2024-2030 Market Research and Development Prospect Forecast Report for the LED Lighting Industry
Chinese LED companies play a crucial role in the global industrial chain, profoundly influencing market development and trends.
As a new generation of lighting source and green light source, LED lighting is widely applied in fields such as green lighting, healthy lighting, smart cities, and smart homes. In recent years, the government has continually introduced proactive policies, including the "14th Five-Year Plan for National Urban Infrastructure Construction" and the "Implementation Plan for Carbon Peaking in Urban and Rural Construction," among others, which benefit the development of the LED lighting industry. These policies emphasize the promotion of energy-saving, green, and efficient light sources in urban, home, and educational scenarios, supporting carbon peaking and carbon neutrality goals. This has significantly boosted confidence in industry development and created a favorable policy environment for the sector.
1. Overview of the LED Lighting Industry
LED lighting, as a new generation of lighting technology, utilizes light-emitting diodes (LEDs) as its core light source, featuring high efficiency, environmental friendliness, and long lifespan. Its unique semiconductor light-emitting principle allows it to provide uniform and soft lighting with low energy consumption, while offering excellent color rendering capabilities. LED lighting stands out not only in terms of energy efficiency but also in its dimmability and customizability, making it widely applicable in various settings.
In the context of growing global environmental concerns, with an increasing focus on energy conservation, emission reduction, and carbon neutrality, the trend of replacing traditional light sources with LEDs has intensified. As a representative of high-efficiency energy-saving technology, LED lighting plays a significant role in reducing energy consumption and greenhouse gas emissions, contributing to global energy-saving and emission-reduction goals. Additionally, the long lifespan of LEDs reduces the frequency of lighting equipment replacement, minimizing resource use and waste generation, aligning with sustainable development and carbon neutrality goals. The widespread adoption of LED lighting is not only about promoting advanced lighting technology but also a key step in supporting global sustainability and environmental protection.
With advancements in LED technology and decreasing costs, governments worldwide have introduced policies to encourage the replacement of traditional light sources with LEDs. These policies include banning incandescent lamps and establishing energy efficiency standards to encourage businesses and individuals to adopt LED lighting. As a result, the penetration rate of LED lighting has been steadily increasing. In China, since the introduction of favorable policies such as the "Roadmap for the Phased Elimination of Incandescent Lamps," the penetration of LED lighting has risen steadily, surpassing global levels. By 2021, China's LED lighting penetration rate reached 80%. Globally, LED lighting accounted for just 1.8% of the market in 2012, but by 2021, the global average penetration had increased to 66%. It is expected that the global penetration rate will reach 75.8% by 2025, with higher demand for replacement in overseas markets.
2. Global LED Lighting Industry Market Development Trends and Forecast Analysis
The global LED lighting market continues to show rapid growth. In 2020, the global LED lighting market reached a size of USD 75.81 billion. With the replacement and incremental market continuing to expand, it is estimated that by 2026, the global market size will exceed USD 160 billion, showing a clear upward trend in the long term. Overall, the global LED lighting market is not only growing in scale but also demonstrating positive trends in technology, policy, and sustainability. LED, as the dominant lighting technology of the future, will continue to gain market share globally.
Global LED Lighting Market Size and Forecast (2020-2026E) in USD Billion
3. Analysis of China's LED Lighting Market Size
(1) Export Situation
China is a leading country in the global LED industry, holding the largest share of exports worldwide. From 2020 to 2022, China's lighting industry export data showed fluctuations due to the global public health crisis. As the pandemic situation stabilizes and the global economy recovers, the overall performance remains sluggish, with weak external demand slowing the growth of China's foreign trade exports. Despite the pressure on the lighting industry, the total export volume in 2023 still saw a 28.19% increase compared to pre-pandemic levels in 2019, maintaining a relatively high level.
China's Lighting Industry Export Volume (USD billion), 2018-2023
(2) Export Destinations Share
In 2023, China’s share of the global lighting product exports remained around 60%, reinforcing the country's role as the manufacturing and supply chain hub of the global lighting industry. China's unique manufacturing advantage continues to stand out. The export destinations for Chinese lighting products in 2023 were concentrated in North America, Europe, and the Asia-Pacific market, with promising prospects in emerging economies. The United States remains the largest export destination.
China’s Lighting Products Export Destinations Share in 2023 (Export Volume)
(3) Market Size and Forecast
With LED penetration steadily increasing in recent years, LED has become the mainstream light source device in the lighting sector, making China one of the largest consumers of LED products. From 2017 to 2023, China’s LED market size first experienced continuous growth, followed by significant fluctuations. As the pandemic situation stabilizes and production resumes, the growth rate of the LED lighting market has slowed but continues on an upward trajectory. The market size is expected to reach 738.6 billion yuan by 2026.
China’s LED Lighting Market Size and Forecast (CNY billion), 2020-2026
China holds a significant position in the global LED market, showcasing strong industrial capabilities. As one of the world's largest LED producers and exporters, China's LED industry has made continuous advancements in technological innovation while commanding a substantial market share. Chinese LED lighting companies have become key players in the global LED supply chain, exerting a profound influence on the development and trends of the global LED market.
