The position sensor market is expected to grow at a CAGR of 7.7% during 2019–2024, owing to the expanding packaging industry and soaring focus of the manufacturing sector on more thorough inspections and accurate measurements. Additionally, the booming demand for position sensors from the aerospace and automotive industries will help the market revenue to surge from $9.1 billion in 2018 to $14.2 billion by 2024.

Currently, the increasing use of smart position sensors, due to the non-contact-sensing nature and better control of motion reflected by these instruments, is becoming a key market trend. Besides, the soaring automobile production in Thailand, China, and Indonesia will also complement the market growth in the future. The International Organization of Motor Vehicle Manufacturers (OICA) reveals that 25,225,242 units, 691,286 units, and 1,427,074 units of motor vehicles will be manufactured in China, Indonesia, and Thailand, respectively, in 2020.

Automakers use position sensors in clutch plates, pedal positioning systems, and steering angle sensing systems. Additionally, these instruments are also being integrated into hybrid engines and parking assistance systems of vehicles. Another prominent growth driver of the position sensor market is the flourishing packaging sector, especially in developing countries such as India and China.

The progress of the packaging sector can be attributed to the expanding food and pharmaceutical packaging industries and increasing export sector. The packaging industry uses such instruments in packaging machines to meet the superior packaging standards of the international markets. Moreover, the booming plastic packaging industry in India will also catalyze the market growth in coming years.

Thus, the advancing packaging industry and mounting automobile production will supplement the market growth during the forecast period.