The Increasing Demand For Automation Fueling The Growth Of The Market: Key Driver Transforming The Linear Encoder Market
The Business Research Company
The Business Research Company’s Linear Encoder Global Market Report 2025 – Market Size, Trends, And Forecast 2025-2034
LONDON, GREATER LONDON, UNITED KINGDOM, May 27, 2025 /EINPresswire.com/ -- The linear encoder market has been expanding rapidly in recent years. It is projected to grow from $1.03 billion in 2024 to $1.14 billion in 2025, exhibiting a compound annual growth rate CAGR of 10.1%. The growth observed during the historical period can be attributed to factors such as the widespread expansion of industrial automation, a boom in semiconductor and electronics manufacturing, the upsurge of smart factories, high demand in machine tools, as well as growth in the print and packaging industry.
Why is the Linear Encoder Market Size Expected to See Strong Growth in the Next Few Years?
The linear encoder market is anticipated to experience robust growth in the forthcoming years. Expectations are it will surge to $1.66 billion in 2029, manifesting a CAGR of 9.9%. The growth during the forecast period can be traced to the proliferating adoption of smart sensors, the blossoming of the renewable energy sector, the expansion of additive manufacturing, the increase in semiconductor manufacturing, and the expansion of the automotive sector. Moreover, major trends in the forecast period comprising advancement in non-contact sensing technologies, integration with industry 4.0 and IoT, miniaturization and compact designs, smart encoders with advanced diagnostics, and enhanced environmental resistance are set to shape the industry landscape in the years to come.
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What is The Primary Growth Driver of the Linear Encoder Market?
The mounting demand for automation is anticipated to be a key force propelling the linear encoder market forward. Automation is the use of technology to execute tasks with minimal or no human intervention. The escalating demand for automation is driven by the need to bolster efficiency, as companies strive to mitigate manual errors, reduce operational costs, and hasten processes to stay afloat in fast-paced markets. Linear encoders bolster automation by providing precise and real-time position feedback, enabling accurate control of motion systems, enhancing the efficiency, reliability, and repeatability of automated processes across a variety of industrial applications. For example, in September 2024, according to the International Federation of Robotics IFR, a Germany-based global organization, in 2023, the global number of operational robots in factories surged to 4,281,585, marking a 10% growth compared to 3,904,000 in 2022.
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Who are the Major Players in the Linear Encoder Market?
Prominent companies operating in the linear encoder market include Nidec Corporation, Heidenhain GmbH, Renishaw plc, Baumer Group, Omron Corporation, Kübler Group, Celera Motion Inc., Encoder Products Company, Leine & Linde AB, POSIC SA, RSF Elektronik GmbH, Advanced Micro Controls Inc., Velmex Inc., Magnescale Co. Ltd., GIVI MISURE S.R.L., PWB Encoders, LG Motion Ltd., ELGO Electronic GmbH & Co. KG, Sichuan Aikron Precision Tool Co. Ltd., and YiiDRO.
How are Key Players Shaping the Latest Linear Encoder Market Trends?
Major companies operating in the linear encoder market are focusing on high-precision, non-contact measurement solutions such as contactless linear encoder, to enhance reliability, reduce maintenance needs, and support advanced automation across diverse industrial applications. A contactless linear encoder is a position-sensing device that measures linear movement without physical contact between the sensor and the moving part, reducing wear and increasing reliability.
What is the Linear Encoder Market Segmentation?
The main types of linear encoders are incremental linear encoders and absolute linear encoders. Incremental linear encoders are position sensors that generate signals as a scale moves relative to a sensor head, providing information on distance and direction of motion without indicating absolute position. They are used in applications such as machine tools, measuring instruments, motion systems, elevators, and more. Key end-users include sectors such as medical, printing, semiconductor, and industrial, among others.
What are the Regional Insights into the Linear Encoder Market?
North America was the largest region in the linear encoder market in 2024. In contrast, Asia-Pacific is expected to be the fastest-growing region in the forecast period. The analysis encompasses the regions of Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.
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