automated machinery. The largest industry contributing to the engineering section is metalworking. Due to an increase in SMEs, it is anticipated to have considerable growth in the years to come. Other significant end-users of machine tools accounting include factories producing electric and electronic goods and the aerospace industry.

Europe Regional Overview:

Germany is likely to develop rapidly over the forecast period and holds the largest market share in the nation segment as of 2022. The automobile and aerospace sectors, which are important for the European economy, are dominated by Germany. The nation is also among the biggest makers of passenger vehicles. Additionally, the expansion of the machine tool sector in the nation is aided by the presence of several significant corporations there. During the projection period, Italy is also anticipated to have substantial growth. Numerous businesses nationwide have started to solidify their place in the machine tool industry by keeping in mind the needs of the nation's final consumers when it comes to product quality.

Key Players:

1. Komatsu
2. Chiron Group SE
3. Spinner Machine Tools
4. Schuler AG
5. DMG Mori Aktiengesellschaft
6. Georg Fischer Ltd.
7. Trumpf group
8. Gleason Corporation
9. Flow International
10. Gebr. Heller Maschinenfabrik GmbH