The global Position Sensor Market size was estimated at USD 5.25 billion in 2023 and is projected to reach USD 10.3 billion in 2030 at a CAGR of 10.1% during the forecast period 2023-2030.
The utilization of a position sensor device is common in the measurement of displacement, distance, position, or length for the purpose of automating, testing, or monitoring processes. These sensors can be classified as either absolute or relative (displacement) position sensors. Their applications are widespread, ranging from computer game joysticks, computer hard drives & CD/DVD drives, steering wheels, industrial, and robotics, among others. The increasing trend towards automation of processing systems in industries has led to a surge in demand for position sensors. These sensors find widespread application in the automotive and industrial sectors, including steering wheel position sensing, float-level sensing, and transmission gearbox encoder.
The anticipated period of growth is expected to be lucrative due to the increasing adoption of integrated control systems in consumer electronics devices, such as smartphones and tablets. The process industries are generating high demand for position sensors due to the emerging trend towards plant automation. Various European countries have legislated stringent emission laws, which are encouraging the use of linear and rotary position sensors since they play a crucial role in ensuring vehicle compliance with the slated emission riders. Ongoing technological innovations in optical position sensors are anticipated to lead to growth in the industry. This technology is leading to the development of smaller and more efficient chipsets and modules with added functions.
On the other hand, High cost of ownership may hamper the market growth to some extent.
The recent outbreak of the coronavirus has demonstrated to be a detriment to the market. The pandemic has prompted the cessation of commercial operations due to the coronavirus pandemic and has led to disruptions in global supply chains, border restrictions, and travel restrictions imposed by government entities. The market's growth rate experienced deceleration as a result of the rigorous measures to restrict commercial activities. Nonetheless, the market is projected to experience a surge subsequent to global relaxations coupled with gradual convalescence from the pandemic in several countries, including China, Germany, and France.
The pandemic had a considerable impact on businesses globally, with nations like India and China bearing the brunt of the virus's outbreak. The advent of Industry 4.0 has facilitated the swift proliferation of cutting-edge technologies, thereby incentivizing industrial manufacturers to embrace the automation of industrial processes. Manufacturers across diverse regions are primarily investing in the enhancement of their manufacturing infrastructure through the implementation of fully automated machine tools. The market for these sensors is propelled by their compact form factor, low power consumption, extensive feature integration, and affordability. Presently, notable investments in research and development by significant stakeholders have culminated in the development of intelligent and sophisticated sensor systems for diverse novel applications in the automotive, aerospace and defense, electronics, and healthcare industries. These positioning systems are instrumental in assisting users across various application fields, such as tracking, healthcare provision, tourism, manufacturing, navigation, and personal security activities. The surging demand for such devices has created immense growth opportunities for the market. These factors have led to the expansion of the market and increased demand for Position Sensor solutions.
North America to Dominate the Market
