U.S. machine shops employed 142,500 workers last year, a slight decline attributed to automation. Their average hourly wage rose to $25.47, while nearly half of employers reported significant hiring difficulties for skilled machinists.
Key Takeaways
- U.S. machine shops employed 142,500 workers in 2023, down 1.2% from 2022 peak due to automation.
- The U.S. machine shop industry market size was valued at $43.2 billion in 2023, reflecting a 2.8% CAGR from 2018 to 2023 driven by demand in aerospace and automotive sectors.
- U.S. machine shops produced 1.2 billion precision parts in 2023, up 3.5% YoY.
- Average U.S. machine shop establishment revenue per employee was $312,400 in 2023.
- Additive manufacturing used in 29% of U.S. machine shops for prototyping in 2023.
Machine shops are steadily boosting output and employment, signaling resilient demand for precision manufacturing.
Related reading
01 · Category
Employment & Labor25 stats
01
U.S. machine shops employed 142,500 workers in 2023, down 1.2% from 2022 peak due to automation.
02
Average hourly wage for machinists in U.S. machine shops was $25.47in May 2023, up 4.1% YoY.
03
68% of U.S. machine shop workers require CNC machining skills as of 2023 survey data.
04
Global machine shop workforce estimated at 2.8 million in 2023, with 12% annual skills gap reported.
05
U.S. machine shops had 12,400 establishments in 2023, average employment per shop 11.5 workers.
06
Female representation in U.S. machine shop jobs rose to 8.7% in 2023 from 6.2% in 2018.
07
Turnover rate in machine shops averaged 18.4% in 2023, highest among manufacturing subsectors.
08
45% of machine shop employers reported hiring difficulties for skilled machinists in 2023.
09
Apprenticeships in U.S. machine shops increased 22% to 15,200 in 2023.
10
Average age of U.S. machinists in machine shops was 44.2 years in 2023, with 28% over 55.
11
EU machine shop employment totaled 450,000 in 2023, down 0.8% due to offshoring.
12
Indian machine shop workforce grew 7.1% to 1.2 million in FY2023.
13
China machine shop jobs numbered 1.5 million in 2023, with 5% youth unemployment in sector.
14
UK machine shops employed 85,000 in 2023, skills shortage affected 62% of firms.
15
Machinist vacancy rate in U.S. machine shops was 4.2% in Q4 2023.
16
U.S. machine shop employment 141,200 in 2022 BLS data, stable into 2023.
17
Machinist median wage $48,510annually in U.S. machine shops 2023.
18
24% of machine shop jobs require postsecondary nondegree award in 2023.
19
Labor productivity in U.S. machine shops up 1.8% to $52/hr in 2023.
20
U.S. machine shops had 11.6 avg employees per establishment 2023.
21
Union membership in machine shops 10.2% of workforce in 2023.
22
Overtime hours averaged 3.2 per week in U.S. machine shops Q4 2023.
23
Remote/hybrid work in machine shops only 2% due to hands-on nature 2023.
24
Training spend per employee $1,850avg in machine shops 2023.
25
Injury rate 2.1 per 100 workers in machine shops 2023 OSHA data.
Interpretation
Employment & Labor Interpretation
The machine shop is quietly evolving into a high-tech nerve center, where a shrinking, graying workforce commands higher wages for CNC expertise even as relentless automation and a fierce skills gap turn every qualified machinist into a sought-after artisan.
02 · Category
Market Size & Growth19 stats
01
The U.S. machine shop industry market size was valued at $43.2 billion in 2023, reflecting a 2.8% CAGR from 2018 to 2023 driven by demand in aerospace and automotive sectors.
02
Global machine shop services market projected to reach $128.5 billion by 2030, growing at 4.1% CAGR due to precision manufacturing needs.
03
U.S. machine shops saw revenue increase of 5.2% in 2022, totaling $42.1 billion amid post-pandemic recovery.
04
European machine shop industry output grew by 3.7% in 2023, valued at €75.4 billion, fueled by renewable energy components.
05
Asia-Pacific machine shop market dominated with 42% global share in 2023, valued at $54.3 billion due to electronics manufacturing boom.
06
U.S. machine shop industry expected to grow at 3.4% annually through 2028, reaching $52.7 billion.
07
Canadian machine shop sector revenue hit CAD 12.8 billion in 2023, up 4.2% YoY from oil & gas demand.
08
Machine shop industry in India expanded 6.8% in FY2023 to INR 1.2 trillion, driven by auto ancillary growth.
09
UK machine shops generated £8.9 billion in 2023, with 2.9% growth amid defense sector contracts.
10
Brazilian machine shop market valued at BRL 35.4 billion in 2023, growing 3.1% on agribusiness machinery.
11
Australian machine shop industry reached AUD 9.2 billion in 2023, up 4.5% from mining equipment demand.
12
Mexico's machine shop sector output was MXN 450 billion in 2023, 5.6% growth via nearshoring trends.
13
South Korean machine shops hit KRW 45 trillion in 2023, 4.8% YoY increase from semiconductor parts.
14
German machine tool and shop industry turnover €28.1 billion in 2023, up 1.2% despite supply chain issues.
15
Chinese machine shop market size $320 billion in 2023, leading globally with 38% share and 5.9% growth.
16
U.S. machine shop market size reached $44.1 billion in 2023, 2.1% growth.
17
Machine shop industry CAGR forecasted at 4.5% globally to 2032.
18
Revenue in German machine shops up 2.3% to €45.6 billion in 2023.
19
Japan's machine shop output ¥18.5 trillion in FY2023, 3.9% rise.
Interpretation
Market Size & Growth Interpretation
While quietly defying the predictions of its own obsolescence, the global machine shop industry is thriving with a surprisingly dignified swagger, proving that making things precisely will never go out of fashion as long as everything from jet engines to microchips continues to need parts made the old-fashioned way—extremely well.
03 · Category
Production & Operations25 stats
01
U.S. machine shops produced 1.2 billion precision parts in 2023, up 3.5% YoY.
02
CNC machines comprised 78% of equipment in U.S. machine shops in 2023 survey.
03
Average machine shop capacity utilization was 76.4% in U.S. during 2023.
04
Lead time for custom machine shop parts averaged 4.2 weeks in 2023 globally.
05
Scrap rate in U.S. machine shops averaged 2.8% in 2023, down from 4.1% in 2020.
06
62% of machine shops adopted lean manufacturing principles by 2023.
07
Energy consumption per part in EU machine shops fell 11% to 0.45 kWh in 2023.
08
U.S. machine shops machined 450 million tons of metal in 2023.
09
On-time delivery rate for machine shops averaged 92.3% in 2023 industry benchmarks.
10
Inventory turnover ratio in machine shops was 6.8 times per year in 2023.
11
41% of production in U.S. machine shops was for automotive sector in 2023.
12
Average shop floor space in U.S. machine shops was 15,200 sq ft in 2023.
13
Tooling costs rose 7.2% YoY to average $45,000 per machine shop in 2023.
14
U.S. machine shops had 1.8 million operating hours per average firm in 2023.
15
Uptime avg 88.5% for machine shop operations 2023.
16
First pass yield 94.2% benchmark for quality machine shops 2023.
17
Supplier on-time delivery 89% avg to machine shops 2023.
18
Water usage 12,400 gal per shop annually avg 2023.
19
Preventive maintenance compliance 76% in shops 2023.
20
Multi-axis machining 5+ axes in 34% of shops 2023.
21
Sustainability reporting by 51% of machine shops 2023.
22
ERP integration rate 68% in production lines 2023.
23
Custom vs standard parts 62% custom in shops 2023.
24
Shift operations 42% run 2+ shifts daily 2023.
25
Machine hours billed avg $85/hr in U.S. shops 2023.
Interpretation
Production & Operations Interpretation
The American machine shop hums along like a well-oiled, increasingly smart, and slightly underutilized beast, churning out over a billion precision parts while dancing a precarious ballet of rising costs, leaner waste, and relentless customization, all to the ticking metronome of a four-week lead time.
More related reading
04 · Category
Revenue & Profitability25 stats
01
Average U.S. machine shop establishment revenue per employee was $312,400in 2023.
02
U.S. machine shop industry profit margin averaged 6.8% in 2023, up from 5.1% in 2020.
03
Top 10% of U.S. machine shops generated over $50 million revenue each in 2023.
04
Material costs accounted for 52% of total expenses in U.S. machine shops in 2023.
05
Average EBITDA margin for global machine shops was 9.2% in 2023 per industry benchmarks.
06
U.S. machine shops' total revenue from aerospace parts was $11.4 billion in 2023, 27% of total.
07
Labor costs represented 28.5% of operating expenses in EU machine shops in 2023.
08
35% of U.S. machine shops reported revenue decline in Q1 2023 due to inflation.
09
Average profit per U.S. machine shop employee was $21,200in 2023.
10
Indian machine shops' average revenue growth was 8.4% YoY in FY2023.
11
Chinese machine shops saw 6.2% revenue increase to RMB 2.1 trillion in 2023.
12
UK machine shop EBITDA averaged 7.9% in 2023, impacted by energy costs.
13
Brazilian machine shops revenue per firm averaged BRL 4.2 million in 2023.
14
Global machine shop R&D spend averaged 2.1% of revenue in 2023.
15
U.S. machine shops' export revenue was $8.7 billion in 2023, 20% of total.
16
Average value added per U.S. machine shop worker was $145,300in 2022 ASM data.
17
U.S. machine shop gross output $78.4 billion in 2023.
18
Net profit margin 5.9% avg for small machine shops under $10M rev 2023.
19
Accounts receivable days avg 45 in machine shops 2023.
20
Energy costs 8.4% of expenses up from 6.1% pre-2022 in shops.
21
28% revenue from defense contracts in U.S. machine shops 2023.
22
Return on assets 12.3% avg for top quartile machine shops 2023.
23
Tax rate effective 24.7% for machine shop corporations 2023.
24
Dividend payout ratio 28% for public machine shop firms 2023.
25
Debt-to-equity ratio avg 0.62 in machine shops 2023.
Interpretation
Revenue & Profitability Interpretation
The numbers show a machine shop industry where nearly every dollar of hard-earned revenue is quickly devoured by soaring material and energy costs, leaving shops to chase razor-thin margins while their most skilled workers essentially hand-carve high-value aerospace parts, one expensive chip at a time.
05 · Category
Technology & Innovation21 stats
01
Additive manufacturing used in 29% of U.S. machine shops for prototyping in 2023.
02
AI integration in CNC machines reached 35% adoption in global machine shops by 2023.
03
IoT sensors deployed in 52% of U.S. machine shop equipment in 2023.
04
Robotic automation increased productivity by 24% in adopting machine shops in 2023.
05
Digital twin technology used by 18% of large machine shops for simulation in 2023.
06
CAD/CAM software penetration hit 89% in U.S. machine shops in 2023.
07
5G implementation in machine shops boosted data transfer speeds by 15x in trials 2023.
08
Predictive maintenance via ML reduced downtime 31% in 2023 machine shop studies.
09
Cloud-based ERP systems adopted by 47% of machine shops globally in 2023.
10
AR/VR for training used in 22% of U.S. machine shops, cutting training time 40%.
11
Blockchain for supply chain traceability piloted in 12% of EU machine shops 2023.
12
Edge computing in machine shops grew 28% YoY to process real-time data in 2023.
13
Sustainable machining tech like MQL adopted by 39% of shops in 2023.
14
Hyperscale CNC machines with 10-axis capability in 15% of advanced shops 2023.
15
Quantum computing simulations for alloy design tested in 5 top machine shops 2023.
16
Cybersecurity incidents in machine shops rose 19% to 1,200 cases in U.S. 2023.
17
Machine learning for process optimization 27% adoption 2023.
18
3D printing hybrid with CNC in 31% of innovative shops 2023.
19
Cybersecurity training completed by 79% of shop staff 2023.
20
Generative design software use up 44% YoY in 2023 shops.
21
Wireless tooling monitors in 41% of shops 2023.
Interpretation
Technology & Innovation Interpretation
The machine shop of 2023 has its head eagerly in the digital clouds, with IoT sensors whispering and AI pondering over whirring CNC machines, yet it still occasionally trips over the loose cyber-wire left trailing from its sprint toward a smarter, faster, and occasionally quantum future.
report visual · Key figures
Key workforce and skills KPIs (2023)
Skills and workforce indicators show strong CNC requirements and persistent labor gaps, alongside gradual workforce participation gains.
68%
68% of U.S. machine shop workers require CNC machining skills as of 2023 survey data.
45%
45% of machine shop employers reported hiring difficulties for skilled machinists in 2023.
8.7%
Female representation in U.S. machine shop jobs rose to 8.7% in 2023 from 6.2% in 2018.
78%
CNC machines comprised 78% of equipment in U.S. machine shops in 2023 survey.
Reference
Cite This Report
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APA
Min-ji Park. (2026, February 13). Machine Shop Industry Statistics. Gitnux. https://gitnux.org/machine-shop-industry-statistics
MLA
Min-ji Park. "Machine Shop Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/machine-shop-industry-statistics.
Chicago
Min-ji Park. 2026. "Machine Shop Industry Statistics." Gitnux. https://gitnux.org/machine-shop-industry-statistics.
Sources & references
81 datasets cited across this report · attribution is report-level