Asia-Pacific LED Lighting Market Outlook, 2028

Asia-Pacific LED Lighting Market Outlook, 2028

Asia Pacific is considered to be the fastest-growing market for LED lighting and is expected to hold a significant market share in the years to come. With the developing infrastructure of roads and upcoming development projects, the booming construction industry in developing countries such as China, India, and Indonesia is expected to create massive demand for LED lighting for residential as well as outdoor applications. It will include roadways, traffic lights, tunnels, parking lots, garages, and lighting in bathrooms, hallways, dining rooms, and kitchens. China's largest population, well-developed electric supply throughout the country, highly developed urban areas, and large-scale industrialization make the market for LED lighting solutions highly profitable. India is one of the largest countries in the world and has the second-largest population, creating a massive demand for LED lighting solutions. The infrastructure necessary for electricity supply is still under development in this country, so the rural regions are yet to be leveraged for LED lighting solutions, but due to numerous government initiatives to boost electricity supply to these areas, an improvement in the LED lighting solutions is estimated to occur over the forecast period.

According to the research report, Asia-Pacific LED Lighting Market Outlook, 2028, published by Bonafide Research, the market is anticipated to add USD 34.78 Billion during the forecast period. The increasing use of light-emitting diode lamps and luminaries in smart homes and smart cities is projected to drive market development in the region. Moreover, top players are adopting various business strategies to propel market growth in the region. China generated the highest revenue in 2022 due to the heavy manufacturing units in the country. As per the analysis, it will become the fastest-growing country during the forecast period. China has one of the most advanced manufacturing facilities for diodes on the globe, and it is rapidly adopting the emerging trends of savings in regular industrial as well as residential operations, which is anticipated to surge the adoption of the product in the country. Some top players are adopting various business strategies, such as partnership, acquisition, and business expansion, to boost the market in the country. Also, China is a global hub for the manufacturing of semiconductors and transmitters, which will drive the market in the country. Due to the increasing demand for LED lighting in Asia Pacific and the presence of key players in India and China, it is expected to be the highest-growing region over the forecast period.

Furthermore, the growing number of small and medium-scale system manufacturers in emerging countries, such as India, Japan, and South Korea, is helping to boost the market in the region. Also, some government authorities are taking initiatives, such as the Make in India campaign, in India, which is also driving the market in the region. Since the arrival of AI and the Internet of Things (IoT), the world is transforming into a smart world with smart technologies, smart buildings, and smart cities, among others. Controlling indoor and outdoor lights with smart lighting is possible via smartphones, tablets, or smart assistants such as Alexa. Furthermore, several players in the Asia Pacific smart lighting market are considering connecting smart lighting technology to the Smart City Mission of various Asian countries, such as India, China, and Japan. Furthermore, in 2016, the Australian government and the Institute of Public Works Engineering Australasia (IPWEA) jointly launched a strategic roadmap for street lighting and smart controls (SLSC) to promote LED lights and smart controls to increase energy efficiency. The overall cost of the project was around $1.1 Billion, with an estimated energy savings of around $180 Million per year. Thus, these initiatives are expected to reduce energy consumption and, in turn, provide healthy growth for the Asia-Pacific LED lighting market.

The Asia Pacific is expected to account for the largest revenue share in the global market during the forecast period due to the increasing presence of LED lighting manufacturers such as Nichia Corporation, Opple Lighting Co. Ltd., and others. In addition, increasing government subsidies in China for promoting high-efficiency lighting products has resulted in boosting the adoption of LED lighting. Furthermore, the absence of industry standards restricts the development of high-quality LED products in China and poses a risk to the safety of users; therefore, China’s government regulations regarding meeting industry standards are expected to increase demand for LED lighting. Moreover, the Indian government has taken several initiatives to promote LED usage, as they are more efficient, economical, and energy-efficient than other light sources. The Street Lighting National Programme (SLNP) and the Unnat Jyoti Affordable LEDs for All (UJALA) are two of these efforts. UJALA urges people to utilize LED lights instead of incandescent, CFL, and tube lights, and SLNP plans to replace all traditional street lights with smart and energy-efficient LED lighting. On March 19, 2021, for instance, the Indian government launched the Gram Ujala scheme, which will provide LED bulbs for 10 rupees in rural areas. These factors are expected to boost the LED lighting market revenue growth in the region.

Furthermore, the government began the Street Light National Programme (SLNP) in 2015 to promote energy efficiency in the country. This program was aimed at replacing 35 Million conventional lights in the country with LED lights. Apart from the Indian government, the Chinese and Australian governments are also implementing policies to promote the usage of energy-efficient LED street lights in their countries. Depending on product type, the market is divided into luminaires and lamps. Between the two, the luminaires category held a higher share of the market in years gone by. This was because of the huge requirement for LED lighting fixtures on account of the construction of commercial buildings and residential houses in the region. Furthermore, the Asia-Pacific LED lighting market is divided into two segments based on installation type: retrofit and new installation. Of these, the new installation category registered higher growth in the market during the past few years, due to the implementation of several government initiatives regarding the usage of LED lights, especially in China and India. The retail or wholesale segment will dominate the Asia-Pacific market in 2022, according to sales channel segmentations.

Additionally, the rising living standard and disposable income of the people in the region will further propel the adoption of LED lighting in the region. The emergence of start-ups and small-to-medium organizations will further expand the scope of LED lighting in the region. Growing initiatives by governments in the region will also modernize projects with sustainable solutions, which is likely to pave a positive trajectory for the growth of the regional market. The growing emphasis on environmental concerns is fuelling the demand for LED lighting. Moreover, the usage of LED Lighting in various applications, such as LED lamps, automotive headlights, lighted wallpaper, and traffic signals, the growing population, coupled with the surging usage of electricity and demand for environmental sustainability, is driving the growth of the market. LED lighting market share is being driven by the increasing adoption of modern technology and the introduction of innovative products by manufacturers.

Covid-19 impacts:
The outbreak of the COVID-19 pandemic significantly affected the Asia-Pacific LED lighting market due to disruptions in the supply chain and worldwide lockdowns. Such an unprecedented event has significantly impacted the positioning of technological devices in the market. In spite of such uncertainties and the production ban, LED makers have continuously worked on innovating advanced devices, thereby working on long-term strategies. Several semiconductor manufacturers collaborated with the required partners to align their manufacturing processes. With the slowing of COVID cases and the relaxation of lockdown protocols, the Asia-Pacific market is expected to grow significantly in the coming years.

Major Companies present in the market:
Samsung, Koninklijke Philips Nv, Panasonic Corporation, Opple Lighting Co. Limited, Osram Licht Ag, Valeo Sa, General Electric Company, Hubbell Incorporated, Magneti Marelli Spa, Seoul Semiconductor, Havells India Limited, Signify Holding, Acuity Brands Lighting Inc., Stanley Electric Co. Ltd, NVC Lighting Technology Corporation, Cree Inc, Siteco Gmbh, Syska Led Lights Private Limited, Wipro Lighting, Everlight Electronics Co. Ltd LG Electronics

Considered in this report
• Geography: Asia-Pacific
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report
• Asia-Pacific LED Lighting market with its value and forecast along with its segments
• Country-wise LED Lighting market analysis
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Countries covered in the report:
• China
• Japan
• India
• Australia
• South Korea

By Product:
• Lamps
• Luminaries

By Application:
• Indoor
• Outdoor

By Sales Channel:
• Retail/Wholesale
• Direct Sale
• E-commerce

By Installation Type:
• New
• retrofit

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual reports of companies, and analyzing government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources. 

Intended audience:
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the LED lighting industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.