Entry-level 3D printers thrive while industrial market declines

The global 3D printer market in the second quarter of 2025 has continued to reflect contrasting fortunes between consumer and industrial segments, according to market intelligence firm CONTEXT.

CONTEXT's latest analysis shows that demand in the Entry-level, consumer-centric segment remains strong, while higher-end Professional, Midrange, and Industrial categories face ongoing challenges including weak capital expenditure and ongoing industry consolidation.

Flat growth overall

Overall, hardware system revenues remained flat compared to the same quarter last year. Growth seen in the Entry-level segment, with a 21% increase in revenues primarily driven by brands like Bambu Lab, was cancelled out by declines elsewhere. Professional segment revenues dropped by 29%, Midrange by 11%, and Industrial by 14%.

Chris Connery, Vice President of Global Analysis at CONTEXT, said:

"The trend of disparate market performance continued into the second quarter. Weak demand from tariff-paralysis and high interest rates made for difficult market conditions in the Industrial and Midrange segments. In contrast, the Entry-level space continued to thrive, with key players even making moves to go public, highlighting the segment's sustained momentum."

Industrial and Midrange pressures

The Industrial segment has experienced a pronounced downturn, challenged by high interest rates and significant market consolidation. Shipments of Industrial 3D printers dropped notably during the quarter. This was further exacerbated by business interruptions associated with high-profile bankruptcies, such as Desktop Metal, and complex mergers. The merged entity Nano Dimension, which includes Markforged and Desktop Metal for this period, recorded a significant year-on-year fall in aggregated shipments.

HP reported a rise in shipments, attributed largely to its approach of upgrading existing systems, and Stratasys also experienced shipment growth for the quarter. Within the metal powder bed fusion (PBF) space, China-based Eplus3D led in units shipped and, together with Velo3D, showed annual shipment growth. EOS and Nikon remained leaders in revenue, though both saw slight declines in shipment numbers compared to last year.

The Midrange category mirrored the shipment decline found in the Industrial segment, with Western manufacturers such as 3D Systems and Stratasys showing pronounced drops. 3D Systems, in particular, continues to see its shipment volumes decrease each period. However, some Chinese manufacturers, including UnionTech, recorded growth, driven by strong domestic demand. Flashforge, which has performed well on a trailing-twelve-month basis, experienced a slight dip in shipments compared to the previous quarter.

Professional printer contraction

The Professional segment suffered a sharp reduction in shipments, particularly in the material extrusion category (FDM/FFF), which had been the dominant force in this space. The performance decline is attributed to capable yet lower-priced Entry-level machines taking market share. However, shipments for vat photopolymerization Professional printers were stable, as companies like Formlabs maintained momentum through refreshed product lines.

Entry-level advances

The Entry-level printer segment continued to be the standout with sustained year-on-year growth. Ongoing robust demand for products from companies like Bambu Lab led to further shipment increases and the introduction of new products. The quarter's highlights included Creality's announcement of its intentions to go public, a move which reflects the increasing maturity and significance of the consumer market. Despite a short-term dip in Creality's shipment volumes ahead of the IPO, the company's transition points to future market development.

Another noteworthy event was a record-setting crowdfunding campaign by Snapmaker for its new multicolour FDM printer. The campaign's success demonstrates strong consumer interest in Entry-level devices, even as the overall number of shipments in other segments declines.

Outlook

CONTEXT anticipates that current headwinds will persist for the remainder of 2025, especially for Industrial and other capital-dependent segments, amid high interest rates, tariffs, and inflation. There has been a recent reduction in US interest rates by the Federal Reserve, with further cuts expected, though analysts predict that it will take some time and additional monetary easing for capital expenditures to recover in these market categories.

Connery emphasised the anticipated timeline for recovery in the Industrial market:

"While many OEMs continue to report strong end-market engagement and pent-up demand, the recovery for the Industrial segment now looks to be pushed out. We don't project a significant rebound to begin until 2026, when lower interest rates are expected to finally unlock renewed investment in capital equipment. Regional on-shoring initiatives and the need to overcome supply chain disruptions still present major opportunities for agile additive manufacturing once business conditions improve."

The Entry-level segment is expected to maintain its momentum, while the higher-priced tiers of the market are likely to remain subdued until macroeconomic conditions improve and business investment picks up.