Looking into 2026 Shaping industry with people, technology and sustainability

We build the future on the foundation of our heritage

Sandvik Coromant’s position as a global leader in cutting tools and manufacturing solutions is rooted in its history, but is also firmly focused on the future.At a time when transformation ranks high across the global stage, we actively support customers worldwide, helping them navigate change and unlock new opportunities.

Leadership in a shifting world requires clarity of direction without losing sight of one’s roots. Even with a strong brand and a proud history, we cannot rest on that; we need to perform for growth and efficiency today while transforming our capabilities to remain the undisputed market leader tomorrow.

A key part of this approach is building a culture of learning. Psychological safety and curiosity are essential, and creating an environment where people feel safe to test new ideas is crucial. High-performing, empowered teams with a strong customer-first mindset are at the heart of how we turn strategy into action. Removing the fear of failure, combined with curiosity and a strong customer focus, is essential to moving things forward.

An industry in the midst of a major shift

Manufacturing is undergoing a rapid technological leap. But it’s important to recognize this as representing opportunity, rather than threat. The industry is facing a major shift, with customers at different stages of the journey. Sustainability, digitalization, sharply increasing cost pressure across the value chain and the skills gap are defining trends.

This is particularly evident in sectors such as aerospace, where growth is driven by demand for lightweight structures, next-generation engines and improved fuel efficiency. These requirements accelerate the adoption of advanced materials like titanium and heat-resistant superalloys, while pushing manufacturers to invest in more sophisticated machining technologies.

Market predictions such as those detailed in Deloitte’s 2026 Aerospace and Defense Industry Outlook point to a renewed era of growth, with global aircraft production set to accelerate as passenger demand rebounds, fleet modernization intensifies and long-standing OEM backlogs begin to clear. At the same time, defense and space programs continue to expand, creating sustained demand for high-performance materials and precision-engineered components. Together, these forces are driving one of the strongest manufacturing cycles the aerospace sector has seen in over a decade.

AI as a strategic driver for people and production

Artificial intelligence is moving beyond experimentation to become an essential tool. Across industry, leaders are embedding AI into operations, supply chains, procurement and quality control.

Sandvik Coromant has been taking note for several years,and has a dedicated AI team focused on extracting the most from thetechnology. The organization isn’t alone here – data from Xometry’s Manufacturing Outlook 2026 reveals that 82% of executives view AI as a core growth driver, with nearly half already reporting significant ROI.

AI has moved beyond the hype to become a business-critical tool for manufacturing and adoption is expanding into critical areas such as supply chain, procurement and quality control. Thinking ahead, we can expect AI systems to be fully embedded in smart-factory operations. Machines will learn and adjust in real time, intelligently optimizing production parameters, reducing waste and scheduling maintenance proactively.

Looking forward, the manufacturers that succeed in 2026 will be those that treat AI not as a standalone technology, but as a strategic capability woven into culture, processes and leadership—using data and automation to unlock new levels of efficiency, resilience and customer value.Used responsibly and transparently, AI will be a decisive enabler of productivity, sustainability and long-term competitiveness across the manufacturing ecosystem.

Sustainability translated into action

It’s difficult to look to the future of manufacturing, both in the short and longer term, without considering its impact on our planet. “We can choose to lead – or be led to ruin,” said UN Secretary General António Guterres as he opened November’s COP30 climate conference in Belem, Brazil. “Choose speed, scale and solidarity. Choose to make this the turning point. Stand with science. Stand for justice and future generations,” he urged.

His words reflect a truth the industry can no longer ignore: sustainability is not an optional layer but a defining force in how manufacturers operate.What matters now is the ability to translate ambition into tangible, scalable initiatives that deliver real environmental and business value, particularly at a time when the prices of critical raw materials such as tungsten and other metals are rising sharply, putting additional pressure on manufacturers’ cost structures.

At Sandvik Coromant, this shift is underway. One example is our buyback program, which enables customers to sell used carbide tools back to us for recycling and circular production.In a market where raw material prices are increasing significantly, circular solutions like this help customers and suppliers alike reduce exposure to volatile input costs while strengthening long-term resource security.

Supported by a digital portal, the program simplifies logistics, pricing and CO2 reporting while reducing the need for virgin raw materials. It turns circularity from a concept into a practical, everyday process on the shop floor. We’re developing similar digitized processes for our reconditioning offering too, allowing customers to extract the most from their inventory while taking advantage of easy-to-use self-serve platforms — improving efficiency, extending tool life and supporting margin resilience in an increasingly cost-constrained environment.

Another important initiative is the Sustainability Analyzer we launched in 2025. Through this tool, our team can clearly demonstrate the CO2 reductions customers can achieve by using more efficient machining solutions, making sustainability both measurable and actionable in investment and production decisions.

Looking to 2026, sustainability will be increasingly data-driven and integrated into core manufacturing workflows. Customers will expect transparent carbon metrics alongside performance and cost, and suppliers will be judged on their ability to support decarbonization across the entire value chain. Digital tools will play a central role in enabling this shift, turning environmental impact into a shared, quantifiable responsibility.

Looking ahead

Customers are already beginning to expect more than simply the products they are purchasing. They seek value-creating solutions delivered through strategic partnerships, digital-first innovation and a shared commitment to sustainable manufacturing.

Sandvik Coromant is strongly positioned for the future, combining performance today with transformation for tomorrow and serves as both a natural partner in industry issues and an employer of choice. Contributing to learning, innovation and strong teams is the mark of success.

For more information,
www.sandvik.coromant.com