Incremental Encoders Market size was over USD 3.3 Billion in 2023 and is set to cross USD 11.39 Billion by the end of 2036, growing at more than 10% CAGR during the forecast period i.e., between 2024-2036. In the year 2024, the industry size of incremental encoders is estimated at USD 3.63 Billion. The growth of the market can primarily be attributed to the growing demand for incremental encoders for airborne systems as well as flight simulators with the rise in the aerospace industry worldwide. For instance, it was found that, the revenue of global commercial aerospace and defense (A&D) industry accounted for more than USD 700 billion in 2021
Encoders are used in machinery for motion feedback and motion control. They are found in machinery in all industries. The encoder sends a feedback signal that can be used to determine position, count, speed, or direction. A control device can use this information to send a command for a particular function. The demand for incremental encoders is on the rise in the automotive industry, which in turn, is expected to create massive revenue generation opportunities for the key players operating in the global incremental encoders market during the forecast period.
Growth Drivers
Growing Textile Industries – Textile industries are driving the demand for incremental encoders. In textile manufacturing machinery, encoders provide critical feedback for speed, direction, and distance. Hence, with the boom in the textile industry in the forecasted period, the demand for incremental encoders is also expected to escalate. It was found that, in the year 2021, the Indian textile industry was valued at more than USD 220 billion.
Increasing Investment in Robotics – In 2021, robotic startup investments accounted for over USD 17 billion.
Increasing Automation in Manufacturing Industry – As automating different tasks can raise productivity to grow at 1.4% annually. It was estimated that, by 2030, the use of automation in 3 key industries including manufacturing will contribute more than USD 15.5 trillion to the world economy.
Upsurge in the Food and Beverages Industry – The output of India’s food processing sector is expected to be more than USD 500 billion by 2025-26.
Growing Sales of the Automotive Industry - It is estimated that the unit sales volumes of the automotive industry to be around 78 million units in 2022 worldwide.
Challenges
|
Base Year |
2023 |
|
Forecast Year |
2024-2036 |
|
CAGR |
10% |
|
Base Year Market Size (2023) |
USD 3.3 Billion |
|
Forecast Year Market Size (2036) |
USD 11.39 Billion |
|
Regional Scope |
|
Type (Quadrature Incremental Encoder, Optical Incremental Encoder, Magnetic Incremental Encoder)
The global incremental encoders market is segmented and analyzed for demand and supply by type into quadrature incremental encoder, optical incremental encoder, and magnetic incremental encoder. Amongst these segments, the quadrature incremental encoder segment is anticipated to garner the largest revenue by the end of 2031, backed by the surge in the sale of personal computers (PC) worldwide along with the growing sales of mice and trackballs for computers. For instance, it was found that more than 72 million PCs were shipped globally in the second quarter of 2022.
Our in-depth analysis of the global market includes the following segments:
|
By Type |
|
|
By Application |
|
North American Market Forecast
The North America incremental encoders market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2036, backed by the presence of a strong maritime network in the region, a growing number of jobs on ports, as well as the rising economy generated from marine transportation. For instance, as per the 2022 data, ports in the United States support over 13 million jobs, whereas ships move USD 1.5 trillion in and out of the country's ports annually. Also, also 75% of all trade involves some form of marine transportation in the United States.
TE Connectivity Corporation (TE)
TE Connectivity Corporation (TE) - introduced the KMA36 Magnetic Encoder IC, based on Anisotropic Magnetoresistive (AMR) technology.
Renishaw PLC - launched the QUANTiC encoder series for linear axes which offers exceptionally wide installation tolerances and axis speeds of up to 24 m/s.
Author Credits: Abhishek Verma
Copyright © 2024 Research Nester. All Rights Reserved
FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.
Have questions before ordering this report?