Temperature sensor market is anticipated to grow at a CAGR of 5.8% during the forecast period (2024-2031). The global temperature sensor market is driven by the rising demand for temperature sensors in end-user industries such as healthcare, oil & gas, and food & beverage among others. Further, technological advancements in temperature sensing, such as multi-parameter temperature sensing, IoT-enabled sensors, and integration in consumer electronics, have increased the application scope for the product. 

Market Dynamics  

Growing Application of Temperature Sensors across Industries

The rising need to monitor perishable goods such as food, beverages, and pharmaceuticals in manufacturing units has driven the demand for temperature sensors in the food industry. In the automobile industry, temperature sensors are used to transmit and notify heat levels for automotive systems. Temperature sensors are used to maintain optimum temperatures in commercial and residential buildings, maintain worker safety in oil mining sites, and monitor temperature for chemical reactions in the chemical industry among others, creating scope for the growth of the product. To meet the increasing demand for temperature sensors across industries key players are launching new sensors. For instance, in September 2023, E+E Elektronik introduced the HTS801, a powerful humidity and temperature sensor for industrial applications on the market. The HTS801 sensing probes include a premium, heatable sensing element for accurate measurements, ensuring long-term stability even in the most complex environments. 

Increasing Adoption in Cold Chain Logistics

The temperature sensor market is expanding owing to the increasing use of cold chain logistics, particularly in pharmaceuticals and the food and beverage industry, to preserve food, crops, and medicine for longer periods while reducing the use of preservatives and processing during the transportation of goods. Additionally, the industry is bound by regulatory frameworks to maintain product quality, which is accomplished using cold chain products, such as sensor-integrated vaccine containers to get remote access to temperature data and manage temperature from remote locations to optimize cost, energy, and product quality. In September 2022, CubeWorks, a startup business accelerating the future of IoT with innovative smart sensing solutions, unveiled the next-generation visibility solution for cold chain logistics, CubiSens XT1. The XT1 is the first temperature tracker of its kind, allowing for product-level monitoring of biopharma goods to ensure temperature compliance and quality during their full lifecycle. Such product development for application in cold chain logistics is further driving the global market growth.

Segmental Outlook 

• Based on product type, the market is segmented into contact temperature sensors (thermocouples, resistive temperature detectors, thermistors, temperature sensor ICs, and bimetallic temperature sensors), and non-contact temperature sensors (infrared temperature sensors, and fiber optic temperature sensors).

• Based on connectivity, the market is segmented into wired, and wireless.

• Based on end-user, the market is segmented into chemicals, oil & gas, consumer electronics, energy & power, healthcare, automotive, food & beverages, and aerospace & defense.

Wireless Temperature Sensor is the Most Prominent Temperature Sensor  

The development of wireless temperature sensors has transformed the temperature sensor industry by expanding its application in high-risk industries such as oil and gas, defense, and chemical among others. The wireless connectivity allows end-users to monitor and collect temperature data without risk. Furthermore, the connectivity type has enabled temperature monitoring in logistics and remote locations, broadening the scope of temperature sensing via integration with IoT devices, containers, and smart devices, among other things, resulting in high demand for the connectivity type. 

Oil & Gas Industry Dominates Based on End–User Industry 

The oil & gas industry dominates the end-user industry owing to harsh working environments, safety requirements for workers, and increasing demand for temperature-sensing solutions in various applications. In November 2022, Downhole SolutionsTM, manufacturers of the OuraTM Intelligent Electric Valve and other high-performance downhole instrumentation devices, announced the first technical cooperation with distributed optical sensing experts, AP Sensing. The FBG BarcodeTM is the latest generation of distributed temperature sensing (DTS), specifically suited for tough environments like oil and gas applications. Such developments are further aiding the growth of this market segment.

Regional Outlook 

The global temperature sensor market is further segmented based on geography including North America (the US, and Canada), Europe (the UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).  

Asia-Pacific is the Fastest Growing Temperature Sensor Market

• The regional growth is attributed to increasing manufacturing capacities and investment in integrating temperature sensing technology into industrial units requiring temperature monitoring and management solutions. 

• Asia-Pacific is also one of the biggest exporters of pharmaceutical and food and beverage products globally, creating scope for investment in temperature sensing technology to strengthen cold chain storage and logistics. For instance, as per India Brand Equity Foundation, Indian manufacturing exports have registered the highest-ever annual exports of $447.4 billion, with 6.0% growth during 2022, surpassing the previous year's (2021) exports of $422.0 billion. Also, it is estimated to add more than $500.0 billion annually to the global economy by 2030.

Global Temperature Sensor Market Growth by Region 2024-2031

North America Holds Substantial Market in Temperature Sensor Market

North America is projected to dominate the temperature sensor market owing to increasing demand for temperature sensors from the healthcare and chemical sectors. The increasing investment in cold chain infrastructure, growing consumption of automotive and consumer electronics, and the presence of major sensor manufacturers such as ABB, Honeywell, and analog devices among others are also driving the regional market growth. For instance, in February 2022, the United States Agency for International Development (USAID) announced two new collaborations with private companies to invest in Cambodia's cold chain, agricultural storage capacity, and logistical infrastructure. These collaborations will boost the country's economic competitiveness and inclusiveness by closing supply chain gaps in the agricultural sector.

Market Players Outlook 

 *Note: Major Players Sorted in No Particular Order. 

The major companies serving the global temperature sensor market include ABB Group, Analog Devices, Inc., Honeywell International Inc., Robert Bosch GmbH., and STMicroelectronics N.V. among others. The market players are focusing on capitalizing on growth by adopting strategies such as collaboration, partnerships, and market expansion among others. For instance, in March 2023, TWTG and Thermo-Electra partnered to provide wireless temperature measurement solutions. The agreement will benefit both organizations by leveraging one another's strengths to create new business opportunities and improve client services. Customers will benefit from customized tooling and enhanced operational safety and efficiency, thanks to the greater accessibility of wireless temperature sensors.

The Report Covers 

• Market value data analysis of 2023 and forecast to 2031. 
• Annualized market revenues ($ million) for each market segment. 
• Country-wise analysis of major geographical regions. 
• Key companies operating in the global temperature sensor market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report. 
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future. 
• Analysis of market-entry and market expansion strategies. 
• Competitive strategies by identifying ‘who-stands-where’ in the market.