How Will Encoder Technology Trends 2025-26 Transform Cranes & Hoists?

Posted by Alejandro Casso on Nov 4, 2025 7:24:23 AM

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With 2026 only a couple of months away, what’s in store for the cranes and hoists sector? 

Well, one of the major technologies set to shape the cranes and hoists sector in the upcoming year will be encoders. They’ll do this by enabling more efficient, safer, and smarter operations through predictive maintenance, enhanced automation, and integration with IIoT (Industrial Internet of Things) ecosystems. This evolution will be mostly driven by key trends like expanded remote capabilities, and the use of robust magnetic and absolute encoders.

 

As per latest research, the global market size for magnetic encoders for construction machinery reached USD 1.13 billion in 2024. This showed a significant expansion fueled by the rising integration of advanced automation technologies in heavy machinery. According to projections, the market is to grow at a CAGR of 7.8% in the forecast period, with the value estimated to reach USD 2.24 billion by 2033. 

 

Encoder Technology Trends 2025-26: What Key Roles will Encoders Play in 2026?

 

  • Facilitating Data-Driven Predictive Maintenance

In 2026, there’ll be encoders that are IIoT-enabled, dominating the cranes and hoists domain. 

 

So, what role will these IIoT-enabled or smart encoders play in 2026?

They’ll collect real-time data on the performance of cranes and hoists, including equipment health, travel speed, and load weight. This data will then be sent to cloud platforms for AI-driven analysis. This can detect potential problems, predict maintenance needs, and prevent unscheduled downtime before any failures occur. 

 

  • Increasing Precision and Safety

 

So, in 2026, how exactly will encoders enhance the safety and performance of cranes and hoists?

Well, absolute encoders, for example, will provide the precise position of a trolley or hoist, even after a power loss. This reliable feedback will reduce the risk of accidents.

Additionally, high-resolution magnetic encoders will be an essential part of anti-collision systems, which use cameras and sensors to prevent cranes from impacting obstacles or each other.

Avtron Encoders offers a superior heavy mill duty modular magnetic encoder for hoists, trolley, and bridge - the AV850 model - which is designed to rule out encoder failures. 

 

  • Driving More Autonomous, Smarter Operations

As one of the key encoder technology trends 2025-26, encoders are set to enable advanced automation in cranes and hoists. They’ll enable faster, smoother, and more precise load handling by providing highly accurate feedback on orientation, speed, and position. The upcoming year will also see features like anti-sway control becoming more standard. This feature leverages encoders for preventing loads from swinging, enhancing safety and operational efficiency. 

Field tests have shown that sway control boosts productivity by 25% to 50%. It also lowers operator fatigue and the necessity for extensive operator training. 

  • Improving Durability in Harsh Environments

It’s common for cranes to operate in extreme conditions, from mining facilities and steel mills to dusty construction sites. 

So, how will modern encoders address harsh industrial environments?

In 2026, rugged reliable inductive and magnetic encoders will be widely used in these demanding settings. These encoders have the capability to work accurately even when subjected to contaminants such as oil, dirt, and dust, lowering maintenance costs and increasing equipment life. 

For travel control, the HS40 hollow shaft, severe duty magnetic absolute encoder, offered by Avtron Encoders, provides unrivalled durability. 

  • Enabling Remote Monitoring and Control

With the widespread use of IIoT, encoders will facilitate complete visibility into the operations of cranes from anywhere, enabling remote monitoring and diagnostics. As one of the chief encoder technology trends 2025-26, wireless connectivity will be harnessed for monitoring crane activity and, in some situations, addressing issues remotely. This will further boost safety and operational flexibility. 

Wrapping Up

As we enter into 2026, encoders will gradually evolve into intelligent automation tools from simple motion sensors. Their ability to boost predictive control, precision, and safety makes them an integral part of modern cranes and hoists, and, as per encoder technology trends 2025-26, their importance will only increase in the near future. 

If you’re looking for sturdy and reliable encoders that seamlessly integrate with your crane and hoist equipment, Avtron Encoders can offer you superior quality, industry-grade options. Request a consultation today!

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