US Chemical Sensor Demand to Exceed $6 Billion in 2014

US demand for chemical sensors is projected to grow 8.9 percent per year to $6.1 billion in 2014.  Biosensors will continue to be the largest type of chemical sensor, as the increasing number of diagnosed diabetics boosts demand for glucose test strips.  Overall growth will be supported by recovery in automobile manufacturing and process industries; by technological advances that allow for price reduction and greater precision, which will expand the use of chemical sensors into new markets; and by new applications within existing markets.  Demand for chemical sensors based on emerging technologies, such as optical sensors, will see fast gains.  Although the largest end use will remain the medical market, growth will be strong in all chemical sensor outlets, which also include industrial and environmental monitoring applications. These and other trends, including market share and product segmentation, are presented in Chemical Sensors, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.

Through 2014, electrochemical sensors are expected to see the fastest growth, with demand reflecting recovery in manufacturing -- particularly new motor vehicle production -- following the significant downturn beginning in late 2007.  Optical sensors, including products based on infrared, fiber optic, photoionization, fluorescence, chemiluminescence, light-emitting diode, laser and ultraviolet technologies, will also see substantial gains.  Optical sensors will continue to benefit from their high sensitivity, stability, immunity to interference, and product improvements such as smaller size and enhanced ruggedness.  Biosensors are expected to provide good opportunities as well.  Sales will be boosted by the increasing prevalence of diabetes in the population and by growing demand for home and point-of-care testing and monitoring tools. 

The large automotive sensor market will post favorable growth due to a rebound in motor vehicle production.   In addition, the development of lower-cost, more durable and higher-performance chemical sensors will drive demand in other markets such as process industries, water and wastewater monitoring, and homeland security.  Demand in the process industries will also benefit from increasing regulation of food quality prior to distribution.  In the medical market, demand for blood glucose test strips will reach $3.9 billion in 2014.  Fierce competition among suppliers will put downward pressure on prices as manufacturers strive to capture or maintain market share. 

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.