US Machine Tools Market Size (2026-2030)

The US Machine Tools Market was valued at USD 25.34 billion in 2025 and is projected to reach USD 31.19 billion by the end of 2030. Over the forecast period of 2026-2030, the market is projected to grow at a CAGR of 4.24%.

The​‍​‌‍​‍‌ US machine tool market is the one that keeps the whole industrial system going. It is the market that offers the precision metal-cutting, forming, and finishing equipment that are the core of American factories and power the US machine tool market is gradually changing from mechanical machines that have been in use for a long time to digitally-driven CNC systems, robotics, and smart, connected cells. Reshoring of strategic manufacturing (semiconductors, EVs, defense, and aerospace) is one of the factors that is re-energizing demand for the US machine tools market. The other factors are rising capital investment in automation to lift productivity, and the growing appetite for retrofit and after-sales services that extend equipment life. To address shorter lead times and predictive maintenance, suppliers are introducing software platforms along with integrated tool-probing and multi-axis machining. Simultaneously, smaller, flexible cells are employed to address lower-volume, higher-mix production. Among the major challenges are global competition for advanced systems, skilled-labor shortages on the shop floor, and supply-chain volatility for critical components. These problems, however, also fuel the transition to modular, service-oriented business models and localized production footprints. The market is essentially transitioning from a commodity-sale regime to an outcomes-focused ecosystem where productivity, data integration, and rapid reconfiguration are the factors that determine the winners. This move essentially makes US machine tools a strategic enabler of industrial competitiveness rather than simply a capital ​‍​‌‍​‍‌purchase.

Key Market Insights:

Smart-factory budgets are being reallocated heavily to automation & sensing. A large majority of manufacturing leaders now dedicate ≥20% of their improvement budgets to smart-manufacturing initiatives (foundation tech: sensors, cloud, AI, factory automation). Deloitte
 

Robotics adoption continues to accelerate, the U.S. is a major install market, and automotive leads. Recent data show roughly ~44k industrial robots installed in the U.S. in the latest reported year (double-digit growth vs prior year); the automotive segment alone accounted for about ~33% of those installs. This is driving demand for CNCs, robotic welding/handling fixtures, and cell integration services.
 

Order flows (machine tool & related technology) remain volatile but with pockets of YoY growth. Industry tracking of manufacturing-technology orders reported US orders of $357.3 in January 2025, down from December but up ~5.7% year-over-year, signalling continued demand cycles and seasonal swings that buyers and suppliers should plan for.
 

Certain segments (primary metals / heavy fabrication) are showing rapid capital spend increases. Orders from primary-metal manufacturers jumped sharply in recent periods (reported as nearly a 50% increase in orders for manufacturing technology from one half-year to the next in the latest market summary), indicating elevated equipment retrofit/expansion activity in heavy-industry subsectors.
 

Additive (3D) printing is moving from prototyping into higher-rate production use.
Survey data show ~70% of engineers/designers/shops printed more parts in 2023 than in 2022, reflecting growing adoption of additive processes for short-run production, tooling, and spare parts, a trend that complements rather than replaces traditional machine-tool work.


 

Market Drivers:

Rapid Automation and Digitalization Are Boosting Demand for Smart CNC Machines.

Manufacturers​‍​‌‍​‍‌ are upgrading their legacy machine parks, which are mostly analogue to connected software-driven ecosystems where data and precision are as important as steel and spindle speed. The transition of the manual or outdated machines to multi-axis CNC systems, robotics, and IIoT-enabled tools is primarily the result of the desire to increase throughput while at the same time cutting down on cycle time, scrap, and human error. These intelligent machine tools are capable of operating in two modes - as production devices and, on the other hand, they are real-time sensors that feed shop-floor analytics, predictive-maintenance algorithms, and digital twins that are used to optimize uptime and efficiency. Machine tools integrated with MES/ERP systems and AI-powered process optimization are becoming less like one-off capital expenditures and more like long-term platform investments that open up gradual savings, faster part qualification, and scalable production across facilities. This change, along with generative AI, advanced controls, and smart manufacturing practices, is a supplier's market for those who offer open, upgradeable systems. Some of the key factors driving this trend are the use of multi-axis CNCs to achieve complex geometries, hybrid additive-subtractive centers for lightweighting and rapid prototyping, and an ongoing upgrade cycle for small and mid-sized shops, which in turn points to the increasing focus on smart factory investments as a means to not only enhance resilience but also attract the ​‍​‌‍​‍‌workforce.

Reshoring and Policy Incentives Accelerate Onshore Machine Tool Investments.

During​‍​‌‍​‍‌ the last few years, industrial strategies, customer risk management, and geopolitical tensions have turned the tide of manufacturing demand to the US. The reshoring of the supply chains that are most dependent on semiconductors, aerospace, defense, and medical devices, along with investments in clean-energy and data-center infrastructures, has created highly concentrated pockets of high-precision manufacturing that directly increase the demand for advanced machine tools. The government incentives in the form of subsidies, tax credits, and public-private programs for chips, batteries, and green manufacturing lower the cost of domestic capital projects; thus, local sourcing of systems integrators and OEMs, as well as investing in sophisticated machining capabilities, gets more and more attractive. Sectors with the need for very tight tolerances and certifications, such as aerospace, medical implants, and advanced semiconductors, mostly use premium high-precision tools, while automotive electrification and renewable-energy component production create volume demand for mid-range automated centers. The mixture of precision and capacity, the competitive advantage of global CNC leaders, and the preference for domestically serviced, upgradeable machines are the reasons why the onshore expansion acts like a virtuous cycle that amplifies service ecosystems, local demand, and vendor lifetime ​‍​‌‍​‍‌value.

Market Restraints and Challenges:

The​‍​‌‍​‍‌ US machine tools market is dealing with a double-edged challenge of financial and talent-related pressures. The industry is caught in a situation of high capital requirements, where small and mid-sized manufacturers are reluctant to replace their old equipment with new CNC and automation-driven systems, thus slowing the process of modernization and limiting productivity. At the same time, the gap in skills is getting wider, and the market is dependent on software-rich, digitally connected machinery, while the available workforce is struggling to meet these new requirements. The mismatch between increasing technological complexity and the shortage of skilled labor results in operational bottlenecks, which in turn make it difficult for manufacturers to fully utilize next-generation machine tools and thus hinder the market’s overall ​‍​‌‍​‍‌growth.

Market Opportunities:

The US machine tools market is gaining new opportunities amid a rapidly accelerating reshoring momentum, driving manufacturing activity across sectors such as electric vehicles, aerospace, defense, and semiconductors. This is resulting in increased demand for precision CNC systems and turnkey automated cells customized for localized production needs. However, the fast transition to digitalized operations is also opening a very profitable journey in retrofits, IIoT-enabled upgrades, and predictive-maintenance solutions, as numerous machine shops are enhancing their existing equipment rather than doing complete replacements. Such a dual landscape, escalating demand for advanced tools in strategic industries and growing desire for smart, cost-efficient modernization, offers significant growth potential for companies that can provide modular, high-performance systems, plug-and-play digital retrofit kits, and data-driven service models that facilitate long-term customer relationships.
 

US MACHINE TOOLS MARKET REPORT COVERAGE:

US Machine Tools Market Segmentation:

US Machine Tools Market Segmentation By Type:

• Metal-cutting machines
• Metal-forming machines
• Automation & CNC solutions
• Additive & hybrid manufacturing
• Tooling, accessories & peripherals
• Inspection, measurement & metrology equipment
   

Metal-cutting​‍​‌‍​‍‌ machines are the major shareholders of the US machine tools market. They essentially form the core of high-precision manufacturing across various sectors such as aerospace, automotive, defense, energy, and semiconductor fabrication. These are the systems, such as machining centers, lathes, and multi-axis CNC mills, that empower manufacturers to fabricate intricate geometries with accuracy at the microscopic level. This level of precision is what makes these machines the most vital ones in the production of engine components, turbine blades, EV drivetrains, and precision molds. The United States' accelerating reshoring efforts, which require very accurate, repeatable, and automated cutting platforms that can support local, high-mix/low-volume production, have been the main reasons for the metal-cutting machines' dominance thus far. The segment is still holding the lead because industries are depending heavily on metal-cutting machines to achieve productivity gains, tighter tolerances, and minimal scrap rates, which are all very important in high-value manufacturing ​‍​‌‍​‍‌environments.

Automation​‍​‌‍​‍‌ and CNC solutions are becoming the largest, fastest-growing segment to follow the industry’s fast transition to digitized, unmanned, and interconnected factories. In fact, today’s CNC machines with features such as live monitoring, adaptive control, and AI-based optimization totally change the way machine tools function. Such devices increase productivity, lower machine idle time, and facilitate the integration of robotics and automated cells, features that are very much in demand as US manufacturers face labor shortages and cost pressures. Besides, the growth of this segment is further propelled by the move toward smart machining ecosystems where software-based intelligence, automated tool-path programming, and remote diagnostics are new ways of achieving operational efficiency. While manufacturers are moving to predictive, data-enabled workflows, automation, and CNC platforms are growing at a higher rate than any other type of machine tool ​‍​‌‍​‍‌sector.

US Machine Tools Market Segmentation By Application:

• Automotive & auto-components
• Aerospace & defense
• Electrical & electronics
• Medical devices & precision engineering
• Energy & heavy equipment
• General engineering & metalworking
• Consumer goods & appliances
• Shipbuilding, rail & large-structure manufacturing
   

Automotive​‍​‌‍​‍‌ & auto-components is the single largest application subsegment of machine tools in the U.S. This is powered by vehicle production that has been going on for a long time, the quick rise of electric vehicles, and substantial investments in local supply chains. Car manufacturers and Tier-1 suppliers are buying large numbers of CNC lathes, transfer machines, and automated machining cells to manufacture powertrain components, chassis parts, and body structures at scale. The segment’s extent is additionally supported by OEMs’ electrification (which entails new housings, motor components, and battery enclosures), large-scale retrofits of stamping and machining lines, and factory modernization initiatives that opt for turnkey, high-throughput machine-tool packages. In brief, the Automotive & auto-components market is still the largest buyer as it has the highest unit volumes, recurring replacement and upgrade cycles, and the use of capital necessary for modern mass ​‍​‌‍​‍‌production.

The​‍​‌‍​‍‌ medical devices & precision engineering market is a leading example of the increasing demand for miniaturized, tightly toleranced components in implants, surgical instruments, and diagnostic equipment. To comply with stringent regulatory quality, biocompatibility, and traceability requirements, manufacturers are progressively utilizing ultra-high-precision CNC, micro-machining, electrical-discharge machining (EDM), and hybrid additive-subtractive cells. The growth is further intensified by the local production of medical essentials, shorter product lifecycles that necessitate agile small-batch production, and a rise in automation investments that lower the labor risk while increasing repeatability. Since this application requires micron-level accuracy, advanced materials (titanium, cobalt-chrome, medical polymers), and validated workflows, it is attracting high-margin, specialized machine-tool purchases at a rapid rate, the fastest growing pocket within the U.S. machine-tools ​‍​‌‍​‍‌market.

US Machine Tools Market Segmentation: Regional Analysis:

The United States represents both the largest and fastest-growing segment of the machine tools market, driven by reshoring initiatives, investments in advanced manufacturing, and expansion in sectors such as aerospace, defense, electric vehicles, and semiconductors. Industrial hubs in the Midwest and South have become key hotspots, attracting high-precision machine tool orders and rapid adoption of automation, CNC systems, and additive manufacturing solutions to meet the demand for complex, high-tolerance components. The ongoing integration of digitalized operations and Industry 4.0 practices, coupled with government support for domestic manufacturing and supply chain resilience, positions the US as the leading and fastest-expanding region in the global machine tools market.

COVID-19 Impact Analysis:

The​‍​‌‍​‍‌ COVID-19 crisis dramatically changed the U.S. machine tools market, reduced demand, and accelerated structural changes across multiple sectors. When the pandemic started, factories stopped their operations, and supply chains were disrupted, leading to a severe drop in orders for traditional equipment. However, demand for retooling and localized production increased rapidly. Digitalization investments, remote monitoring, additive manufacturing, and modular automation, enabled such companies to be less impacted by the crisis. They obtained aftermarket services and retrofit business as customers delayed capital projects but prioritized uptime. Geopolitical concerns and reshoring conversations, which were intensified by the crisis, influenced some buyers to choose high-precision machines that are made locally. This helped the premium segments rebound when they masked a drop in lower-end shipments. Labor disruptions and the implementation of stricter safety protocols increased operational costs and reduced production runs. As a result, OEMs had to focus more on flexibility and shorter lead times. Replacement cycles were affected by financing constraints and changes in customer risk appetites; however, stimulus measures and renewed public investment in infrastructure and critical industries have contributed to the revival of order books since 2021. Overall, the market shrank significantly but became leaner and more digital, which made the segmentation between the resilient, innovation-led suppliers and those still dependent on volume-driven, legacy sales more visible. Agility, supply-chain transparency, workforce upskilling, and targeted capital investment strategies will determine future ​‍​‌‍​‍‌competitiveness.

Latest Market News:

• In March 2025, Sandvik acquired three U.S. Mastercam CAM resellers (Barefoot CNC, CAD/CAM Solutions, and CamTech) and CIMCO’s probing & post-processor business; a total of 18 employees transferred, and the acquired businesses reported ~USD 6 million combined net revenue in 2024.
   
• In March 2024, GROB Systems broke ground on a U.S. expansion (Bluffton, Ohio) adding 135,000 sq. ft. (≈35% more production/shipping area), planning 200 new jobs and an estimated project cost of USD 24.0 million (completion slated March 2025).
   
• In July 2024, FANUC America unveiled plans for a new robotics & automation campus in the U.S., a project announced at a USD 110 million investment to expand training and manufacturing capacity.

Latest Trends and Developments:

The​‍​‌‍​‍‌ U.S. machine tool market is undergoing a significant transformation at a very fast pace, a change scenario largely influenced by reshoring and localized manufacturing, which cuts across a range of sectors, including semiconductors, aerospace, defense, and electric vehicles. This is, in turn, generating an upsurge in demand for high-precision CNC systems and turnkey automated solutions. Investment is progressively being directed toward multi-axis CNC platforms and advanced digitalization, wherein IIoT, cloud-connected telemetry, and predictive maintenance are becoming the new standards to optimize the shop-floor efficiency.

AI-powered inspection, adaptive control, and smart automation are slowly transitioning from pilot programs to production, whereas the automation uptake is becoming more ROI-focused due to the existence of cautious market conditions. The supply of the labor force through development and training programs, which enjoy the support of federal and state incentives, is being widened so as to be able to cater to the need for skilled operators who are capable of handling advanced machining technologies. Trade fairs and digital platforms are still playing the roles of accelerators in matters of product launches, collaborations, and service integration. At the same time, companies are consolidating local supply chains for tooling, fixtures, and sub-assemblies to shorten lead times and lessen the exposure to tariffs. These trends together signify a market that is progressively focused on precision, digital intelligence, and localized, resilient manufacturing ​‍​‌‍​‍‌ecosystems.

Key Players in the Market:

1. Haas Automation
2. TRUMPF Inc.
3. DMG MORI USA
4. Mazak Corporation
5. Okuma America
6. Hardinge Inc.
7. Doosan Machine Tools
8. Hurco Companies, Inc.
9. Makino Inc.
10. Lincoln Electric Holdings Inc.