Industry Report Europe: CNC Market to Grow by 2022
The CNC market in the European region is projected to grow at a significant rate during the forecast period, owing to the rise in adoption of technology, and increase in import/export activities in European countries.
The Computer Numerical Control (CNC) Market Report, published by Allied Market Research, forecasts that the global market is expected to garner $18,293 million by 2022, registering a CAGR of 5.5 per cent during the period 2016 - 2022. The industrial machinery sector is expected to dominate the global CNC market during the forecast period. Europe is expected to be the leading contributor to the global revenue during the forecast period.
Increase in demand in mass production plants for various applications including electronic parts manufacturing, machining plastics, engraving steel, thermoforming, and machining graphite have fostered the adoption of CNC. In addition, the increase in production efficiency and better accuracy and precision of equipment in various sectors such as aerospace, automobile, healthcare, electronics, and industrial machinery are expected to drive the market growth. However, high cost of CNC machines with highly advanced software languages restrict the market growth. Innovative developments in technologies and machine tool equipment along with increase in number of application areas such as micro drilling, dispensing, dental, and rapid prototyping are expected to provide numerous opportunities for the growth and development of the CNC market.
In 2015, the industrial machinery sector accounted for the maximum revenue share in the global CNC market, owing to growth in demand for accurate high-resolution devices and the need to reduce machining trajectory faults. Further, the integration of CNC technology with high-speed CNC hardware highlighting accurate detection and ultra-smooth rotation provide huge growth opportunities to the market in the industrial machinery sector. In addition, the automobile segment is projected to grow at the highest CAGR of 6.1 per cent during the forecast period. This growth is attributed to the need to produce identical and bulk automotive parts.
Furthermore, the increase in demand for vehicles globally, along with mass produced quality parts is expected to spur the demand for CNC machines in the automobile sector. Also, in 2015, lathes machine tools accounted for the highest revenue in the global CNC market. The mills machine tool type is expected to grow at the fastest CAGR owing to the penetration of advanced CNC mills known as multi axis machines, which offer additional two axis to the three remaining axis X, Y, and Z.
Europe accounted for a major share of the global CNC market share in 2015, and is expected to maintain its dominance during the forecast period due to increase in demand for machine tools in countries, such as Germany, Italy, Switzerland, and Austria. Asia-Pacific is projected to grow at a significant growth rate due to increase in process adoption, advancements in technology, and rise in standards of living in economies such as India, China, and Japan.
Key findings of the global CNC market
In 2015, lathe machine tools dominated the overall CNC market in terms of revenue, and is projected to grow at a CAGR of 4.9 per cent during the forecast period. The automobile industry vertical is projected to grow at the highest CAGR of 6.1 per cent during the forecast period.
The industrial machinery industry vertical is projected to generate the highest revenue in the CNC market. In 2015, Europe generated the highest revenue among all regions in the world CNC market. Asia-Pacific is expected to grow at a remarkable CAGR of 5.6 per cent during the forecast period. The global CNC market generated $12,734 million in 2015.
Prominent players in the market such as MONDRAGON Corporation, GSK CNC Equipment, Soft Servo Systems, Bosch Rexroth AG, Sandvik AB, and Siemens AG focus on product launch, acquisition, and partnership for expansion in the market. For instance, in February 2016, Sandvik AB acquired Prometec GmbH through its Sandvik Coromant division. This acquisition enabled Sandvik to transform the digital manufacturing business and expand by setting up a new manufacturing center in Sweden.
Summary of the CNC Market Report can be accessed on the website at www.alliedmarketresearch.com.