How to cut part from circle on one sketch to another another sketch.
How can I cut this step out
Select a face and insert a sketch, then select a circle and convert the entities to a Sketch Element and use the Extrude Cut Tool
Easier select two faces as bellow and use "Delete faces" command wit option "Delete and patch"
A Lofted Cut should also work.
Depending on your required profile, you can do extrude cut with taper, revolve cut, loft cut and many more.
I would suggest to try all methods just for sake of learning.
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