Carbide Tools Market Size, Share & Trends Estimation Report By Product Type (Drilling Tools, Milling Tools, ),By Coating (Coated, Non-coated),By Configuration (Hand Based, ),By End User (Automotive, Construction,), By Region, And Segment Forecasts, 2023 - 2030
The Global Carbide Tools Market Size Was Valued At USD 10.39 Billion In 2021. The Market Is Projected To Grow From USD 10.65 Billion In 2022 To USD 15.47 Billion By 2029, Exhibiting A CAGR Of 5.5% During The Forecast Period.
Carbide Tools Market Overview:
The global COVID-19 pandemic has been unprecedented and shocking. As a result, demand for carbide tools is lower than expected in all regions compared to levels before the pandemic. Based on our research, the global market for carbide tools was down 5.2% in 2020 compared to 2019.
These tools are also called carbide-tipped cutting tools or cemented carbide tools. Cutting tools or inserts made of carbide have been the most common tools used in manufacturing for the past few decades. It is made from powdered tungsten and powdered carbide. These materials are three times as hard as steel, can withstand heat, move quickly, take less time to recycle, and cost less. The growth of the global market is caused by a rise in demand for these products from industries like metal fabrication, automotive, construction, furniture, and industrial machinery. These tools are a type of cutting tool that is used in heavy-duty machines like drilling, CNC, lathe, and milling machines.
During the period of the forecast, the global market is expected to grow by a large amount. This is because the major key players have introduced new wear-resistant grades and made the tipped tools available in a wider range of diameters. It is expected that adding new features to existing product lines will increase the demand for these tools and help the market grow. The market is growing because there are more homes and businesses being built, which leads to more investments in public infrastructure around the world. This, in turn, increases the demand for drill bits, which drives the growth of the market.
For example, the government of Spain planned to spend $448 million on building the Xerta Senia Canal in May 2022. The project began in Quarter 1 (January to March 2022) and will be done by Quarter 4 (June to September 2022). (October 2024 - December 2024). The growth of the global market was helped by these things. Also, the demand for these goods goes up as infrastructure in developing countries like China, India, Brazil, and others grows quickly.
To keep up with the competition on the market, the big players are now focusing on bringing out new technologies like barrel tools and damped boring bars. Key players are also working on putting out a new line of cutting tools made of carbide that are more technologically advanced. For example, LMT Tools India Pvt Ltd released new RMC cutters for 5-axis CNC machines in April 2020. Some of the features of the new, innovative RMC cutters are lower operating costs and more efficient operations. Compared to other tools, it has less vibration when it's in use. Also, in October 2021, Walter AG came out with a new set of carbide-tipped tools for machining centers and CNC machines called Walter Titex D170. It has a 50% longer tool life than conventional type of tools. People are likely to buy more of these products in the future because of these kinds of technological improvements.
The global market is growing because of the increasing demand for these products in important manufacturing sectors like automotive, construction, electronics, and aerospace, among others. These sectors need these products because they are highly efficient, hard, and improve productivity. It is expected that more infrastructure-related work in developing countries like India, China, Brazil, and others will increase the demand for these products and drive the growth of the market. Tools that drill, mill, and turn are often made with these materials. Rapid industrialization and urbanization in developed countries like France, Germany, and the U.S. fuel the demand for cars and automobiles. This is thought to help the market grow. For example, the number of people living in cities in the U.S. grew by 1.2% from 2018 to 2021. These things are what are making the market grow.
Metal alloys, stainless steel, and other metals are used by manufacturers as important raw materials. Raw materials like metal and stainless steel have fluctuating prices. Changes in the prices of raw materials can affect the prices of these goods and the profits of the companies that make them. For instance, if the prices of steel, metal, and alloys go up, this can cause the prices of these products to go up, which could affect how well they sell on the market. For example, steel prices ranged from USD 500 to USD 800 before the COVID-19 pandemic. After the COVID-19 pandemic, the price of steel went up by 200%, to USD 1,800 per ton. These raw materials come from other countries, and their prices change based on the exchange rate. So, it is likely that changes in the prices of raw materials will slow the growth of the market.
By Product Type:
There are drilling tools, milling tools, turning tools, and other tools in the product type segment. During the time frame of the forecast, the milling tools will have the highest CAGR, at 5.3%. (2022-2029).
Milling tools are a big part of the market because they are very effective, rigid, and hard. Because it works well, it is used in the construction and auto industries.
The segment of drilling tools is expected to grow quickly because of features like high precision, less waste, and better operations productivity. Most of the auto, electronics, and aerospace industries use these kinds of tools.
The turning tools market is expected to grow a lot because CNC machines and lathe machines are using more round tools and reamers. These tools are also used in a wide range of industries, such as construction machines, automotive, furniture and carpentry, and medical equipment.
In the other segment, there are taps and dies, as well as reamers. More CNC machines, lathe machines, and milling machines are using taps and dies. The growth of the global market is driven by events like these.
By Coating Type:
During the period covered by the forecast, the coated segment will have the most market share. This is because coated inserts are used in the automotive, aerospace, and other industries. Also, coated drills and bits make cutting more efficient, which cuts down on time and money spent on machining. Because of this, the segment will lead the market for the next few years.
The non-coated segment is expected to grow quickly because non-coated tools are less expensive than coated tools and are used a lot in electronics and carpentry.
The hand-based segment is expected to grow quickly because these products are used a lot in manufacturing, automotive, and industrial applications, which make up a big part of the global market.
Over the next few years, the market will be led by the machine-based segment. This is because these tools are used in high-speed cutting machines, CNC machines, lathe machines, milling machines, and drilling machines. The market grows because of these things.
By End User:
The automotive segment is the most important part of the market because more companies are making automotive machines, which increases the need for these tools. Also, more people are moving to cities in developing countries like India, Brazil, Africa, and others, which increases the need for more cars, bikes, and trucks. This kind of thing makes people want to buy these tools and helps the carbide tools market share grow.
The construction segment is expected to grow by a large amount. This is because both developed and developing countries are building more homes and businesses, which has increased the demand for these tools for drilling machines and helped the market grow.
The metal fabrication and electronics and electrical segment is expected to grow at a moderate rate. This is because these tools are becoming more popular in both the electronics and metal fabrication industries. The demand for these tools is also driven by the growth of industrial sectors in developing countries. These kinds of things will help the market grow.
The aerospace segment is expected to grow in a good way because there will be more making and production of aerospace and aircraft machines. The market is also growing because the number of passengers is going up. This is because countries like India and China are growing quickly, which is making the aerospace industry grow quickly.
In the other segment, mining and carpentry are included. This segment is expected to grow at a decent rate because these kinds of tools are used in mining and carpentry. These kinds of things help the market grow.
Due to strong economic growth in countries like Germany and the U.K., it is expected that Europe will have the largest share of the world market. The growth of the market was helped by good infrastructure in the industry and the fact that there were many large manufacturers of cutting tools in the European region.
Several companies, like Guhring Ltd, Garr Tools Ltd, Ceratizit S.A., and Sandvik AB, have their biggest presence in the United Kingdom. The demand for these products is also driven by the well-established infrastructure and utility industries. It is also used a lot in the construction, automotive, and aerospace industries. This is likely to make more people want to use these tools, which helps the market grow.
The Asia-Pacific region is expected to grow the most. This is because more companies are making cars and construction equipment, which drives the growth of the market. Developing countries like India, Indonesia, and Vietnam are also becoming more urban and industrial, which drives up the demand for round tools, drill bits for CNC machines, and lathe machines. This helps the market grow. This kind of thing helps the market grow in the Asia-Pacific area.
North America is growing steadily because more products are coming out and the supply chain for these products is getting better. Also, as the automotive industry grows, the demand for round tools and milling tools goes up, which makes the market grow. Also, the growth of the market is helped by the fact that major players like Kennametal Inc., Greenfield Inc., OSG Corporation, and Fullerton Tool Company Inc. are based in the U.S. and keep the supply chain for these products going.
Growth is expected to be moderate in Latin America. It's mostly because more and more industries are becoming more industrialised, like carpentry, automotive, construction, and metal fabrication. Also, more people are moving to cities in countries like Brazil, Argentina, and Costa Rica. This led to more sales of cars across Latin America, which directly helped the market grow. These things make people in Latin America want tools with carbide tips.
As building projects like the Assima Tower Building, Ciel Tower, and others continue, the Middle East and Africa are expected to grow. This is expected to increase the demand for these tools, while building projects in the Middle East will help the market grow.
|Units||Value (USD Billion)
|Growth Rate||CAGR of 5.5% from 2023 to 2030|
|By Product Type||
|By End User||
|Reasons to Purchase this Report||
- February 2022 - Peak Toolworks acquired Tooling Concepts Inc, based in , which provides cutting and milling tools. Acquisitions were made to improve geographic presence in midwestern US states such as Indiana, Michigan and Minnesota.
- July 2021 – Sandvik AB acquired a 67% stake in China-based Chuzhou Yongpu Carbide Tipped Tools Co Ltd, which deals in carbide cutting tools and cutting tools. This acquisition was made to enhance the product portfolio of carbide tools in various geographies.
- March 2021 – Plansee Group owns approximately 50% of Luxembourg-based Ceratizit S.A. This acquisition helped improve the diversity of our product portfolio.
- February 2021 – Mitsubishi Materials Corporation acquired a 30% stake in Chile-based Mantoverde Copper Mine, cutting tools and carbide tipped tools in Delas. The acquisition was valued at approximately $275 million. This acquisition helped improve the company's product portfolio for industrial sectors such as automotive and construction.
- In November 2020, GWS Tool acquired Carbide Tools Mfg Inc, a US-based provider of cutting tools and metal cutting tools. This acquisition helped improve our product capabilities of round tools and tipped tools for the manufacturing industry.
By Product Type:
- Drilling Tools
- Milling Tools
- Turning Tools
- Hand Based
- Machine Based
By End User:
- Metal Fabrication
- Electronics & Electrical
- OSG Corporation (U.S.)
- Sandvik AB (Sweden)
- Makita Corporation (Japan)
- Plansee Group (Ceratizit S.A.) (Luxembourg)
- Kennametal Inc (U.S.)
- Sumitomo Electric Industries Ltd (Japan)
- Guhring Ltd – (U.K.)
- Fullerton Tool Company Inc (U.S.)
- YG-1 Co Ltd (Japan)
- Allied Machine & Engineering Corp (U.S.)