The Future of the Global Outdoor LED Lighting Market (2019-2024): Projecting a CAGR of Over 14%
Dublin, July 29, 2019 (GLOBE NEWSWIRE) -- The "Outdoor LED Lighting Market - Growth, Trends, and Forecast (2019 - 2024)" report has been added to ResearchAndMarkets.com's offering.
The outdoor LED lighting market is expected to register a CAGR of over 14% during the forecast period 2019-2024.
The LED technology has captured the imagination of the lighting industry by offering small and efficient lighting solutions to a diverse set of consumers with power saving and enhanced efficiency.
LED is energy-efficient and provides better illuminating experience than incandescent lights. Also, the awareness about conserving energy among the consumers is driving the adoption of LED for outdoor applications.
The maintenance cost of the LED lightings is significantly lower than the incandescent lights. Hence, in countries like China and India, the government is encouraging LED adoption for roadways and highway applications to save energy as well as the maintenance cost.
Additionally, demand for smart controls in street lighting systems is boosting the growth of outdoor LED lighting market. On the other hand, the high initial investment for adopting LED lightings is restricting the adoption to an extent.
Key Market Trends
Roadways & Highways to Show Significant Growth
More than half of the global population now live in urban cities, and the ratio is continuously increasing year on year. Moreover, in highly-dense cities, this growth is even higher. With the fast urbanization taking place, major infrastructure development including highways for connecting cities, demand for outdoor LED lightings is increasing.
LED lights consume 75% less energy and last for 25 times longer than incandescent bulbs. It has the highest potential in saving energy and cost. Hence, replacing old lighting systems with LED is benefiting overall, due to which demand for new installations in the outdoor LED lighting market is significantly increasing.
The global LED penetration is on the continuous surge year on year. According to Goldman Sach, it is expected to cross 60% by the year 2020.
Government initiatives are also fueling the market growth as many governments globally are structuring regulations for encouraging LED adoption. For instance, in India, the government is aimed to replace 14 million street lights across the country with intelligent lighting control systems.
Asia-Pacific is Expected to Witness the Highest Growth Rate
Asia Pacific is currently experiencing a tremendous shift in lighting systems where companies in these regions have been identified to adopt LED lights in industries and manufacturing plants compared to its counterparts, like incandescent, and LFL owing to the improved efficiency of LED lighting systems.
In India, the government has circulated a series of policies from all the perspectives to support the industry's development, among which the most important is SLNP (Street Light National Programme) to replace 21 million streetlights with LED.
Additionally, to help the various investments enter India, the government had implemented the free tariff (basic tariff) of LED component imports, facilitating the LED products into an assembly in India as semi-finished products and developing the local market.
There had been high consistency in Chinese new streetlight installation volume and government's fiscal expansion cycle. Southeast Asia is also becoming a major hub for Chinese manufacturers exporting LED lighting products.
Additionally, the Japanese government long-term goals incorporate lighting projects and infrastructures related to the 2020 Olympics. These trends signify the growth of the outdoor LED lighting market in the region.
Owing to many companies innovating in advanced lighting, the market is moderately consolidated. With energy management concerns gaining momentum, lighting companies are found to be investing in the same by partnering with energy management providers.
April 2019 - American Industrial Partners (AIP) has announced the acquisition of Current powered by General Electric, which is a startup subsidiary offers energy management solutions for consumers. Current's portfolio spans LED and traditional lighting solutions, along with a wide variety of intelligent controls, sensors, and software.