|
Forecast Period
|
2026-2030
|
|
Market Size (2024)
|
USD 268.52 Million
|
|
CAGR (2025-2030)
|
4.8%
|
|
Fastest Growing
Segment
|
Commercial Vehicles
|
|
Largest Market
|
North Vietnam
|
|
Market Size (2030)
|
USD 355.75 Million
|
Market Overview
Vietnam automotive temperature sensor
market was valued at USD 268.52 Million in 2024
and is expected to reach USD 355.75 Million by 2030 with a CAGR of 4.8% during the forecast period. The steady expansion is
driven by Vietnam’s growing automotive production capabilities, government
incentives promoting electric vehicle (EV) adoption, and the increasing
integration of advanced thermal management systems. The growth of Vietnam's
middle-class population, coupled with urbanization, has resulted in a surge in
passenger and commercial vehicle sales. As vehicle electronics become more
sophisticated, so does the requirement for accurate and reliable temperature
monitoring, particularly for engine management, HVAC systems, and EV
components.
Additionally, Vietnam’s increasing participation in global
automotive supply chains has attracted investments from foreign automotive and
sensor component manufacturers, further fueling market expansion. The
integration of temperature sensors with connected systems (IoT) for real-time
diagnostics and preventive maintenance is gaining momentum. Furthermore,
stricter emission norms and fuel efficiency regulations are prompting OEMs to
deploy advanced thermal sensors in combustion engines and exhaust systems.
While contact-based temperature sensors remain prevalent, non-contact infrared
sensors are witnessing growing demand, especially in electric and hybrid
vehicles. The rise of EV manufacturing in Vietnam, led by local players like
VinFast and foreign investments, is a key trend boosting sensor requirements in
battery management systems and electric motors.
However, the market still faces
some bottlenecks such as limited domestic production of sensor technology, dependency
on imports, and skill shortages in advanced automotive electronics.
Nevertheless, strategic collaborations, supportive industrial policies, and
rising exports of Vietnamese-made vehicles are anticipated to enhance the role
of sensors in future automotive designs.
Key Market Drivers
Growth in Electric Vehicle (EV) Manufacturing and
Adoption
The Vietnamese government's push toward greener
mobility is accelerating the adoption of electric vehicles, which in turn fuels
the demand for advanced temperature sensors. EVs require multiple
high-precision sensors to monitor battery packs, electric motors, power
electronics, and cabin temperatures. Local automaker VinFast is a major
catalyst, with its aggressive EV expansion strategy that includes both domestic
rollout and global exports. As per the Vietnam Automobile Manufacturers’
Association (VAMA), EV registrations surged over 45% year-on-year in 2024, and
are expected to exceed 150,000 units by 2030, which directly corresponds to
a heightened demand for IC, MEMS, and infrared temperature sensors. Battery
management systems (BMS) in EVs are highly reliant on temperature sensors for
safety and performance. This makes temperature sensors not just a functional
component, but a critical safety and energy-efficiency enabler.
Stringent Emission Regulations and Efficiency Norms
Vietnam is gradually aligning its automotive emission
standards with international norms. The country currently adheres to Euro 4 for
new vehicles and is preparing for Euro 5 by 2027. Such tightening of emission
norms is driving OEMs to install advanced thermal sensors in engine and exhaust
systems to ensure precise combustion control and emissions monitoring.
Temperature sensors such as thermistors and RTDs help optimize engine
performance and reduce fuel consumption. The government’s initiative to reduce the
average carbon emissions per vehicle by 20% by 2030 further solidifies the need
for such sensors. Additionally, with rising fuel prices and consumer awareness,
fuel-efficient vehicles with smart thermal management systems are in greater
demand, which drives adoption of temperature sensors across gasoline, diesel,
and hybrid models.
Advancements in Automotive Electronics and Smart
Features
The automotive sector in Vietnam is experiencing a
digital transformation, with more vehicles equipped with advanced
driver-assistance systems (ADAS), infotainment, and smart HVAC features. These
electronic subsystems require compact, high-accuracy sensors for effective
functioning. MEMS-based and IC temperature sensors are witnessing higher demand
due to their compact design, real-time response, and ability to integrate with
electronic control units (ECUs). In 2024, over 60% of passenger cars sold in
Vietnam included at least one advanced driver assistance or comfort-enhancing
feature which relied on multiple thermal sensors. As vehicles become
increasingly autonomous and connected, the number of sensors per vehicle is
expected to double by 2030, leading to exponential growth in sensor integration
and market value.
Download Free Sample Report
Key Market Challenges
High Dependence on Imported Sensor Technologies
Vietnam's domestic automotive sensor manufacturing
capacity remains limited. Most advanced temperature sensors, particularly MEMS
and IC-based designs, are imported from countries like Japan, South Korea, and
Germany. This leads to higher production costs, import tariffs, and longer
supply chains. The lack of in-house design and fabrication infrastructure for
automotive-grade sensors creates vulnerability to global supply disruptions.
For instance, the global semiconductor shortage of 2021–2023 impacted Vietnamese
vehicle production significantly due to the scarcity of temperature and
pressure sensors. Without strong domestic players or joint ventures in sensor
R&D and production, Vietnam may face challenges in keeping up with future
demand and innovations.
Shortage of Skilled Workforce in Automotive
Electronics
Vietnam’s labor force is large but lacks deep
specialization in automotive electronics and embedded systems. Temperature
sensor integration, calibration, and diagnostics require specialized skills
which are currently in short supply. According to Vietnam’s Ministry of
Labor, there is a 30% talent gap in automotive software and sensor-related
disciplines. This shortage affects OEMs and tier-1 suppliers' ability to
scale up operations or integrate more complex sensor networks into vehicles.
Without strategic interventions such as training programs and academic
partnerships, this challenge could stall innovation and product localization
efforts.
Price Sensitivity in the Entry-Level Vehicle Segment
A large portion of Vietnam’s vehicle market consists
of low-cost passenger cars and two-wheelers where manufacturers are highly
cost-conscious. Integration of advanced temperature sensors, especially
infrared and MEMS sensors, significantly raises the bill of materials (BOM).
Entry-level segment manufacturers often compromise on sensor accuracy or opt
for less reliable thermistors to maintain competitive pricing. While premium
models do integrate multiple high-end sensors, their market share remains limited.
This creates an uneven adoption pattern, where high-volume vehicles lack
comprehensive thermal management due to pricing pressures, thereby constraining
overall market growth.
Key Market Trends
Integration of Temperature Sensors in Battery Thermal
Management Systems (BTMS)
One of the most significant trends is the increasing
use of temperature sensors in battery thermal management for EVs and hybrids.
Lithium-ion batteries are highly temperature-sensitive and require precise
thermal regulation to maintain performance, longevity, and safety. Automotive
OEMs in Vietnam, especially VinFast, are integrating up to 8–12 thermal
sensors per vehicle to monitor battery cells, modules, and packs. These
sensors enable dynamic heating and cooling based on real-time data, improving
charging efficiency and battery lifespan. As the country moves toward battery
swapping and high-speed charging, BTMS will play an even more critical role,
driving the demand for high-accuracy sensors such as RTDs and thermistors.
Rise of Smart HVAC Systems in Mid-Segment Vehicles
Vietnam’s humid tropical climate has prompted a shift
in consumer expectations toward improved climate control features. As a result,
HVAC systems are becoming smarter and more responsive. Temperature sensors
embedded in cabin vents, seat heating systems, and evaporators ensure optimized
climate control. Between 2022 and 2024, there was a 23% rise in installation
of multi-zone automatic HVAC systems in mid-range passenger vehicles. These
systems use MEMS and IC-based sensors for precise and localized control. With
increasing competition among vehicle brands, HVAC-based thermal comfort is
emerging as a differentiation factor, especially in urban centers like Hanoi
and Ho Chi Minh City.
Adoption of Infrared Sensors in Non-Contact
Applications
Infrared (IR) sensors are gaining traction in the
non-contact temperature sensing segment. These are especially useful in
monitoring fast-rotating engine parts, exhaust gas temperatures, and EV motor
temperatures, where contact sensors may degrade. IR sensors offer real-time
temperature readings without physical contact, enabling safer and more reliable
operations. Recent advances in low-cost IR sensor fabrication are making them
viable even for mid-tier vehicle applications. Global suppliers such as Bosch and
Denso have begun supplying IR sensors to Vietnamese OEMs and tier-1s. As
automotive architectures become more compact and thermally dense, IR sensors
will likely become mainstream.
Segmental Insights
Usage
Insights
The usage-based segmentation categorizes
temperature sensors by the medium they monitor: Gas, Air, and Liquid. Among
these, Liquid Temperature Sensors hold the largest market share due to their
essential role in engine coolant systems, battery thermal management systems in
EVs, and oil temperature monitoring. Efficient thermal control of liquids
ensures optimal performance and extends the life of the engine or powertrain
system, particularly important in Vietnam's tropical climate. The
fastest-growing segment is Gas Temperature Sensors, especially in response to
rising demand for exhaust gas recirculation (EGR) systems and selective
catalytic reduction (SCR) technology in diesel engines. With Vietnam gradually
tightening emissions regulations, vehicles now require accurate gas temperature
sensing for better combustion control and emission reduction. Additionally, in
EVs, gas sensors are increasingly used for battery vent gas detection and
safety systems.
Product
Insights
The product segmentation includes
Resistance Temperature Detectors (RTD), Thermistors, MEMS Temperature Sensors,
IC Temperature Sensors, Thermocouples, and Infrared Temperature Sensors. Of
these, Thermistors are the leading segment in terms of market share due to
their cost-effectiveness, accuracy, and broad applicability across engine,
battery, and cabin climate control systems. Thermistors provide highly
sensitive thermal readings and are easy to integrate, making them ideal for
both ICE (Internal Combustion Engine) and EV (Electric Vehicle) platforms. However,
MEMS Temperature Sensors are the fastest-growing product type in Vietnam’s
automotive market. MEMS-based sensors offer miniaturization, low power
consumption, and rapid response time, making them well-suited for modern
connected and autonomous vehicles. Their scalability for mass production and
compatibility with smart vehicle architectures also positions them for
exponential growth. In EVs, MEMS sensors are increasingly used in battery packs
and drive motors to monitor thermal behavior in real time.
.webp)
Download Free Sample Report
Regional Insights
Northern Vietnam, particularly around
Hanoi and its surrounding industrial zones such as Bac Ninh, Vinh Phuc, and Hai
Phong, currently leads the automotive temperature sensor market in Vietnam.
This dominance stems from the strong presence of original equipment
manufacturers (OEMs) and auto component suppliers operating in industrial
clusters like Thang Long and Quang Minh. These regions host manufacturing
facilities of global automotive brands such as Toyota, Honda, and VinFast,
which contribute significantly to sensor demand for both ICE and electric
vehicles. Additionally, the robust supplier ecosystem, along with
government-backed incentives for high-tech manufacturing zones, has attracted
both domestic and foreign direct investments (FDI) in automotive electronics
and sensors. The availability of skilled labor, better infrastructure, and
proximity to the Chinese border—supporting cross-border component trade—have
further solidified Northern Vietnam’s position as the market leader in terms of
value and volume. The prevalence of high vehicle registration rates in Hanoi
also contributes to after-market sensor demand, especially for HVAC and engine
systems.
Recent Developments
- In 2024, Vietnamese
EV maker VinFast officially entered the Middle Eastern market with a grand
brand launch event on October 29, 2024, held at Bluewaters Island in Dubai. The
company unveiled models including the VF 8 and introduced its first dealership
in the UAE, expanding its global footprint. This move marks a significant step
in its international expansion strategy, which is expected to enhance demand
for temperature sensor-equipped EVs in new markets.
- During
the Bangkok International Motor Show on March 26, 2024, VinFast showcased its
comprehensive electric vehicle range—including the VF 3, VF 5, VF 6, VF 7,
VF 8, VF 9, and the VF Wild pickup—positioning them for ASEAN markets. This
regional push amplifies the requirement for temperature sensors across all
onboard systems such as battery packs, motors, HVAC, and engine thermal
management.
- On May 6,
2025, VinFast introduced the EB 6 small electric bus in its domestic market,
targeting urban and intercity public transportation. This unveils a new front
for temperature sensor deployment—monitoring battery modules, cabin climate,
and power electronics—further driving market expansion fueled by electrified
commercial vehicles.
- On
December 8, 2024, VinFast announced to build a second production plant in Hai
Phong, adjacent to its existing battery facility. This vertical integration is
expected to support increased local production, including engine and thermal
sensor components—for both electric and combustion-engine vehicles.
Key Market Players
- Robert Bosch GmbH
- Continental AG
- DENSO Corporation
- Sensata Technologies, Inc.
- TE Connectivity Ltd.
- NXP Semiconductors N.V.
- STMicroelectronics N.V.
- Texas Instruments Incorporated
- Analog Devices, Inc.
- HELLA GmbH & Co. KGaA
|
By Vehicle Type
|
By Application
|
By Technology
|
By Product
|
By Usage
|
By Region
|
- Passenger Cars
- Commercial Vehicles
|
- Engine
- Exhaust
- HVAC
- Transmission
- Thermal Seats
- EV Battery
- EV Motor
|
|
- Resistance Temperature Detectors (RTD)
- Thermistor
- MEMS
- IC Temperature Sensor
- Thermocouple
- Infrared Temperature Sensor
|
|
- North Vietnam
- South Vietnam
- Central Vietnam
|
Report Scope:
In this report, the Vietnam Automotive Temperature
Sensor market has been segmented into the following categories, in addition to
the industry trends which have also been detailed below:
- Vietnam Automotive
Temperature Sensor Market, By Vehicle Type:
o Passenger Cars
o Commercial Vehicles
- Vietnam Automotive
Temperature Sensor Market, By Product:
o Resistance Temperature Detectors (RTD)
o Thermistor
o MEMS
o IC Temperature Sensor
o Thermocouple
o Infrared Temperature Sensor
- Vietnam Automotive
Temperature Sensor Market, By Usage:
o Gas
o Air
o Liquid
- Vietnam Automotive
Temperature Sensor Market, By Application:
o Engine
o Exhaust
o HVAC
o Transmission
o Thermal Seats
o EV Battery
o EV Motor
- Vietnam Automotive
Temperature Sensor Market, By Technology:
o Contact
o Non-Contact
- Vietnam Automotive
Temperature Sensor Market, By Region:
o North Vietnam
o South Vietnam
o Central Vietnam
Competitive Landscape
Company Profiles: Detailed analysis of the major companies presents
in the Vietnam Automotive Temperature Sensor market.
Available Customizations:
Vietnam Automotive Temperature Sensor market report
with the given market data, TechSci Research offers customizations according to
a company's specific needs. The following customization options are available
for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
Vietnam Automotive Temperature Sensor Market is an
upcoming report to be released soon. If you wish an early delivery of this
report or want to confirm the date of release, please contact us at [email protected]