Smart Textile Manufacturing System Market Size - By Technology, By Manufacturing Process, By Component, By Application, By Distribution Channel & Forecast 2025 - 2034

Global Smart Textile Manufacturing System Market Size

The global smart textile manufacturing system market size was valued at USD 470 million in 2024 and is projected to grow at a CAGR of 6.6% between 2025 and 2034, due to technological advancements, changes in consumer behavior and preferences, and a general focus across industries towards performance and sustainability. One of the main factors for this is the increasing need for functional and intelligent textiles in health care, sportswear, defense, as well as in mainstream fashion.
 

Nowadays, consumers prefer clothing that fulfills a more stylish role to serve a few additional functions such as thermal management, biometric monitoring, UV shielding, or activity monitoring with built-in sensors. This shift is increasing demand for advanced electronics and materials to be integrated into fabrics.
 

Market growth is aided by technological innovations. The incorporation of smart features into clothing, without sacrificing comfort and aesthetics, has been made possible with advancements in nanotechnology, flexible electronics, conductive fibers, and IoT. Moreover, automated manufacturing processes, AI-powered quality assurance, and 3D knitting are boosting efficiency, lowering labor costs, and improving designs which is luring investment from established and newer competitors.
 

Additionally, the fast adoption of wearable technology and medical textiles, such as remote monitoring and physiotherapy smart garments, has been gained attention due to health and safety concerns after the pandemic. In addition, governments and research institutions are supporting the adoption of smart textiles through funding, R&D partnerships, and policies supporting digital transformation and Industry 4.0 integration. Furthermore, sustainability goals are met when precise material and energy usage is required within the system. Coupled with the growing acceptance of circular economy and ethical production, there is an increased need for smart system where materials and resources are used responsibly.
 

Global Smart Textile Manufacturing System Market Trends

The smart textile manufacturing system industry is witnessing several transformative trends that are impacting regionally and globally. The most prominent change is the increasing interfacing of IoT and wearable technology in fabrics, especially in the healthcare, sports, and defense industries. Now, customers expect textiles to provide monitoring, performance measurement, and even some level of treatment to the body—compelling manufacturers to pursue sophisticated system that integrate sensors and electronic elements into the clothing at effortless striding.
 

Another major trend is the worldwide approach to increased automation and digitalization with the start of Industry 4.0. AI powered quality control, robotics and 3d knitting made their way into the textile production system due to efforts made on increasing efficiency, lowering production mistakes, and fulfilling the demand for custom made products.
 

The impact of sustainability resonates in the business world as it is further fueled by consumer demands alongside government policies for eco-friendly production. Recovery-oriented smart textile systems that incorporate material fabrication technologies need minimal energy, are economical, and are post-consumer recyclable which make them important for businesses that wish to achieve sustainability objectives. In addition, the shift towards more tailored on-demand services is increasing, especially in the fitness and fashion sectors, which can take advantage of smart manufacturing for quick delivery and personalization on a large scale.
 

Moreover, government incentives and favorable policies aimed at R&D have been increasing, which promotes innovation and increasing competition by lowering barriers to entry. The emergence of advanced materials for automotive interior components, military applications, and medical devices will drive further growth for the market. These circumstances accompany changes to the current realities, actively sustaining the market for smart textile manufacturing system, so the market is increasingly active looking to the future.
 

Global Smart Textile Manufacturing System Market Analysis

Based on technology, the market is segmented into electronic-based smart textiles, nanotechnology-enabled smart textiles, and hybrid system. In 2024, the electronic-based smart textiles segment accounted for a revenue of around USD 195.7 million and is expected to reach USD 373.8 million by 2034.
 

• The smart textile manufacturing system market dominated by the electronic-based smart textiles segment due to its advanced technology and practical applications. Smart fabrics are those that have built-in sensors, actuators, and microcontrollers, enabling them to perform tasks such as real-time monitoring and data collection. Their healthcare and sportswear markets, military, and consumer electronics mark their strong presence on the demand side which is a key factor on the supply support side.
   
• Electronics-based textiles are utilized within wearable medicals for vital sign monitoring, in sports equipment for tracking zeal performance, and in military uniforms for communication and temperature control. Access to developed facilities for electronic components fabrication and ongoing developments in flexible and miniaturized circuits have also boosted adoption.
   
• For further, electronic based solutions outperform competitors in nanotech or hybrid system on reliability, ease of integration with current frameworks, and rapid deployment. This situation favors both manufacturers and end-users making these most sought options in the prevailing market conditions.

Based on application, the market is segmented into healthcare & medical, sports & fitness military & defense, fashion & entertainment, industrial & occupational safety and automotive & transportation. In 2024, the healthcare & medical segment accounted for over 32.1% market share in 2024 and is expected to grow at CAGR of 7.1% till 2034.
 

• The smart textile manufacturing system market is led by the healthcare and medical segment due the increasing use for health monitoring wearables and smart medicine. These smart textiles are being used extensively because they can noninvasively monitor biometric feedback such as heart, respiration, body temperature, and even posture. These fabrics are incredibly useful in Elderly care, post-operative care, chronic illness management, remote health monitoring, and in eliminating the need for hospitalization.
   
• Furthermore, increased awareness about health and the growing geriatric population has resulted in increased use of smart textiles in this segment. Also, increased partnerships between textile companies, healthcare providers, and technology firms, these collaborations are harnessing the potential to improve patient care and decrease expenses.
   

Based on distribution channel, the smart textile manufacturing system market is segmented as direct and indirect. In 2024, the indirect segment accounted for a market share of around 72.9% and is expected to grow at CAGR of 7% up to 2034.
 

• The indirect distribution channel segment is dominating due to expanded market reach and available sales networks of third parties. Manufacturers can access many regions with diverse geography using third party distributors; agents and retailers without heavy spending into direct sales infrastructure. These intermediaries usually have well established relations with the end-users and offer additional services such as post-sales assistance and customization aids which increases customer satisfaction.
   
• This mode offers added advantageous for small and mid-sized companies as it helps reduce operational spending while extending the consumer base. Therefore, the effectiveness and low costs associated with indirect routes dominate and control other segments of the market.

North America held a significant market share in 2024 and is anticipated to grow at CAGR of 6.9% during 2025 to 2034.
 

• In North America, the U.S. dominated the smart textile manufacturing system market with a revenue of over USD 144 million in 2024 and is expected to reach USD 277.6 million by 2034.
   
• The integration of advanced technologies, research and development, and key industry participants positions the United States favorably in the smart textile manufacturing system industry. Because of the strong support given by a network of universities, defense institutions, and private corporations working on wearables and functional fabrics, this country has emerging innovators and adopters of smart textiles.
   
• Additional investments through government programs such as Advanced Functional Fabrics of America (AFFOA) further enable the invention and commercialization of smart textile technologies. Supported by the strong demand for smart textiles and solutions in defense, healthcare, and sports, these textiles are further adopted and developed.
   
• The automation, AI-driven manufacturing system, and smart factory technologies available to the U.S. market significantly increase production and customization efficiency, providing a wide range of benefits. Integrating innovation with large-scale production, highlighting U.S. world dominance in smart textile system, focused commercial viability, and strong intellectual property rights creates a clear competitive advantage in technological innovation.
   

In the Asia Pacific textile waste recycling machine market accounted for around 25.3% revenue share in 2024 and is expected to reach USD 228.9 million by 2034.
 

• China's expansive base in the textile industry, lower costs, and quickly advancing automation technologies plays a huge factor in dominance of China in APAC. The well-developed supply chain for textiles situated in China along with highly affordable workforce and firm government policies on industrial evolution such as “Made in China 2025” transform China is a framework for traditional textile production.
   
• There is also increase in smart textile demand due to the healthcare and military sectors alongside consumer electronics, which brings forth China adopting intelligent manufacturing system. It is indisputable that with the availability of cheap, efficient fabrication mechanisms along with the growing integration of AI, IoT, and robotics in textile machinery makes China the leader in market.
   

Europe textile waste recycling machine market is expected to grow at a CAGR of 6.7% from 2025 to 2034.
 

• Due to strong focus on innovation, research-driven ecosystem, and active collaboration between academia, industry, and government, the UK resulted as dominant country in Europe smart textile manufacturing system market. Their synergy between the academia, industry, and government that fuels the nation’s ecosystem. The UK has world class universities and research institutes which can sustain the continuous development in smart materials and wearable technology fields.
   
• Moreover, UK’s government has advanced supportive policies which, along with strategic funding programs, promote transformative manufacturing and digitization of the textile industry. There is a growing need from the defense, healthcare, and even fashion tech sectors, which has driven UK manufacturers to enhance automation and sensor integration along with data-centric solutions for textiles. The UK’s focus towards ethical and sustainable manufactured practices appeals the country more in international markets.
   

MEA textile waste recycling machine market is expected to grow at a CAGR of 4.8% from 2025 to 2034.
 

• In MEA, the UAE Smart textile manufacturing system market is dominating due to devotion towards innovation, economy diversification, and government efforts, the UAE has become one of the leading countries in the MEA region. The country has invested heavily in advanced manufacturing and Industry 4.0 Technologies initiatives which seek to establish the UAE as a global leader in high-tech and sustainable industries. The UAE is a hub for free trade zones, has well developed infrastructure, and a friendly climate for business which has facilitated global investment and fostered collaboration among local businesses, international firms, and research institutions.
   
• Moreover, the demand for smart textiles in the UAE has accelerated automation, IoT integration, and sustainability in manufacturing. The UAE government's focus on sustainability and digital transformation enables the country to accelerate its growth relative to other competitors in the region.
   

Global Smart Textile Manufacturing System Market Share

The global smart textile manufacturing system industry is competitive, with several global companies such as LECTRA, Karl Mayer Group, Embro, Gentherm Incorporated and SoftWear Automation.
 

• Lectra integrates software with cutting room equipment and data services. It also serves the fashion and textile industries. For smart textiles, Lectra provides automated cutting and production system. Its system offer unmatched accuracy in the handling of functional fabrics for automobiles, aerospace, and military protective garments. Smart textile projects realize value through digitization and Industry 4.0.
   
• Karl Mayer incorporates electronics into textiles through the use of sensors, LEDs, and conductors with warp and weft-knitting. Their system functionalize materials in real time, enabling sports, medicine, and military-grade e-texttiles.
   
• Embro is a small-sized company specializing on embroidered conductive textiles and incorporated smart textile system. Their specialization includes the automated embroidery of conductors for heating elements, sensor system, antennas, and telecommunications signal embroidery into textiles. This is offered for automotive interiors, medical wearables, and industrial textiles. Embro constructs custom system on a client's request, specializing in electronic textiles and components that are mechanically and physically durable and flexible.
   
• Gentherm focuses on the development and integration of electronic textiles (e-textiles) for heating, sensing, and biometric functions, for automotive and healthcare industries. Their technology platform integrates conductive fibers with circuits into fabrics for controlling climate and gathering physiological data. E-textiles produced by Gentherm are built with comfort, safety, and energy efficiency in mind for mass-market applications.
   
• SoftWear Automation provides the robotic sewing technology called Sewbot™ which automates sewing, cutting, and fabric handling. Although not directly integrating electronics into textiles, their system can automate the construction of smart garments and e-textiles by achieving exact and repeatable assembly of complex structures. Their technology is especially useful for delicate and sensor-integrated fabrics for wearables, home textiles, and performance apparel.
   

Global Smart Textile Manufacturing System Market Companies

Major players operating in the smart textile manufacturing system industry are:

• AiQ Smart Clothing Inc.
• BRM
• aitex
• Dupont De Nemours Inc
• Embro
• Gentherm Incorporated
• Interactive Wear AG
• Karl Mayer Group
• LECTRA
• Loomia
• muratec
• Ohmatex A/S
• SoftWear Automation
• TOYOTA
• ZSK Stickmaschinen
   

Companies in the smart textile manufacturing space are heavily investing in advanced automation and digitization. Their automation system tends to interface with sophisticated technical fabrics at remarkably high precision levels which allows for the effortless incorporation of sensors, actuators, conductive threads, and flexible electronics. These companies now provide platforms in alignment with Industry 4.0 which facilitate real-time data monitoring, predictive maintenance, intelligent production workflows, and enhanced operational efficiency and quality control.
 

Sustainability drives their business forward as an increasing number of firms are adopting circular economy models. These businesses are constructing system designed for recycled fibers and mechanical and chemical recycling of post-consumer and post-industrial textile wastes. These measures aim to diminish the use of virgin materials while providing enablement to estimate and precisely refine materials from wastes. Collaborative R&D receives funding from other partners in the form of universities, government institutions, and technology start-ups which is a frequent practice. These collaborations accelerate the commercialization of advanced textile innovations and allow other companies to remain at the forefront of smart textile initiatives.
 

Global Smart Textile Manufacturing System Market News

• In 2024, Karl Mayer Group inaugurated a smart textile showroom in Changzhou, China ahead of ITMA ASIA + CITME 2024. The facility is equipped with a centralized TexLab specializing in Stoll flat knitting machines which allows for prototyping, smart textile development, and various yarn tests. This innovation hub is also equipped with the latest CMS 530 E20 technologies, which enables spinning and warping innovation for designers, yarn suppliers, and academic partners. With this strategic expansion, Karl Mayer strengthens his foothold in the smart textile manufacturing system market while optimizing R&D cycles.
   
• In 2020, E-BRODER 3 of aitex, in collaboration with IVACE and funded by EU ERDF, focused on automating home system via smart textiles using embroidery technology. Noteworthy inventions featured wireless energy transfer, tactile sensors, sensor sequined embellishments, and garment integrated LED displays. Textiles that monitor and respond to external stimuli like pressure, presence, and environmental changes were demonstrated. This project enhances automation in smart textile manufacturing aimed at turning toward home aid, and design, as well as upholstery and high-end applications for interior textiles.
   

The global smart textile manufacturing system market research report includes in-depth coverage of the industry with estimates & forecasts in terms of volume (Thousand Unites) & revenue (USD billion) from 2021 to 2034, for the following segments:

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Market, By Technology

• Electronic-based smart textiles
• Nanotechnology-enabled smart textiles
• Hybrid system

Market, By Manufacturing Process

• Fiber and yarn-level integration
• Fabric weaving/knitting system
• Post-processing system
• Assembly & integration system
• Automation & robotics in production

Market, By Component

• Sensors and actuators
• Energy harvesting modules
• Microcontrollers and processors
• Connectivity modules (bluetooth, wi-fi, nfc)
• Power supply system (batteries, solar)
• Software and data platforms

Market, By Application

• Healthcare & medical
• Sports & fitness
• Military & defense
• Fashion & entertainment
• Industrial & occupational safety
• Automotive & transportation

Market, By Distribution Channel

• Direct
• Indirect

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • South Africa
  • Saudi Arabia
  • UAE