Magnetic Sensors Market Growth Analysis Report & Forecast-2030

The magnetic sensors market is expected to grow from US$ 5.2 billion in 2022 to US$ 9.2 billion by 2030; it is estimated to grow at a CAGR of 7.40% from 2022 to 2030.

Analyst Perspective:

The market has witnessed significant growth in recent years, driven by rising automotive industries, growing government initiatives for the adoption of electric vehicles, and a rise in the demand for consumer electronics. Based on geography, APAC is expected to be the fastest-growing region during the forecasted period. APAC region is one of the fastest growing economies, rapidly adopting magnetic sensors due to their low cost and ruggedness. China and Japan led the market. India and China, with a huge population, generate the demand for magnetic sensors due to the rise in demand for consumer electronics. The ability of magnetic sensors to detect current and angular positions generates demand for various sensing applications in end-user industries such as automotive, industrial, healthcare, and others, further fostering the APAC market growth.

Due to the mounting demand in the automotive sector, the magnetic sensors market is projected to exhibit a robust growth rate throughout the forecast period. Magnetic sensor manufacturers are constantly engaged to provide efficient devices that can be integrated across the automotive industry. For example, in September 2022, ALPS ALPINE CO. LTD unveiled two new products to its product portfolio to support the ongoing electrification of vehicles. These high-precision and high-output magnetic angle sensors were built for automotive applications such as steering angle detection and electronic shifters automotive motors. Thus, magnetic sensor devices for contactless operations and enhanced angular speed and rotation angle measurements drive its demand in the automotive industry. In addition, the increasing investment and R&D activities for developing advanced sensory devices by the manufacturers are one of the prominent factors fueling the market. The manufacturers are focused on building sensors that can be incorporated into the devices with features such as speed, motion detection, and proximity to cater to the automotive industry's demand, propelling the demand for magnetic sensors.

Technological advancements play a fundamental role in the growth of the market. The adoption of magnetic sensors to develop advanced sensing devices for electronic control systems in various end-user verticals is driving the demand for magnetic sensors. These systems guarantee enhanced safety, resulting from which magnetic sensors' adoption has observed a huge surge. The advanced sensing elements ensure high reliability and efficiency, enhancing electronic systems' performance in various end-user industries and fostering the market.

Market Overview:

Magnetic sensors are the devices used to detect speed, distance, rotation, position, and angle by converting magnetic data into electrical signals. Electrical circuits process the converted signals. Magnetic sensors became prevalent and used in various applications because of their easy operation and enhanced vibrations, water, and dust tolerance. These are high-frequency magnetic sensors, and the electric resistance and the external load can limit the frequency usage. The built-in magnetic sensors identify iron and create a digital or analog output signal. Hall switches, reed switches, and other magnetic sensors sense the magnetic field of a magnet or electric coil.

Magnetic sensors are widely used in various industries such as aerospace, automotive, electronics, medical devices, and others, driving the market. High penetration of advanced, feature-rich smartphones and tablets has augmented the need for advanced sensing components estimated to impact the magnetic sensors market over the forecasted period positively.

With introducing the Industry 4.0 concept in manufacturing facilities, adopting automation for mass customizations is vital in large-scale production in a shorter time. The use of advanced machinery to reduce the downtime of the production process and provide accurate results is propelling the demand for magnetic sensors and fueling the market size.

Strategic Insights

Market Driver:

Growth in consumer electronics to Drive Growth of market

The magnetic sensors market growth is directly associated with the growth of the electronic industry. Growing urbanization and rising disposable income worldwide contribute to the consumer electronics market growth. For instance, according to the US Bureau of Economic Analysis, disposable personal income (DPI) in the US increased by 0.5% in February 2023 compared to January 2023. The growth in an individual’s disposable income increases the standard of living and contributes to the strong purchasing power of consumer electronics such as smartphones, refrigerators, and microwaves. This factor propels the country's electronic industry, further driving the market for advanced sensing applications.

Moreover, the rise in government initiatives to boost domestic production output is crucial in driving the electronic industry. According to the Ministry of Electronics & IT in March 2023, the Indian electronics manufacturing industry is expected to reach US$ 300 billion by 2025–2026. Under the National Policy on Electronics 2019 (NPE 2019), special schemes are introduced for large-scale electronics manufacturing. The" Production Linked Incentive Scheme (PLI) for Largescale Electronics Manufacturing," introduced in April 2020, provides a 4–6% incentive to eligible electronic manufacturing companies over their incremental sales year-on-year. In addition, the" Modified Electronics Manufacturing Clusters (EMC 2.0) Scheme" was introduced in April 2020 to provide financial assistance and support to companies planning to open manufacturing facilities in the country. Such initiatives by the government attract global electronic manufacturers to set up units in the country, which leads to increased electronic production and the launch of advanced manufacturing facilities, driving the demand for magnetic sensors. The magnetic sensors are used in consumer electronics such as exercise equipment, household appliances, digital cameras, and others further fuels the market size.

Segmental Analysis:

Based on end-user, the market is segmented into RF FEM, transportation, consumer electronics, healthcare, aerospace and defense, industrial, BFSI, and others. The transportation segment held the largest market share in 2022 and is anticipated to register the highest CAGR in the market during the forecast period. Magnetic sensors are widely used in vehicles for ground transportation, providing a precise and reliable way to guarantee the smooth and safe operation of the vehicle system. The magnetic sensors for vehicles also help to detect the presence and movement of vehicles on roadways or in parking space. The wide application of these sensors for traffic signal control, traffic data collection, toll collection, and parking management drives the market. The growing demand for automobiles from consumers further fuels the market growth.

Regional Analysis:

The Europe magnetic sensors market was valued at US$ XX billion in 2022 and is projected to reach US$ XX billion by 2030; it is expected to grow at a CAGR of XX% during the forecast period. Europe's magnetic sensors market consists of Germany, Italy, France, the UK, Russia, and the Rest of Europe. The demand for magnetic sensors in Europe is growing due to the rise in the electronic industry of Europe. The demand for consumer electronics such as mobile, laptops, televisions, refrigerators, and more is increasing due to the purchasing power of consumers. For example, according to the Office of National Statistics, in January 2023, the UK’s median household disposable income grew by an average of 0.7% per year between 2020-2022. Increased disposable income is directly associated with the consumers' purchasing power. Thus, increasing consumer buying power over the years is anticipated to fuel the market for the newly developed advanced consumer electronics.

Europe has established itself as one of the dominant markets with a substantial market share. Several factors have contributed to Europe's strong position in this market. Firstly, Europe has been at the forefront of developing advanced technologies. As magnetic sensors are known for their capabilities to convert the change/ magnitude of a magnetic field into an electrical signal, they are widely adopted for various advanced sensing applications. Moreover, the government supports its use in space applications. For example, in August 2021, winners in the European Space Agency (ESA) competition “Orbit Your Thesis!” a team of students developed OSCAR-QUBE, a 10x10x10cm3 container equipped with a miniaturized quantum magnetic-field sensor to be launched into space. This product will be used for various experiments on the International Space Station (ISS).

Thus, usage in various European applications propels the market share of Europe's magnetic sensors.

Key Player Analysis:

The market analysis consists of players such as Asahi Kasei Microdevices Corporation, Silicon Austria Labs GmbH, Honeywell International Inc., Infineon Technologies AG, KOHSHIN ELECTRIC CORPORATION, Melexis, Murata Manufacturing Co. Ltd, Sensitec GmbH,  Sensoronix, and TE Connectivity are the top two players owing to the diversified product portfolio offered.

Recent Developments: 

Inorganic and organic strategies such as mergers and acquisitions are highly adopted by companies in the market. A few recent key market developments are listed below: 

• In July 2022, TDK Corporation launched TAS4240, a small redundant analog tunnel-magnetoresistance (TMR) angle sensor for automotive and industrial applications. The product was designed to provide high stability over magnetic field range, temperature, and lifetime. It provides accurate and redundant rotor position measurement to enhance the safety in applications such as power steering motors, brake boosters, or traction motors.
• In November 2022, MultiDimension Technology Co., Ltd. (MDT), a leading provider of magnetic sensors, announced the full volume production of anisotropic magnetoresistance (AMR) magnetic sensors at Electronica and Electronica South China. The company’s AMR sensor portfolio consists of AMR angle sensors, AMR linear sensors, AMR magnetic scale sensors, and AMR switch sensors.
• In December 2022, Melexis launched the new MLX90376, an absolute magnetic position sensor IC, handling 360° rotary automotive applications with strong stray field immunity (SFI). Its dual-stacked die PCB-less version is unique to the market. The device supports system integration up to ASIL D level functional safety, offering state-of-the-art sensing for steering and valve applications. The blend of robustness and performance it offers will be of value for vehicle electrification.

Download Free Sample

   Buy Now   

• Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.

REGIONAL FRAMEWORK MARKET PLAYERS

Download Free Sample

   Buy Now   

• Sample PDF showcases the content structure and the nature of the information with qualitative and quantitative analysis.