I don't know what the single largest lathe in the world is. You could rate them by different factors like total weight or overall length or diameter, and it looks like this nuance is what allows multiple claimants to the "world's largest lathe" title. I believe these are used mostly for propellor shafts for enormous vessels.
Some contenders:
Cockatoo Island Giant Lathe HDR
More: The World's Largest Lathe is For Sale - Industry Tap
1993 Waldrich Siegen 3000 x 13000 mm (118" x 512") CNC Roll Lathe
More: 1993 Waldrich Siegen 3000 x 13000 mm CNC Roll Lathe
Skoda 36 meter lathe
Previously:
WWII hand-powered lathe from Liberty Ship - photo
Lathe whipping accident - video and image
Leonardo da Vinci lathe build
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