Carbide Cutting Tool Market Report 2026

The carbide cutting tool market size has grown strongly in recent years. It will grow from $12.28 billion in 2025 to $13.04 billion in 2026 at a compound annual growth rate (CAGR) of 6.2%. The growth in the historic period can be attributed to growth in automotive manufacturing, expansion of metal machining industries, aerospace component production, industrial automation adoption, demand for precision tools.

The carbide cutting tool market size is expected to see strong growth in the next few years. It will grow to $16.41 billion in 2030 at a compound annual growth rate (CAGR) of 5.9%. The growth in the forecast period can be attributed to electric vehicle production growth, advanced machining requirements, expansion of aerospace manufacturing, adoption of smart factories, demand for high performance tooling. Major trends in the forecast period include rising adoption of coated carbide tools, growing demand for high speed machining, expansion of cnc machining applications, increasing use in electric vehicle manufacturing, focus on tool life and wear resistance.

The rapid growth of the automotive industry is anticipated to drive the expansion of the carbide-cutting tools market in the coming years. This sector encompasses the full ecosystem related to the manufacturing, sales, and servicing of motor vehicles and their components. The industry's expansion is largely attributed to increasing urbanization and consumer demand, which are boosting vehicle production and innovation to meet evolving mobility requirements. Carbide-cutting tools are essential in this sector for precision machining of tough materials like steel and aluminum, allowing for the efficient creation of key components such as engine blocks, brake systems, suspension parts, and transmission components. For example, in 2024, the UK’s Department for Transport (DfT) reported that around 83,000 zero-emission cars were registered, marking an 8% increase compared to 2023. As a result, the rapid growth of the automotive industry is fueling demand in the carbide-cutting tools market.

Leading companies in the carbide-cutting tool industry are increasingly developing advanced products such as coated-carbide grades to boost machining performance, extend tool longevity, and improve overall efficiency in high-speed applications. Coated-carbide grades are carbide cutting tools enhanced with wear-resistant layers applied through methods like physical vapor deposition or chemical vapor deposition, increasing their hardness and thermal stability. These coatings allow for sustained performance under high-speed or heavy-duty machining conditions. For instance, in January 2025, Sumitomo Electric Industries Ltd., a Japan-based manufacturer, introduced the ACS1000 coated carbide grade specifically designed for high-speed milling of stainless steel and exotic alloys. The product includes an ultra-fine Absotech physical vapor deposition coating on a tough carbide substrate, offering outstanding strength, durability, and tool life. The ACS1000 is available in 46 catalog variants compatible with popular milling systems, helping to improve productivity and reduce costs in industries such as semiconductors, energy, and aerospace.

In February 2023, Arch Cutting Tools Corporation, a U.S.-based manufacturer, acquired Custom Carbide Cutter Inc. for an undisclosed amount. The purpose of this acquisition was to expand Arch’s custom tooling capabilities and solidify its position in the precision cutting tool market by leveraging the specialized expertise of Custom Carbide Cutter in carbide tooling. Custom Carbide Cutter Inc. is a U.S.-based company known for producing customized carbide cutting tools used across various industries.

Major companies operating in the carbide cutting tool market are Sandvik Coromant AB, Kennametal Inc., CERATIZIT Group (CERATIZIT S.A.), Walter AG, Dormer Pramet S.r.o., TaeguTec Ltd., Tungaloy Corporation, Sumitomo Electric Industries, Ltd. (Hardmetal Division), OSG Corporation, Ingersoll Cutting Tool Company, Mitsubishi Materials Corporation (MMC Hardmetal Division), ISCAR Ltd., Fullerton Tool Company, Inc., Kyocera Corporation, Seco Tools AB, Gühring KG, MAPAL Dr. Kress KG, Hoffmann SE (GARANT Manufacturing Division), Birla Precision Technologies Limited, Hittco Tools Limited, Knight Carbide, Inc., Schwanog Siegfried Güntert GmbH.

North America was the largest region in the carbide cutting tool market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the carbide cutting tool market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the carbide cutting tool market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The carbide cutting tool market consists of sales of tungsten carbide powder, titanium carbide, niobium carbide, tool holders, and shanks. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.