World
demand for machine tool products -- encompassing metal cutting machine tools,
metal forming machine tools and machine tool accessories -- is projected to
increase a strong 9.4 percent per year through 2014 to $121 billion.  The best prospects will be found in the
developing world, especially in China and India.  Growth in North America will post respectable
gains, but only because 2009 was such a bad year for the dominant US
market.  Japan and Western Europe will
continue to see gains that considerably lag the global average. These and other
trends, including market share and product segmentation, are presented in World
Machine Tools, a new study from The Freedonia Group, Inc., a
Cleveland-based industry market research firm.

Although
the industrial machinery and equipment market will continue to account for the
largest share of demand in 2014, the transportation sector will post the
strongest gains. 
Transportation sector growth will be aided by recovery in motor vehicle
production levels from a depressed 2009, especially in the developed
world.  Demand will also be aided by a
healthy commercial aircraft production industry.  Gains in the electronic equipment market will
benefit from increasing per capita incomes in developing countries that will
enable consumers to purchase electronic products.  In developed countries, a significant number of
electronic products are now almost considered to be basic necessities.

The
global market for metal cutting machine tools is projected to expand 8.6
percent per year through 2014 to $61 billion, with growth aided
by a recovery in key end-use markets in the developed world.  Metal cutting tools will continue to account
for a majority of the total machine tools market in 2014.  World demand for metal forming machine tools
is projected to increase 8.3 percent per year through 2014 to $23 billion. The
global market for machine tool accessories is forecast to increase 11.6 percent
annually through 2014 to $37 billion, easily the fastest growth expected in any
of the major machine tool market segments over the span.  Newer metal cutting and metal forming tools last
longer and need less frequent replacement, reducing their growth
potential.  In recent years, machine tool
users have found it economical to accessorize existing tools with attachments
such as cutting tools, dies, jigs and the like in an economically uncertain and
competitive environment.

The Freedonia
Group is a leading international business
research company, founded in 1985, that publishes more than 100 industry
research studies annually. This industry analysis provides an unbiased outlook
and a reliable assessment of an industry and includes product
segmentation and demand forecasts, industry trends, demand history, threats
and opportunities, competitive strategies, market share determinations and
company profiles.