Global Rotary Encoder Market (2020 to 2025) - Integration of Position Sensors in Automobiles is Driving the Industry - ResearchAndMarkets.com

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The "Rotary Encoder Market - Forecast (2020 - 2025)" report has been added to ResearchAndMarkets.com's offering.

The market for Rotary Encoder is forecast to reach $1,101.08 million by 2025, growing at a CAGR of 4.7% from 2020 to 2025.

Rotary encoders are mostly used to monitor the motor shaft path on permanent magnet motors, which are often used in robots, CNC machines and various industrial applications. Developments in computing power and networking technologies have made installing and maintaining robots cost-efficient and faster. Such factors and their impact on the growth of the robotics industry inturn contributing to the growth of rotary encoder market.

Key Takeaways

  • APAC dominated the rotary encoders market with a share of approximately 37% in 2019, owning to growth in construction projects, automotive production and government initiatives such as "Made in China" and "Make in India" programs in the region.

  • Manufacturing industry is analysed to hold highest share in 2019 owing to the high adoption of various automation systems and robots for efficient make production and distribution easy and efficient.

  • Increasing adoption of industrial automation is analysed to be a key driving factor for the rotary encoder market.

Application - Segment Analysis

Machine tools application held the largest share in the Rotary Encoder market in 2019 and is anticipated to grow at a CAGR of 5.48% through the forecast period. Rotary encoders are used for exact sensing and positioning in the machine tool applications. A machine can locate the exact orientation of the axis and the commutation angle. As a result, the rotary encoders enable machines to achieve optimum performance and improve system accuracy. Thus, owning to these factors it is extensively used in this application. The robotics segment is analysed to grow at significant rate owing to the high adoption rate and increasing demand. As stated by International Federation of Robotics (IFR), from 2020 to 2022, around 2 million units of industrial robots are anticipated to be installed in factories around the world. These factors are set to boost the demand for rotary encoders owing to their high deployment in robots.

End user- Segment Analysis

Manufacturing industry held the largest share in the rotary encoders market in 2019 and is growing at a CAGR of 4.99% during the forecast period. Manufacturing applications have encoders that are constantly subject to humidity, dust, or liquid. Encoder housings that resist chemical and corrosive materials are suitable for use in manufacturing. They require stainless steel housings and temperature resistance. Production lines require encoders for their machinery to deliver accuracy, reliability, compactness and compatibility with various upgraded machines. Adding to this, the significant deployment of rotary encoders in the automotive sector for speed control applications is set to further escalate the market growth rate. The significant rise in the expansions is set to boost the market growth rate. In January 2020, Toyota has announced to invest $700M in the expansion of its production plant in US. In September 2019, Toyota Motor Corporation has announced to expand its facility in Brazil with an investment of $190M to increase the production.

Geography - Segment Analysis

In 2018, APAC dominated the Rotary Encoder market, followed by North America and Europe. The economy of APAC is majorly influenced by the major countries such as China and India. In 2018, China's annual vehicle production accounted for more than 30 percent of the world's vehicle production, which exceeds that of the European Union, or the United States and Japan combined. India's food & grocery market is the sixth biggest in the country. Food & Grocery retail in India also accounts for nearly 65% of India's total retail market. The Government of India is also taking all necessary measures through the Ministry of Food Processing Industries (MoFPI), to raise investment in the food processing industry. The Government has approved 39 Mega Food Parks (MFPs) under the Mega Food Park Scheme. Therefore the significant deployment of the rotary encoders in the packaging applications is set to impact on the market growth rate during the forecast period 2020-2025.

Key Topics Covered:

1. Rotary encoder Market - Overview

2. Executive Summary

3. Rotary encoder Market Landscape

3.1. Market Share Analysis

3.2. Comparative Analysis

3.3. Product Benchmarking

3.4. End User Profiling

3.5. Top 5 Financials Analysis

4. Rotary encoder Market- Forces

4.1. Drivers

4.1.1. Growing Trend of Industrial Automation to Drive the Demand for Position Sensors

4.1.2. Integration of Position Sensors in Automobiles

4.2. Restraints

4.3. Opportunities

4.4. Challenges

4.5. Porter's Five Forces Analysis

5. Rotary encoder Market- Strategic Analysis

5.1. Value Chain Analysis

5.2. Pricing Analysis

5.3. Opportunities Analysis

5.4. Product/Market Life Cycle Analysis

5.5. Suppliers and Distributors

6. Rotary encoder Market, By Type

6.1. Optical

6.2. Magnetic

6.3. Mechanical

6.4. Capacitive

7. Rotary encoder Market, By Application

7.1. Test equipment

7.2. Material handling

7.3. Machine tools

7.4. Motion systems

7.5. Robotics

8. Rotary encoder Market, By Industry

8.1. Automotive

8.2. Aerospace

8.3. Electronics

8.4. Healthcare

8.5. Manufacturing

8.6. Packaging

8.7. Others

9. Rotary encoder Market, By Geography

9.1. Europe

9.2. Asia Pacific

9.3. North America

9.4. Rest of the World (RoW)

10. Rotary encoder Market - Entropy

10.1. Expansion

10.2. Technological Developments

10.3. Merger & Acquisitions, and Joint Ventures

10.4. Supply- Contract

11. Company Profiles

11.1. AMS AG

11.2. Honeywell International Inc

11.3. MTS Systems Corporation

11.4. Renishaw PLC.

11.5. TE Connectivity Ltd.

11.6. Vishay Intertechnology, Inc.

11.7. Allegro Microsystems, LLC

11.8. Bourns Inc.

11.9. Dr. Johannes Heidenhain GmbH

11.10. Hans Turck GmbH Co. Kg

11.11. Novotechnik Messwertaufnehmer OHG

12. Appendix

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