The LED lighting market is expected to grow from US$ 57.5 billion in 2021; it is expected to register at a compound annual growth rate (CAGR) of 10.7% from 2022 to 2028.
The light-emitting diode (LED) is one of today's most energy-efficient and rapidly developing lighting technologies with major applications in automotive lighting, general edge lighting, and backlighting. The adoption of LED lighting is increasing in almost all major end uses such as industrial, residential, and commercial buildings, outdoor application areas, and government bodies. Few of the latest trends likely to impact the growth of LED lighting market are LED grow lights for indoor farming, rising application of led lighting in automotive industry, human-centric LED lighting for enhanced efficiency, Li-Fi optical wireless communication, and IoT-based smart lighting solutions. Various types of LED lighting products are industrial and commercial lighting, under-cabinet lighting, recessed downlights, led replacement bulbs, and led holiday lights. Further, LED lights consume less electricity as compared to incandescent bulbs and decorative LED light strings, which leads to increased demand for LED lighting products.
MARKET DYNAMICS
Infrastructure development activities are increasing across the globe. As a result, the demand for LED lamps and luminaires has been growing, thus contributing to the LED lighting market expansion. LEDs are highly efficient and have extended life. Their applications in indoor and outdoor environments are expected to increase due to low operating costs and decreased heat losses over incandescent lights. Moreover, transitioning from traditional to green lighting and higher energy-efficiency standards have increased the demand for LED lighting. Further, various strategic initiatives taken by the market players is also anticipated to drive the market growth. For example, in July 2021, Cree Lighting announced the completion its project in the City of Sandy, Oregon, which aimed at converting city’s streetlights from high-pressure sodium lamps to LED lamps.
MARKET SCOPE
The "Global LED Lighting Market Analysis to 2028" is a specialized and in-depth study with a special focus on the global market trend analysis. The report aims to provide an overview of the LED lighting industry with detailed market segmentation based on type and end user. It provides key market statistics of the leading players. It also offers key trends and opportunities in the LED lighting market.
Strategic Insights
MARKET SEGMENTATION
The LED lighting market is segmented into product type, application, and end user. Based on product type, the market is bifurcated into lamps and luminaires. By application, the market is categorized into indoor lighting and outdoor lighting. Based on end-user, the market is segmented into industrial, commercial, residential, and government bodies.
REGIONAL FRAMEWORK
The global LED lighting market is segmented into five major regions—North America, Europe, Asia Pacific (APAC), Middle East & Africa (MEA), and South America. The report covers an analysis and forecast of 18 countries globally along with current trends and opportunities prevailing in the region. APAC led the market in 2021 and is anticipated to grow at the highest CAGR during the forecast period. Major factors contributing to the growth of LED Lighting in the APAC is the presence of leading manufacturers, such as Opple Lighting Co. Ltd. and Nichia Corporation. Adding to this, the rapidly growing manufacturing and construction industry has also led to rising demand for LED lights to improve aesthetics and enhance visibility on roads, as well as illuminate buildings and public places. Further, rising government subsidies in China for promoting high-efficiency lighting products have led to the increased adoption of LED lighting. Furthermore, the growing electrical and electronics industry in the region is also contributing towards the market growth.
The below figure showcases the revenue growth trend in the LED lighting market:
Source: The Insight Partners Analysis
The report analyzes affecting factors such as drivers, restraints, opportunities, and future trends. It also provides an exhaustive PEST analysis of the factors affecting the LED lighting market.
IMPACT OF COVID-19 PANDEMIC
In 2020, the COVID-19 pandemic negatively impacted the global LED lighting market. Strict lockdowns and temporary suspensions of construction sites led to a decline in the demand for LED lighting. However, in the second quarter of 2021, with the resumption of construction activities, the LED lighting market witnessed growth, thus leading to its market growth.
MARKET PLAYERS
The reports cover key developments in the LED lighting market. Various companies focus on organic growth strategies such as product launches, approvals, patents, and events. Inorganic growth strategies such as acquisitions, partnerships, and collaborations have encouraged the expansion of business and the customer base of market players. The market players operating in the LED lighting market are anticipated to experience lucrative growth opportunities with the rising demand for LED lighting in the coming years. The list of a few companies engaged in the LED lighting market is mentioned below:
- Philips Lighting
- Sharp Corporation
- Cree Inc.
- Nichia Corporation
- General Electric Lighting
- Samsung Electronics
- OSRAM Licht AG
- Panasonic Corporation
- Cooper Industries, Inc.
- Toshiba International Corporation
The report also includes the profiles of key LED lighting companies and their SWOT analysis and market strategies. In addition, the report focuses on leading industry players with information such as company profiles, components and services offered, financial information for the last three years, and key development in the past five years.
The Insight Partner's dedicated research and analysis team comprises experienced professionals with advanced statistical expertise and offers various customization options in the current study.