"Market Intelligence for High-Geared Performance"
The global automotive temperature sensor market size was valued at USD 2.12 billion in 2024. The market is projected to grow from USD 2.20 billion in 2025 to USD 3.22 billion by 2032, exhibiting a CAGR of 5.6% during the forecast period.
The market focuses on devices that measure and detect heat within vehicles, converting it into electrical signals for monitoring and controlling various automotive systems. These sensors are crucial for ensuring optimal performance, energy efficiency, and the longevity of motor vehicles.
Automotive temperature sensors convert thermal changes into electrical signals, which monitor and control temperature-sensitive systems such as engines, transmissions, HVAC (Heating, Ventilation, and Air Conditioning), exhaust systems, and thermal seats. Common sensor types include thermistors, Resistance Temperature Detectors (RTDs), thermocouples, IC temperature sensors, MEMS (Micro-Electro-Mechanical Systems) temperature sensors, and infrared sensors.
Autonomous vehicles rely heavily on temperature sensors for engine monitoring and cooling system activation to maintain optimal performance. The rise in autonomous vehicles is expected to significantly boost the demand for automotive temperature sensors.
The market is highly competitive, with several key players driving innovation and market growth. Continental AG, Robert Bosch GmbH, and Panasonic are some of the leading companies operating in the market.
Rising Adoption of Advance Sensors in Powertrain Management to Positively Influence Market Growth
The integration of advanced sensors in powertrain management is a key driver for market growth. These sensors are critical in optimizing vehicle performance, improving fuel efficiency, reducing emissions, and enabling advanced features in modern vehicles. Advanced temperature sensors monitor components such as engines, exhaust systems, and transmissions to ensure efficient combustion and reduce emissions. Temperature sensors are essential for managing batteries, inverters, and motors in electric and hybrid vehicles. They monitor heat levels to prevent overheating, optimize energy usage, and prolong battery life, which is crucial for electrified powertrains.
For instance, in October 2024, Honeywell announced two new solutions to enhance Electric Vehicle (EV) safety for drivers and manufacturing for gigafactories. Honeywell Process Solutions and Honeywell Sensing Solutions provides technologies that support the company’s alignment of its portfolio to three powerful megatrends, including the energy transition.
Request a Free sample to learn more about this report.
Rising Demand for Electric and Hybrid Vehicles to Augment Market Growth
The automotive industry has witnessed a significant transformation driven by the rapid adoption of Electric Vehicles (EVs). The rising demand for EVs is directly proportional to the demand for advanced and efficient automotive temperature management systems, including sensors and this development is driving automotive temperature sensor market growth.
Governments are offering tax rebates, subsidies, and other incentives to encourage the adoption of EVs, which in turn increases the demand for automotive temperature sensors. Automakers and sensor manufacturers are investing heavily in R&D to develop advanced sensors that can meet the unique requirements of EVs.
For instance, in March 2025, TDK Corporation introduced B58101A0851A000, the first in a new line of Immersion Temperature Sensors (ITS) designed specifically for EV powertrain cooling applications. This highly responsive, fully sealed NTC thermistor is engineered to provide fast and precise temperature control, e.g., for oil-cooled systems. Oil cooling is anticipated to become the dominant temperature management method in the electric drivetrain of EVs.
Integration of Multiple Functions Sensors Hamper Market Growth
One of the most significant barriers to the powertrain is the high initial costs associated with its deployment. Advancements in sensor technology have enabled the development of multi-functional sensors capable of measuring multiple parameters (e.g., temperature and pressure) simultaneously. This reduces the demand for separate temperature sensors, thereby hampering the market growth. Manufacturers prefer multi-functional sensors to reduce costs and simplify system designs, further diminishing demand for individual temperature sensors.
Increasing Demand for Improved Safety and Performance to Positively Influence Market Growth
Manufacturers are increasingly focused on improving vehicle safety and performance. Advanced temperature sensors can contribute significantly to this goal by ensuring optimal operating conditions, reducing engine wear, and enhancing HVAC efficiency. This growing emphasis on safety can drive demand for innovative sensor technologies.
For instance, in January 2024, DENSO introduced a new refrigerant management system aimed at improving energy efficiency in HVAC units for electric and hybrid vehicles. This system operates on advanced technology to optimize refrigerant use, thereby reducing environmental impact. The launch is part of DENSO's commitment to sustainability and innovation in automotive technology, particularly focusing on electric vehicles.
Growing Technological Advancement Boosted Adoption of MEMS Temperature Sensors
On the basis of product type, the market is segmented into thermistor, resistance temperature detector, thermocouple, IC temperature sensor, MEMS temperature sensor and infrared sensor.
The MEMS temperature segment captured a major automotive temperature sensor market share in 2024. MEMS temperature sensors are increasingly adopted due to their miniaturization, high precision, and ability to integrate with advanced vehicle systems such as battery management in Electric Vehicles (EVs), powertrain monitoring, and climate control systems. The shift toward electrification and autonomous driving has amplified the demand for MEMS sensors. These sensors are critical for monitoring engine temperatures, optimizing cooling systems, and ensuring the efficiency of EV batteries. This development drives the market growth.
The IC temperature sensor segment held a significant market share. The increasing penetration of electric and hybrid vehicles has significantly boosted the demand for IC temperature sensors.
Rising Focus on Safety & Comfort Fueled Passenger Car Segment Growth
Based on vehicle type, the market is divided into passenger car and commercial vehicle.
The passenger car segment dominated the market in 2024. Passenger cars represent a significant portion of global vehicle production and sales. Temperature sensors are widely used in vehicle powertrain and HVAC systems, body electronics, and alternative fuel applications. These sensors ensure compliance with stringent emission regulations and enhance safety & comfort.
For instance, in September 2023, Brose Fahrzeugteile SE & Co. introduced a high-voltage compressor for fast-charging of EVs. The core element of Brose's thermal management is the electric climate compressor. The high-voltage version is particularly economical, and its efficient power electronics enable ultra-fast charging of vehicle batteries.
The commercial vehicle segment held a significant market share. Due to economic growth and increased trade activities, the demand for commercial vehicles, such as trucks and buses, is rising. This growth in vehicle production is directly proportional to the demand for temperature sensors.
To know how our report can help streamline your business, Speak to Analyst
Powertrain Segment Leads Due to Increased Investment in EV Infrastructure.
Based on application, the market is divided into powertrain, body electronics, alternative fuel vehicles, and other applications.
The powertrain segment holds the largest market share due to its critical role in ensuring vehicle performance and compliance with stringent emission regulations. Manufacturers focus on advanced drive trains for electric vehicles which increases the demand for temperature sensors. For instance, in February 2025, the BMW Group introduced a revolutionary electric drive concept with 800V technology for the Neue Klasse. The first Neue Klasse model will go into series production later this year at Plant Debrecen in Hungary.
The body electronics segment held the significant market share in 2024. The increasing demand for comfort and convenience features drive the market growth. Consumer inclination toward enhanced comfort attributes, such as climate-controlled seating and cabin temperature control, elevate the demand for temperature sensors within body electronics systems.
The global market regions are segmented into North America, Europe, Asia Pacific, and the rest of the world.
Asia Pacific Automotive Temperature Sensor Market Size, 2024 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
Asia Pacific dominated the global market in 2024. One of the largest automotive markets globally is found in the region, which is led by China, India, Japan, and South Korea. The increasing demand for passenger and commercial vehicles directly fuels the adoption of advanced components such as temperature sensors. Asia Pacific, particularly China and India, have implemented favorable policies and incentives for automobile manufacturing. Such initiatives promote the adoption of advanced technologies, including thermal management systems and related sensors. This development is expected to drive the market growth during the forecast period.
Europe holds a substantial share of the market, driven by stringent emission regulations and a strong presence of major automotive manufacturers. The European market is witnessing a surge in the production and adoption of electric vehicles. This transition requires advanced temperature monitoring solutions for efficient battery management and thermal protection. This development increases the demand for automotive temperature sensors.
North America will grow at a steady pace during the forecast period. The increasing sales of EVs in the U.S. reflects a shift moving to sustainable transportation solutions, further boosting the need for advanced automotive temperatures that monitor critical vehicle parameters. The strong automotive manufacturing sector in the U.S., particularly in states such as Michigan and Ohio, fuel the demand for temperature sensors.
Technological Advancements in Sensors Drive Market Growth
Leading companies operating in the market include Robert Bosch., Continental AG, Robert Bosch GmbH, and Panasonic.
Technological advancements (technology advances) in sensor technology, such as the development of MEMS (Micro-Electro-Mechanical Systems) sensors, are enhancing the accuracy and reliability of automotive temperatures. These advancements are also reducing the cost of sensors, making them more accessible to a wider range of vehicles.
Continental AG is a German company that offers a wide range of automotive products and services. The company's automotive temperature portfolio includes sensors for engine management, transmission, and exhaust systems. Continental AG is known for its advanced sensor technologies and integrated solutions and has a strong presence in Europe and North America. It is a significant player in the market, with a focus on innovation and customer satisfaction.
The global automotive temperature sensor market research report analyzes the market in-depth and highlights crucial aspects such as prominent companies, market segmentation, competitive landscape, and technology adoption. Besides this, the market analysis provides insights into the market trends and highlights significant industry developments. In addition to the aspects mentioned earlier, the report encompasses several factors contributing to the market growth over recent years.
To gain extensive insights into the market, Request for Customization
ATTRIBUTE | DETAILS |
Study Period | 2019-2032 |
Base Year | 2024 |
Estimated Year | 2025 |
Forecast Period | 2025-2032 |
Historical Period | 2019-2023 |
Growth Rate | CAGR of 5.6% from 2025 to 2032 |
Unit | Value (USD Billion) |
Segmentation | By Product Type
By Vehicle Type
By Application
By Region
|
Fortune Business Insights says that the market size was USD 2.12 billion in 2024 and is anticipated to reach USD 3.22 billion by 2032.
The market will exhibit a CAGR of 5.6% over the forecast period (2025-2032).
By vehicle type, the passenger cars segment dominated the market in 2024.
Rising demand for electric and hybrid vehicles to augment market growth.
Leading companies operating in the market include Continental AG, Robert Bosch GmbH, and Panasonic.
Asia Pacific dominated the global market in 2024.
Related Reports
US +1 833 909 2966 ( Toll Free )