How to make a CNC-machine compatible circle in SketchUp

We design components for wooden products. As such we have dowel holes. When exporting to dxf, our CNC creators complain the holes created with the circle tool and push/pull are jaggedy and do not work on their machines.
Any suggestions on how to achieve proper holes for integration with CNC machines ? I am rather confused that a CAD design tool isn’t capable of exporting perfect holes to DXF and other CNC-friendly formats - surely other SketchUp users have a workaround or know the proper way to do this?

Note: the circles have 24 segments. Would increasing segments help or no?

Try exporting to 3d DWG / DXF as I believe this will retain the circle geometry.

You can also use OpenCutList:

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