#position sensor

The global position sensor industry is estimated to reach USD 19.02 billion in 2030 from USD 13.25 billion in 2025, at a CAGR of 7.5% during the forecast period.

Position sensors are built to measure the movement, location, or displacement of an object along a linear or rotational path. They are very precise and give high accuracy for their feedback in applications. Therefore, their effectiveness in improving efficiency and systems' reliability while making automation for complex systems possible in different industries is guaranteed. They are applicable in machine tools, robotics, material handling, test equipment, motion systems, and many other applications. Some of the main end-user industries are manufacturing, automotive, aerospace & defense, packaging, healthcare, consumer electronics, and any industry that uses precision positional information for optimal performance.

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The non-contact type segment is expected to hold the largest market share during the forecast period.

The largest share in the position sensor industry is held by non-contact type as it offers superior performance, durability, and adaptability for various environments. The lifecycle of noncontact position sensors is remarkably extended since they are contactless, and there will be no physical wear and tear associated with them. These sensors have higher resolution, sensitivity, and precision in measurement for applications that require precise measurements. Such applications include automation, robotics, and precision engineering. Their ability to work reliably under extreme temperatures, vibrations, and contamination further increases their adoption. Also, the need for advanced technologies in the automotive, aerospace, and industrial automation industries boosts the demand for non-contact sensors, even at a higher initial cost, as it has long-term benefits.

The inductive segment is dominating the position sensor industry.

Inductive segments dominate the position sensor due to their high strength, reliability, and durability, which are suitable for application in rough conditions. Inductive sensors are particularly suitable for use in dusty, dirty, or high or low-temperature surroundings, which makes them perfect for automobile and industrial needs. They are commonly employed in the monitoring of position in applications such as engines, gearboxes, brake systems, factory automation, and robotics since they notably exhibit low interference and high accuracy. Moreover, their capacity to identify metal objects with a high level of accuracy and durability against other interfering elements contributes to the growth of their requirements.

US in the North America region to dominate the position sensor industry during the forecast period.

The US dominates the position sensor market in North America primarily because of its well-developed industrial platform and growing demand for position sensors across the manufacturing, automobile, aerospace, and healthcare industries. The involvement of giants like Lockheed Martin, Boeing, and General Motors, as well as industries like GE Healthcare, have led to massive prospects for position sensors. The expansion of response needs is driven by the growing demand of Industry 4.0, smart factories, and electric vehicles. Moreover, including position sensors in the battery management systems and renewable energy, including solar tracking, boosts the market.

Key players

The position sensor industry includes significant Tier I and II players like Honeywell International Inc. (US), TDK Corporation (Japan), STMicroelectronics (Switzerland), Amphenol Corporation (US), SICK AG (Germany), Sensata Technologies, Inc. (US), TE Connectivity (Ireland), Texas Instruments Incorporated (US), ams-OSRAM AG (Austria), Analog Devices, Inc. (US), CTS Corporation (US), Infineon Technologies AG (Germany), Microchip Technology Inc. (US), Vishay Intertechnology, Inc. (US), and Novotechnik U.S. Inc. (US)  are some of the key players in the position sensor market.

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The global position sensor market is estimated to reach USD 19.02 billion in 2030 from USD 13.25 billion in 2025, at a CAGR of 7.5% during the forecast period. The market for position sensors is growing steadily due to the constantly increasing automation in various industries, especially in manufacturing and automotive industries where accurate measurement of position is necessary for controlling quality or safety mechanisms. The increase in acceptance of Industry 4.0 solutions and the market demand for EVs that use multiple position sensors are driving the market. Furthermore, IoT applications for position sensors, robotics integration into the production line, and raising requirements for operational efficiency in aerospace and defense segments are some of the other forces driving the position sensor market forward.

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Based on technology, the ultrasonic segment is expected to grow at the highest CAGR in the position sensor market due to benefits such as flexibility, low cost, and effectiveness when used in various applications across the industries. This sensors perform well in identifying various forms of objects of different colors, textures, and even through transparency. This makes them quite versatile, such as in the car parking systems, industrial applications and monitoring of liquids in industries. Their capacity to work under dust or humidity, adds to the demand for these sensors. The constantly evolving ultrasonic sensor applications and their relatively low prices remain the most significant driving force for the segment’s constant growth in the position sensor market.

Based on application, robotics are expected to grow at the highest CAGR during the forecast period primarily due to growth of automation and collaborative robotic applications. Position sensors are critical in fulfilling the need for accurate movements in robotics used in applications such as welding, assembly, and material handling, making it vital for current industrial usage. As industrial robots find application in the emerging fields of mass production as well as customized production, especially since they are also being used for more versatile operations, the corresponding demand for devices such as encoders, potentiometers, and resolvers has been increasing. Companies such as SICK AG, TE Connectivity and Riher Sensors are constantly developing the more innovative position sensing solutions for complex robotic applications. Thus the position sensor market for robotics is expected to grow at the highest CAGR during the forecast period.

Based on region, Asia Pacific is expected to hold the largest market share in the position sensor market during the forecast period. Key markets including China, Japan, South Korea and India are fuelling market growth by improvements in manufacturing, automobiles, and electronics & communication industries. Growing dependence on industrial automation and electric automobiles adds the usage of position sensors in the robotics and automation sector in China. In addition, the desire for robotic products emanating from Japan in line with the care technologies and south Korea in the area of consumables electronics, fuels this demand. Along with that, the growth which is happening in the emerging markets of India & Indonesia is because of smart infrastructure & Automation. All these factors collectively position the Asia Pacific region as a key driver of growth in the position sensor market, ensuring its dominance throughout the forecast period.

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The global position sensor market is anticipated to reach $8.8 billion by 2027, expanding at a CAGR of 8.5% from 2021 to 2027. The main factors driving the growth of the global position sensor market are the rising focus of manufacturers on precise measurements and comprehensive inspection, mounting adoption in the aerospace and aviation industry, and deploying position sensors in automobiles. Position sensors have extensive applicability in automotive, subsea, medical, power generation, HVAC process controls, security systems, factory automation, etc.

Increasing implementation of combined regulator arrangements in end user electronics apparatuses like tablets and smartphones, is estimated to propose profitable development openings above the prediction period.