Asia Pacific Industrial Sensor Market size surpassed USD 10 billion in 2019 and is anticipated to register a growth rate of 7.5% between 2020 to 2026. The industry growth is driven by rising shift toward Industry 4.0 with advanced technologies, such as IoT and AI, and developments in machine learning algorithms in markets such as China, Singapore, and Japan.
Smart sensors in the manufacturing sector maximize operational efficiency, effectiveness, and reliability of devices. Various sensors such as gas, image, proximity, and others in combination with technologies, such as IoT & AI, transform the manufacturing plants into connected, reliable, and cost-effective facilities. The growing manufacturing sector in the region will also drive the demand for sensors to enhance processing and data communication.
Companies are integrating smart & wireless compact sensors for collecting information related to production and the supply chain. For instance, in September 2019, Hitachi launched Lambada manufacturing, which is an IoT-enabled sensor, enhancing the manufacturing process by providing desired quality.
The pressure sensor segment is estimated to witness over 6% CAGR through 2026 owing to increasing adoption in various industries, such as chemical, oil & gas, manufacturing, energy, and others, and high performance & reliability in harsh environments. These sensors are widely used in HVAC systems to precisely measure pressure in the system and distribute air & measure airflow efficiently. They optimize the airflow, cooling, and heating of the premises by integrating into HVAC systems. Furthermore, these sensors reduce energy consumption and enhance the monitoring of pressure while reducing the risks of device or machine failure, increasing operational efficiency and accelerating market growth.
Japan industrial sensor market is predicted to register a growth of around 6.5% till 2026 due to the increase in the implementation of automated technology in the regional industrial sector. According to the research of UNIDO, Japan has been ranked as the second highest market for using industrial robots.
Furthermore, the rise in inclination toward the implementation of smart devices and systems equipped with various sensors, such as gas, temperature, and level, in manufacturing and production plants for remote sensing and monitoring of the data will boost the market demand. For instance, in December 2019, under the strategy for smart grid, the nation implemented around 20 million smart meters in industries. Also, the government of the country is continuously focusing on implementing industrial automation by introducing various initiatives. For instance, in June 2019, the Prime Minister of the country announced to launch 20 start-ups catering to robotics, artificial intelligence, and other technologies, driving the industrial automation sector in the country.
Major players operating in the Asia Pacific industrial sensor industry are Nanjing KJT Electric Co., Ltd., Figaro Engineering, Inc., Nengshi Analytical Sensor Co., Ltd., Bluefin Sensor Technologies Limited, Custom Sensors & Technologies, and Omron Corporation, among others.
The players in the region have been acquiring and partnering with various sensor manufacturing and technology companies to expand their regional presence. For instance, in December 2020, CTS Corporation acquired Sensor Scientific, Inc., a manufacturer of high-quality temperature sensors and thermistors. This strategic acquisition will help CTS to expand its temperature sensing product portfolio for the healthcare & medical industry. In July 2020, Custom Sensors & Technologies merged with Sensata technologies Inc. The merger will help the company to extend its sensor products in aerospace and defense and equipment manufacturing sectors, for applications such as remote sensing, meteorology, and space sciences, among others.