Challenges & growth trends in the 3D printer market

The global 3D printer market has reported a slowdown in the fourth quarter of 2024, influenced by various economic challenges.

Recent data from CONTEXT indicates a decrease in shipments across all segments with industrial printers (priced above USD $100,000) experiencing a 6% decline. Midrange printers, priced between USD $20,000 and USD $100,000, fell by 18%. Professional printers, sold for between USD $2,500 and USD $20,000, saw an 11% drop. Conversely, entry-level systems priced under USD $2,500 registered a full-year growth of 26%, despite a 10% dip in Q4.

Chris Connery, Vice President of Global Analysis at CONTEXT, commented on the year: "2024 was a tough year across the globe for many 3D printer system vendors, marked by macroeconomic pressures and a shifting competitive landscape. But beneath the surface, there's a clear sense of continued strong bottled-up demand that could reshape the industry in 2025 and beyond."

The entry-level segment remained robust, particularly in the first half of 2024, aided by companies like Bambu Lab and Creality. This growth attracted both hobbyists and businesses seeking cost-effective solutions, although it applied pressure on professional printer sales, leading to a 15% year-on-year decline.

Within the industrial segment, polymer printer shipments to China provided some momentum in the fourth quarter. However, global demand for metal printers, especially powder bed fusion models, softened. Nonetheless, directed energy deposition (DED) printers showed a 7% increase in shipments throughout the year, driven by competitive pricing from companies like Meltio.

The midrange and professional sectors experienced varied results. Material jetting systems performed well in specialised areas such as dental and jewellery, buoyed by strong outputs from Flashforge, Stratasys, and SprintRay. Despite these niche successes, overall shipments in these segments experienced a downturn.

Despite the difficult conclusion to 2024, there are indications of a potential recovery. Chris Connery noted, "At the high end of the market, there is anticipation of new demand developing due to global onshoring initiatives, and that capital equipment expenditures will accelerate again when interest rates drop. The timing of such interest rate drops is the great unknown, and the situation is further complicated by sticky inflation, tariff wars and M&A questions, especially in the US."

There is also a noticeable upsurge in mergers and acquisitions, highlighted by Nano Dimension's acquisition of Desktop Metal and a potential deal with Markforged, indicating a period of consolidation that may foster market stability.

CONTEXT projects flat to low-single-digit growth in 2025, with a potential increase to mid-double-digit growth expected in 2026. Stronger market momentum could follow these years, with continued demand across industrial sectors and advances in lower-cost technology.

There is speculation surrounding a new full-colour material jetting printer, set at an approximate price of USD $3,100, which could significantly impact the professional and midrange markets if introduced this year by offering advanced features widely.

Chris Connery concluded, "With major headwinds like these across the entire AM market, and coming off a challenging Q4 2024, CONTEXT notes that forecasts have largely been shift-out with expectation now for flat to single-digit unit shipment growth in 2025, mid-double-digit growth in 2026 and accelerating beyond that. Even with expectations for 2025 revised down, some pockets of excitement are anticipated in the year ahead."