North America Encoder Market – Industry Trends and Forecast to 2030

North America Encoder Market Analysis and Size

The major factor which is increasing the demand of the encoder in the market is the increasing number of cars and the expanding manufacturing of automotive parts. For instance, as per the analysis OICA, around 80.14 million motor vehicles were manufactured globally in 2021. U.S. was the primary producer of automobiles and commercial vehicles in North America. This region is one of the largest regions witnessing the upsurge in acquiring advanced technologies and industrial automation that facilitate or offer services to improve effectiveness in the manufacturing sector.

Data Bridge Market Research analyses that the encoder market was valued at USD 734.99 million in 2022 and is expected to reach the value of USD 1497.07 million by 2030, at a CAGR of 9.30% during the forecast period. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

North America Encoder Market Scope and Segmentation

Market Definition

An encoder is a sensing device that offers feedback. Encoders change the movement of signal into an electrical signal that a counter, PLC, or any control device in a motion control system can read. A feedback signal from the encoder can be used to calculate position, count, speed, or direction. This data can be utilized by a control device to transmit a command for a specific task.

North America Encoder Market Dynamics

Drivers

• Growing usage of encoder in multiple application

The growing demand for volume control, temperature control, position sensing and velocity control  across numerous applications such as motors paired with automated machinery and drives in consumer electronics, industrial machines, robotics, elevators and conveyor speed monitors is anticipated to drive the growth rate of the encoder market.

• Surging demand of rotary encoders

The primary factor driving up the demand for the rotary encoders is their increasing usage in the automotive industry. These are engaged in the automobile sector for the gear positions, throttle and steering position. The employment of these rotary encoders in the aerospace sector, where they are used for automation, is another major factor which is boosting the market growth. Thus, the growing demand of rotary encoders is projected to drive the growth rate of the market.

• Increasing number of cars

The expansion of the market is highly boosted by the rising number of vehicles on the road and the augmented manufacture of car parts. Automakers gradually use encoders in car manufacture because they deliver acceleration, rotational position and real-time speed information to the automated guided automobile controller. With the prompt growth in automobile automation to improve the customer experience, automakers progressively use encoders in car production.

 Opportunities

• Growing application of encoder in industrial robotic

Industrial robotic applications would be one of the vital opportunities in the encoders market. Automation in different sectors will generate demand for robotics, ultimately generating the demand for the rotary angle sensors. Additionally, the electronic industry is also a dynamic sector where the demand for the encoder increase and many opportunities are anticipated to generate during the forecast period.

• Technological advancement

The magnetic encoder technology is rising and advancing rapidly. The market is witnessing a remarkable shift to the area of bearing-less systems, which provided the chance to mount the encoders where no solution was accessible earlier. This is owing to small mounting spaces or missing free shaft ends. The magnetic orders have magnetic scales that are created for the different and numerous lengths, several patterns, and many tracks.

Restraints

• Issues associated with the encoder market

As a result of small number of fragile parts and potential complexity, encoders face number of problems and limitations that limit their ability to withstand in the market. It would be difficult to obtain an optical encoder that could withstand at higher temperatures. The pollution might destroy or harm optical encoders. The action of oil, dust, or dirt can keep out their fine-pitch scales, photodetectors and LEDs. The mechanical fragility of encoders is perhaps one of their major drawbacks.

This encoder market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the encoder market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.

Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

COVID-19 Impact on Encoder Market

As a result of an upsurge in the number of businesses adopting security technologies during the pandemic had a favorable effect on the encoder market. Encoder technology was being used by numerous industries, most remarkably aerospace and consumer electronics, to protect and standardize data. The development of automation across various business verticals and augmented awareness of the potential advantages of hardware encryption are anticipated to experience rapid growth in the market in the post-pandemic environment.

Recent Development

• In 2021, APS contracted a national distribution agreement with Baumer Group. As a result of this partnership, the APS would have access to Baumer products such as encoder, distance measurement and identification sensors and others
• In 2021, Baumer Group established a novel bearing less encoder called EB200E. It is the major incremental bearing less encoder with IO-link on the market. This smart encoder allows for practical machine concepts that are mostly based on the efficiency of the price.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

North America Encoder Market Scope

The encoder market is segmented based on the type, product type, output, size, design, technology and end user. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Type

• Rotary
• Linear

Product Type

• Non-Contacting
• Contacting

Output

• Digital
• Analog

Design

• Hollow Shaft Encoders
• Solid Shaft Encoders

Size

• 31 mm - 70 mm
• Less than 30 mm
• 71 mm - 100 mm
• More than 100 mm

Technology

• Optical
• Magnetic
• Photoelectric

End User

• Industrial
• Automotive
• Aerospace
• Medical
• Printing
• Food and Beverage
• Oil and Gas
• Consumer Electronics
• Textile
• Others

 Encoder Market Regional Analysis/Insights

The encoder market is analyzed and market size insights and trends are provided by country type, product type, output, size, design, technology and end user as referenced above.

The countries covered in the encoder market report are report U.S., Canada and Mexico in North America.

The U.S. is dominating the North America encoder market owing to strong hold of the encoder for the high end automation. North America encoder market is increasing with strong rate due to strong demand for magnetic encoders. Mexico is also coping up in the market owing to strong penetration in the market for wide range of applications.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of Global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Encoder Market Share Analysis

The encoder market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, Global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to encoder market.

Some of the major players operating in the encoder market are:

• Rockwell Automation, Inc. (U.S.)
• Dynapar (U.S.)
• OMRON Corporation (Japan)
• Baumer (Switzerland)
• ifm electronic gmbh (Germany)
• Sensata Technologies, Inc. (U.S.)
• FAULHABER GROUP (U.S.)
• Pilz GmbH & Co. KG (Germany)
• YUEQING YUMO ELECTRIC CO.,LTD (China)
• Hans Turck GmbH & Co. KG (Germany)
• Hengstler GmbH (Germany)
• POSIC (Switzerland)
• Micronor Sensors (U.S.)
• Wachendorff Automation GmbH & Co. KG (Germany)
• Renishaw plc. (U.K.)
• HEIDENHAIN (Germany)
• Celera Motion (U.S.)
• maxon. (Switzerland)
• HONTKO CO., LTD. (Taiwan)
• FRABA B.V. (Netherlands)
• Pepperl+Fuchs (Germany)
• SIKO GmbH (Germany)

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