Southeast Asia LED Lighting Market Size was valued at USD 3.6 Billion in 2022. The LED Lighting market industry is projected to grow from USD 4.0 Billion in 2023 to USD 9.5 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 11.50% during the forecast period (2024 - 2032). The increasing construction activity in both developing and developed nations, coupled with government regulations restricting the use of inefficient lighting systems and supportive initiatives aimed at reducing LED lighting costs, are the main market drivers anticipated to propel the LED Lighting market in Southeast Asia.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
There is a growing demand worldwide for energy-efficient and cost-effective lighting solutions which is driving the market CAGR. LEDs are particularly favored because they convert a higher percentage of electrical energy into light, resulting in significant energy savings. Additionally, LED lighting is sought after for its ability to lower electricity bills. According to CLASP’s Indonesia-wide 5000-household end-use survey, each dwelling has an average of 5.4 lighting points installed, which operate for approximately 7.6 hours daily.
The survey indicates that all surveyed houses are equipped with lighting. Currently, there are over 339 million residential lighting products in use, along with 265 million units in professional settings and 28 million units in outdoor settings. Projections suggest that the number of lighting products in use will continue to grow, with a compounded annual growth rate of 3.5% in the residential sector and 5% in the professional and outdoor sectors. The lighting market was estimated to be nearly 150 million units in 2018.
Moreover, LED lighting systems offer significant long-term savings compared to traditional lighting options. LED lights have a longer lifespan, reducing the need for frequent bulb replacements. Additionally, their energy efficiency helps lower electricity consumption, leading to reduced utility bills over time. Increasingly, businesses are adopting LED lighting solutions to promote environmental sustainability, thereby driving market growth. Thus, driving the Southeast Asia LED Lighting market revenue.
The Southeast Asia LED Lighting market segmentation, based on Product, includes lamps and luminaires. The luminaires segment dominated the market. LED luminaires are commonly used in various applications such as high bays, track lighting, street lighting, and troffers. The primary factor driving the growth of this segment is the increasing installation of new streetlights and track lights, fueled by the rise of smart city initiatives and the expansion of commercial buildings.
Luminaires, including surface walls, streetlights, interior ornamental lights, track lights, pendant lights, and ceiling lights, are frequently deployed in commercial and industrial settings. LED luminaires offer up to 80% greater energy efficiency compared to conventional lighting, delivering more light per unit of output power. Furthermore, these luminaires are designed to retrofit existing fixtures, simplifying the installation process by integrating all electronic components. This streamlined design allows optical designers to utilize them more effectively.
The Southeast Asia LED Lighting market segmentation, based on Application, includes Indoor, and Outdoor. The outdoor category generated the most income. The expansion of infrastructure-related projects, such as highways, airports, and public areas, is driving the demand for LED lights. Additionally, the market for LED lights for outdoor applications is anticipated to grow further, driven by government initiatives aimed at achieving net-zero emissions through reduced energy consumption.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The Southeast Asia LED Lighting market segmentation, based on Installation Type, includes New LED and Retrofit LED. The new LED category generated the most income. The new LED segment is expected to experience the highest growth, primarily driven by the rising adoption of energy-efficient and aesthetically appealing LED lights in both residential and commercial settings.
The Southeast Asia LED Lighting market segmentation, based on Sales Channels, includes Online, and Offline. The offline category generated the most income. The demand for light-emitting diode (LED) lighting is on the rise due to its technical advantages. Offline stores offer several benefits, including the opportunity to experience the real-time effect of LED lighting and access to a wide range of lighting effects under one roof. These factors are expected to make offline distribution channels highly popular among customers.
The Southeast Asia LED Lighting market segmentation, based on End-use, includes Commercial, Residential, Industrial, and Others. The residential generated the most income. Rapid urbanization in developing countries such as China, India, and Brazil is expected to drive the demand for residential LED lighting in the coming years, fueled by increasing income levels and evolving consumer preferences. Additionally, the industry is propelled by the availability of attractive and affordably priced lighting solutions.
Official statistics from Statistics Indonesia reveal that the gross domestic product (GDP) from real estate activities in Indonesia reached IDR 468.22 trillion (USD 29.85 trillion) in 2021, marking a gradual increase since 2014. To address housing needs, the Indonesian government launched the 'One Million Houses' (OMH) program, aiming to construct at least 1 million units annually. According to the Ministry of Public Works and Public Housing (PUPR), as of May 2021, approximately 312,290 housing units were recorded under the One Million Houses program.
Increasing construction activities and rapid urbanization in the commercial sectors of various nations are expected to drive the demand for light-emitting diode (LED) lighting in the market over the forecast period. In June 2022, the Thailand Board of Investment (BOI) approved investment proposals totaling THB 209.5 billion (USD 6.6 billion) for industrial and infrastructure projects. Moreover, the expansion of the construction industry is anticipated due to rising consumer and investor confidence, as well as government expenditures in housing, transportation, renewable energy, and rail projects.
Investment in the Southern Economic Corridor (SEC) and Eastern Economic Corridor (EEC) programs is also expected to contribute to industry growth. The EEC has authorized initiatives totaling THB 669 billion (USD 21.2 billion), with four of the corridor's six major projects currently under construction through public-private partnerships (PPPs). Despite economic challenges, the government remains optimistic that private investment in the EEC will reach THB 300 billion (USD 9.5 billion).
In Vietnam, the government adopted the country's road development plan for 2021-2030 in September 2021. By 2030, the plan aims to construct nearly 5,000 kilometers of expressways, an increase from 3,841 kilometers in 2021. Additionally, Vietnam plans to build 172 national highway routes totaling 29,795 kilometers in length by 2030, up from 5,474 kilometers in 2021. These developments are expected to further drive the demand for LED lighting in the construction sector.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Leading market players are investing heavily in research and development to expand their product lines, which will help the LED Lighting market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the LED Lighting industry must offer cost-effective items.
Major players in the LED Lighting market are attempting to increase market demand by investing in research and development operations, including Acuity Brands, Inc.; Cree Lighting USA LLC; Dialight; Halonix Technologies Private Limited; Hubbell; LSI Industries Inc.; Nanoleaf; Panasonic Corporation; SAVANT TECHNOLOGIES LLC; Seoul Semiconductor Co., Ltd.
Cree Lighting USA LLC
Dialight
Halonix Technologies Private Limited
LSI Industries Inc.
Nanoleaf
Panasonic Corporation
SAVANT TECHNOLOGIES LLC
Seoul Semiconductor Co., Ltd.
May 2023: Dialight announced the launch of its industry-leading 7-year warranty for Aviation Obstruction Lighting Solutions, showcasing the company's dedication to customer satisfaction and product excellence in the LED lighting market.
January 2022: Signify entered a partnership with Gerard Lighting Group, an electrical lighting product manufacturer. This strategic collaboration aimed to bolster Signify's presence in the lighting markets of New Zealand and Australia while creating growth opportunities through synergies between Signify's connected lighting solutions and Pierlite's luminaire offerings.
Lamps
Luminaires
Indoor
Outdoor
New LED
Retrofit LED
Online
Offline
Commercial
Residential
Industrial
Others
Southeast Asia
Indonesia
Thailand
Vietnam
Rest of Southeast Asia
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 3.6 Billion |
| Market Size 2023 | USD 4.0 Billion |
| Market Size 2032 | USD 9.5 Billion |
| Compound Annual Growth Rate (CAGR) | 11.50% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2019-2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Product, application, installation type, sales channel, end-use, and Region |
| Region Covered | Southeast Asia |
| Countries Covered | Indonesia, Thailand, Vietnam, and Rest of Southeast Asia |
| Key Companies Profiled | Acuity Brands, Inc.; Cree Lighting USA LLC; Dialight; Halonix Technologies Private Limited; Hubbell; LSI Industries Inc.; Nanoleaf; Panasonic Corporation; SAVANT TECHNOLOGIES LLC; Seoul Semiconductor Co., Ltd |
| Key Market Opportunities | The rising consumer preference for environmentally friendly products |
| Key Market Dynamics | Rising demand for energy-efficient and cost-saving lighting solutions Favorable government initiatives to reduce emissions |
Frequently Asked Questions (FAQ) :
The Southeast Asia LED Lighting market size was valued at USD 4.0 Billion in 2023.
The market is projected to grow at a CAGR of 11.50% during the forecast period, 2024-2032.
The key players in the market are Acuity Brands, Inc.; Cree Lighting USA LLC; Dialight; Halonix Technologies Private Limited; Hubbell; LSI Industries Inc.; Nanoleaf; Panasonic Corporation; SAVANT TECHNOLOGIES LLC; Seoul Semiconductor Co., Ltd.
The Luminaires category dominated the market in 2023.
The Outdoor category had the largest share of the market.
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Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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