Dublin, Jan. 21, 2026 (GLOBE NEWSWIRE) -- The "LED Lighting - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)" has been added to ResearchAndMarkets.com's offering.
The LED lighting market is poised for significant growth, with projections indicating an increase from USD 104.93 billion in 2025 to USD 110.76 billion in 2026, and reaching USD 145.01 billion by 2031, progressing at a CAGR of 5.55% from 2026 to 2031. This expected growth highlights the market's shift from rapid adoption to a phase where quality, integrated controls, and innovation are key to competitive success.
Key drivers include government policies phasing out inefficient lamps, secondary replacements of older installations, and the rise of smart-city initiatives. Companies that offer LED products integrated with sensors and added services are likely to secure longer-term contracts.
Government Incentives and Phase-Outs Drive Market Transformation
Policy initiatives continue to be major accelerators for LED market growth. Regulations such as Australia's upcoming Greenhouse and Energy Minimum Standards and similar policies elsewhere are establishing clear guidelines that drive market transitions. In the US, federal and state standards create a dependable purchase pipeline as seen in large-scale city projects like Philadelphia's initiative, which delivered significant energy and cost savings. Such policies promote compliance and elevate the demand for high-quality, certified products.
Smart City Infrastructure Accelerates LED Adoption
Investments in smart city infrastructure are transforming LED lighting systems into integral parts of urban management. Examples like Milton Keynes' sensor-enhanced streetlights showcase energy savings and additional capabilities like traffic monitoring. Projects in Parramatta demonstrate expansive energy-saving potentials while integrating lighting with city-wide IoT networks. This evolution emphasizes a shift from simple product sales to sophisticated, integrated systems that generate long-term revenue.
High Upfront Costs Limit Premium Segment Penetration
Despite technological advances, the high initial cost of premium LED systems deters adoption in regions sensitive to price. While annual reductions in component costs are notable, features like tunable spectra and sensors increase material costs. This results in a bifurcated market, with basic models appealing to cost-conscious buyers, while premium offerings must compete on lifecycle savings.
Additional market drivers include the construction boom driving retrofit demand, a secondary replacement cycle bolstering sustained demand, and supply chain consolidation affecting market stability. Luminaires, encompassing 61.45% of 2025 revenues, highlight a preference for integrated solutions. In contrast, lamps are expanding due to replacement trends, offering rapid performance upgrades without extensive installation requirements.
Wholesale and retail outlets claimed a significant market share, largely because they ensure project continuity and compliance support. E-commerce is expected to grow at a rapid 6.62% CAGR through 2031, offering consumers convenience.
Geography Analysis
The Asia-Pacific region leads in market share, driven by China's manufacturing capability and India's infrastructure growth. Government programs and a preference for technology-fueled lighting solutions underpin substantial growth. In North America, stringent energy regulations drive LED adoption, while Europe benefits from regulatory frameworks promoting deep retrofits. The Middle East and Africa show varied development levels, with smart-city projects in oil-rich regions contrasting with basic electrification needs elsewhere.
List of companies covered in this report:
- Signify N.V.
- ams OSRAM AG
- Acuity Brands Lighting Inc.
- Cree LED (SMART Global Holdings)
- LEDVANCE GmbH
- Zumtobel Group AG
- Nichia Corporation
- Seoul Semiconductor Co. Ltd.
- Everlight Electronics Co. Ltd.
- Dialight PLC
- LSI Industries Inc.
- Havells India Ltd.
- Syska LED Lights Pvt. Ltd.
- Opple Lighting Co. Ltd.
- Yankon Group Co. Ltd.
- Fagerhult Group
- Current Lighting Solutions LLC
- Leedarson Lighting Co. Ltd.
- TOSPO Lighting Co. Ltd.
- MLS Co. Ltd.
- Hubbell Lighting Inc.
- Panasonic Corporation (Lighting)
- Bridgelux Inc.
- Valmont Industries (Lighting)
Key Topics Covered
1 INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET LANDSCAPE
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Industry Value Chain Analysis
4.5 Impact of Macroeconomic Factors
4.6 Regulatory Landscape
4.7 Technological Outlook
4.8 Porter's Five Forces Analysis
5 MARKET SIZE AND GROWTH FORECASTS (VALUE)
5.1 By Product Type
5.2 By Distribution Channel
5.3 By Installation Type
5.4 By Application
5.5 By End User
5.6 By Geography
6 COMPETITIVE LANDSCAPE
6.1 Market Concentration
6.2 Strategic Moves
6.3 Market Share Analysis
6.4 Company Profiles
7 MARKET OPPORTUNITIES AND FUTURE OUTLOOK
7.1 White-space and Unmet-Need Assessment
For more information about this report visit https://www.researchandmarkets.com/r/on06y8
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