A rectangular blade-type cutting tool having two edge-on cutting inserts mounted at one end of the blade in a staggered formation with their cutting edges partially overlapping. This type of cutting blade finds particular application in disc-type cutting tool assemblies used for cutting pipes. In such a cutting tool assembly the blade-type cutting tools in accordance with the present invention are equally peripherally distributed on an end face of the cutting tool assembly with the operative cutting edges of each of cutting blade inwardly directed and equally distanced with respect to the axis of rotation of the cutting tool assembly. With such a cutting tool assembly it is only necessary to cut the thickness of a pipe without the necessity of passing across its entire diameter allowing for quick and economical cutting of the pipe.