Machine Tools Suppliers in Japan – Market Overview

Want to know how the machine tools suppliers in Japan stand strong among Global trade fluctuations? Here’s a market overview of the Japanese machine tools industry.  

Purpose of the study

This article focuses on the Machine Tools sector of Japan. It covers the market scenario and various industrial factors to help Metalworking professionals interested to source in Japan.

Industry overview 

In recent years, the Machine tools industry is showing fast growth due to increased momentum in overall demand. The growth of the manufacturing sector has largely expanded the need for machine tools on a large scale. Both the domestic and international markets highlight similar inflation in the requirements.

There are 2 major factors for consideration. Firstly, the number of orders received by Japan does not completely contribute to the growth rate. Secondly, the decline of the numbers does not majorly affect the progress either. This is due to the quality production ability of Japan in terms of any trade.

The more a country focuses on the quality, the faster will it outsmart other competitors in sales. This case is clear in the Japanese market. The machine tools suppliers in Japan have its key focus on the quality of the products. These products were more likely to sell themselves amidst widespread poor-quality products in the global market.

The pivotal influencer of an industry is the economic growth of a country. In this aspect, Japan’s renaissance conduces largely. This is to keep balance in the machine tools sector even at times of industrial agitations. The sector amidst its growth contributes largely to the advancement in several sectors like Automobile and Aerospace.

As a major league in technological advancements, Japan has spanned out its automation services to the Machine Tools industry. It has developed the Industrial Internet of Things (IIOT), Robotics, Big Data, etc.

Current scenario 

The growth in the global market demands an uptrend in the Japanese market. This has an overall effect on the trades of machine tools suppliers in Japan. Therefore, the effect of Foreign investment dips is earmarking a decline in the sector’s growth rate.

Likewise, trade with China has largely descended in the past few months. Yet, the country keeps balance due to increased trade activity. It ties up with Asian countries like India, Vietnam, and Taiwan. This is due to the recent market trend highly influenced by the trade friction between China and the US.

Japan’s trade with China has a major impact on the overall economy of the industry. However, the economic slowdown in China due to the trade friction has affected the manufacturing sector. This directly influences the Machine tools industry.

On the other hand, experts expect that the fair expansion in the economy improves the market situations. The Japanese government has set up policies with complete awareness about the market trend.


Currently, there exists a qualm among the Chinese traders to invest among the Machine tools suppliers in Japan. This shortcoming is developing as the months move forwards. This is a major threat to the machine tools industry. Evidently, a slow weakening is prevalent.

Target Markets

China, Brunei, Cambodia, Indonesia, USA, Laos, Malaysia, Myanmar (Burma), India, Singapore, South Korea, Thailand, Philippines, Vietnam, and Germany.

Target Sectors

Infrastructure, Automotive, Capital goods sector, Aerospace, and more.

Efforts for Progress undertaken by the machine tools suppliers in Japan

Industrial giants in the global market focus on achieving the constituent smart approaches of Industry 4.0. Subsequently, the machine tools suppliers in Japan focus on future furthermore. The country aims at achieving ‘Society 5.0’

The framework of the concept is called ‘Connected Industry’. It aims to develop industrial technologies like IIOT, Big Data, and AI. It associates with the different facets of day to day activities of the society. Though this concept is complicated, the success of this automation adoption in all layers of life would transcend the present lifestyle to an all-new level.

Existing Demand

Although almost all manufacturing and fabrication industries rely on the Machine tools sector, there is an elevated demand in the following areas:

  • Automotive
  • Aerospace

Business Challenges 

Although the challenges in the machine tools sector are not severe, the trade friction between China and the US has an influencing impact among the machine tools suppliers in Japan. In addition to this, there exists a peril caused by Brexit in terms of industrial activities.

Predictive insights & outlook

Although the current situation in Japan marks a decline in the growth trend, there is an increase in growth due to increased orders demanded by the Asian, European, and North American markets. Relatively, there exists an optimal supply chain management. In addition to this, the nature of Japan’s fast technological advancements enriches the opportunities of growth on a widened horizon along with a speedy pace of automation.

Being an active competitor, sourcing of machine tools suppliers in Japan is a definite smart choice. Several reasons including

  • supplier performances,
  • advancement in industrial technology and automation,
  • adaptation to artificial intelligence,
  • risk management,
  • ideal working capital and

other factors boost the chances of Japan becoming an ideal source of suppliers for metalworking operations.


Maschinen Markt International

Nikkei Asian Review

Potential Supplier Sourcing information:

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