Cutting weapon
From UnReal World Wiki
Cutting weapons, aside from being used in combat, are tools used in some game actions where axes or knifes can be used indifferently, like cutting spruce twigs or branches, felling slender trees, crafting clubs or staves.
Some actions, like skinning an animal or butchering a carcass for meat, require proper knives.
Axes, knives and swords are all examples of cutting tools. Every character starts the game with one.