From a valuation of $9.1 billion in 2018, the global position sensor market is predicted to reach a value of $14.2 billion by 2024. Furthermore, the market is predicted to advance at a CAGR of 7.7% between 2019 and 2024. The key factors driving the advancement of the market are the increasing requirement for position sensors in the automobile and aerospace industries and the rising demand for accurate inspection and measurements from manufacturing industries.

The mushrooming usage of position sensors in vehicles is a major factor fueling the growth of the market. Position sensors are heavily used for sensing steering angles and in various automobile applications such as pedal positioning and clutch plates. These sensors are also extensively used in parking assistance systems and hybrid engines for ensuring their proper functioning. The soaring automobile manufacturing, especially in the emerging economies such as Indonesia, Thailand, and China, is propelling the demand for position sensors.

For example, as per many reports, in China, motor vehicle manufacturing increased from 7.7 million units in 2013 to 29.7 million units in 2017. Besides this factor, the thriving packaging industry, especially in the developing nations such as India and China, is also fueling the expansion of the position sensor market around the world. For example, according to reports, in India, the plastic packaging industry registered a CAGR of more than 14% between 2010 and 2017.

The expansion in this industry is credited to the progress of the food and pharmaceutical packaging sectors and the increasing requirement for exports that need high-quality packaging in order to meet the standards of the international market. In the packaging industry, position sensors are used in packaging machines. Depending on type, the position sensor market is divided into rotary and linear categories. Of these, the rotary category recorded higher growth in the market in the past years.

This was because of the large-scale usage of position sensors in several applications such as throttle position control, consumer electronic products, and pedal position. In the future years, the linear category will register faster growth in the market, as per the estimates of P&S Intelligence, a market research company based in India. This will be because of the rising requirement for these sensors in various critical applications in the manufacturing and aerospace industries.

Globally, the position sensor market recorded the highest growth in the Asia-Pacific (APAC) region during the past few years and is predicted to demonstrate the fastest growth in this region in the coming years. This will be a result of the presence of a surging automobile manufacturing industry, especially in China, the rapid expansion in the manufacturing sector, the soaring manufacturing of aircrafts, and the growth of the packaging industry in the regional countries.

Hence, it is safe to say that the market will grow explosively all over the world in the coming years, mainly because of the burgeoning usage of position sensors in the packaging, aerospace, and automobile industries.