The LED Lighting Market report segments the industry into Indoor Lighting (Agricultural Lighting, Commercial, Industrial and Warehouse, Residential), Outdoor Lighting (Public Places, Streets and Roadways, and more), Automotive Utility Lighting, Automotive Vehicle Lighting, and Region.

The LED light market is predicted to surge at an impressive CAGR of 16.5% during the forecast period. Starting at USD 89,913.3 million in 2024, the market is expected to expand significantly, reaching USD 412,912.7 million by 2034.

The global LED lighting market size reached USD 90.3 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 183.7 Billion by 2033, exhibiting a growth rate (CAGR) of 8.2% during 2025-2033. The growing demand for energy-efficient and cost-saving lighting solutions, rising environmental concerns among individuals, and favorable government initiatives to reduce emissions are some of the major factors propelling the market.

IMARC Group provides an analysis of the key trends in each segment of the global LED lighting market report, along with forecasts at the global, regional and country levels from 2025-2033. Our report has categorized the market based on application.

The United States LED lighting market reached a value of USD 11.77 Billion in 2024. The market is further estimated to grow at a CAGR of 5.30% during 2025-2034 to reach a value of USD 19.73 Billion by 2034.

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LED Lighting Market Size 2025-2029

The Light emitting diode lighting market size is forecast to increase by USD 47.3 billion at a CAGR of 8.5% between 2024 and 2029.

The market is experiencing significant growth due to several key trends. One of the primary factors driving market expansion is the decreasing manufacturing cost of LED lights, making them increasingly affordable for both residential and commercial applications. Another trend influencing the market is the emergence of smart cities, where energy-efficient LED lights are being adopted on a large scale to reduce energy consumption and enhance urban living. LED products include LED strips, bulbs, tube lights, and lamps. 
However, challenges remain, such as the limited thermal tolerance of light emitting diode installed in industrial facilities, which necessitates advanced cooling systems to ensure optimal performance. Despite these challenges, the future of the market looks bright, with continued innovation and technological advancements expected to address existing issues and drive growth.

What will be the Size of the LED Lighting Market During the Forecast Period?

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The market is experiencing significant growth due to the widespread adoption of energy-efficient lighting solutions. LED technology, known for its strong illumination and energy efficiency, is increasingly replacing traditional lighting sources such as incandescent, CFL, and halogen lights. This shift is driven by environmental sustainability concerns and the potential for substantial energy savings. LED lighting is finding applications in various sectors, including residential lighting, retail lighting, and outdoor applications.



LED manufacturers continue to innovate, offering a diverse range of products such as LED bulbs, tube lights, strips, and Wi-Fi-enabled LED lights with occupancy sensors and daylighting capabilities. The integration of LED technology with advanced features like Wi-Fi connectivity and smart sensors further enhances its appeal, making it an attractive investment for businesses and homeowners alike. The energy input requirements for LED lights are significantly lower than their traditional counterparts, contributing to their cost-effectiveness and long-term value.

How is this LED Lighting Industry segmented and which is the largest segment?

The LED lighting industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Application

  Residential
  Commercial
  Outdoor
  Industrial
  Others


Product

  Luminaries
  Lamps


Geography

  APAC

    China
    India
    Japan


  Europe

    Germany
    UK
    France
    Italy


  North America

    Canada
    US


  Middle East and Africa



  South America

    Brazil

By Application Insights

The residential segment is estimated to witness significant growth during the forecast period.

The market experienced significant growth in 2024, with the residential segment leading the way due to increasing urbanization and the demand for energy efficiency. The residential sector's expansion is driven by consumers' preference for trendy and personalized lighting options for home decoration. Moreover, governments worldwide offer incentives for LED adoption, given its energy efficiency compared to traditional lighting sources. For instance, the Indian government's Production-Linked Incentive (PLI) scheme supports local manufacturing. LED technology offers environmental sustainability benefits, making it a preferred choice for various applications, including indoor and outdoor settings. Indoor applications encompass residential lighting, retail lighting, and office lighting, while outdoor applications include horticulture, common open spaces, and public areas.

Furthermore, LED technology is also utilized in the medical device sector for surgical illumination, exam lights, phototherapy, endoscopy, and medical workers' safety. The light emitting diode market comprises various product segments, including LED lamps, LED strips, LED bulbs, LED tube lights, and LED lights. Building automation systems, smart city initiatives, and Wi-Fi and occupancy sensors contribute to the market's growth. The LED lighting portfolio includes common open standards, track lighting, high bays, troffers, street lighting, and the LED lamp category. Light emitting diodelighting systems offer strong illumination for indoor and outdoor situations, making them ideal for designers and product certification bodies. Consumer safety and energy use are essential considerations in the adoption of energy-saving solutions. The automotive sector also utilizes smart lighting solutions.

Get a glance at the LED Lighting Industry report of share of various segments R

The US LED Lighting Market report segments the industry into Indoor Lighting (Agricultural Lighting, Commercial, Industrial and Warehouse, and more.), Outdoor Lighting (Public Places, Streets and Roadways, and more.), Automotive Utility Lighting, and Automotive Vehicle Lighting (2 Wheelers, Commercial Vehicles, Passenger Cars).

Since they use only a fifth of the electricity required by a comparable incandescent bulb, light-emitting diodes (LEDs) are currently among the most energy-efficient light sources in the world. As more and more countries are getting close to phasing out conventional bulbs, LEDs are continuing their march to the top of the market. The penetration rate of LEDs into the global lighting market was rising between 2012 and 2019 and is expected to reach a penetration of some 76 percent in 2025.

The global LED market and leading manufacturers The global market size of LED lighting is projected to rise as well, from some 70 million U.S. dollars in 2019 to almost 100 U.S. dollars in 2023. Not surprisingly, this market is attracting both old and new players in the lighting industry. The world’s leading light bulb-makers, such as Signify and Osram, and specialized LED manufacturers, such as Cree and Nichia, can all be found on the list of leading LED companies worldwide, generating revenue up to some 2 billion U.S. dollars from LED sales annually.

Global LED Lighting Market size will exceed a valuation of USD 191.80 billion by 2032, to grow at a CAGR of 10.2% during the forecast period.

The global marker for LED lighting was sized at about 76 billion U.S. dollars in 2020. It is projected that the market will grow at a compound annual growth rate (CAGR) of over 13 percent in the coming years. In 2026, the market is expected to reach the size of some 160 billion U.S. dollars.

The Vietnam LED lighting market, valued at USD 723.74 Million in 2024, has experienced significant growth, driven by rising per capita income in Vietnam which is expected to lead to an increasing demand for LED in the residential sector. The market is expected to expand at a CAGR of 6.80% from 2025 to 2034, potentially reaching USD 1397.32 Million by 2034, owing to the supportive government initiatives for lowering LED lighting prices.

Global LED Lighting Market size was USD 70.49 billion in 2022 and is grow to USD 165.36 billion by 2030 with a CAGR of 11.28%.

The global LED lighting market attained a value of USD 76.65 Billion in 2024. The LED lighting market expected to grow at a CAGR of 9.10% during the forecast period 2025-2034.

The Global Commercial and Industrial LED Lighting Market is Segmented by Type (Lamps, Luminaries), Distribution Channel (Direct Sales, Wholesalers/Architects/Integrators/Retail), End-user (Commercial Offices, Retail, Hospitality & Leisure, Healthcare, Industrial, Architectural), and Geography.

Vietnam LED lighting market is projected to grow at 8.5% CAGR during 2024-2031, due to growing environmental concerns with innovations in lighting solutions.

LED Lighting Market size reached USD 73.6 billion in 2022 and is estimated to reach USD 167.2 billion in 2030 and the market is estimated to grow at a CAGR of 10.8% from 2023-2030

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Industrial And Commercial LED Lighting Market Size 2025-2029

The industrial and commercial LED lighting market size is forecast to increase by USD 17.99 billion at a CAGR of 8.5% between 2024 and 2029.

The market is experiencing significant growth, driven by the declining manufacturing costs of LED lighting and the increasing adoption of intelligent lighting systems. The global shift towards energy-efficient solutions and the implementation of regulatory norms promoting energy savings are key factors fueling market expansion. Intelligent lighting systems, which offer features such as occupancy sensing, dimming, and remote control, are gaining traction due to their ability to reduce energy consumption and improve operational efficiency. Another trend is the growing traction for intelligent lighting systems and smart lighting, which offer energy savings, improved functionality, and enhanced user experience. The integration of semiconductor technology has further accelerated the development of more efficient and durable lighting solutions. However, the market faces challenges, including the limited thermal tolerance of LEDs installed in industrial facilities, which can impact their lifespan and performance.
Companies seeking to capitalize on market opportunities should focus on developing advanced thermal management solutions and offering customized lighting systems tailored to specific industrial applications. Additionally, strategic partnerships, collaborations, mergers, and acquisitions can help market players expand their reach and enhance their product offerings. Overall, the market presents significant growth potential for companies able to address the challenges and capitalize on the trends driving market expansion.

What will be the Size of the Industrial and Commercial LED Lighting Market during the forecast period?

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The market is experiencing significant growth due to the widespread adoption of energy-efficient lighting solutions. Traditional lighting technologies, such as incandescent light bulbs and Compact Fluorescent Lamps (CFLs), are being replaced by Light-Emitting Diodes (LEDs) in various sectors. LED lighting offers numerous advantages, including a longer lifespan, lower power consumption, and improved light quality. LED lamps and luminaires are increasingly being used in commercial offices, hospitality & leisure, retail outlets, healthcare facilities, factories, warehouses, and other commercial spaces. The market is driven by various factors, including the need for sustainable design, energy efficiency, and the availability of LED retrofit kits for existing lighting infrastructure. Moreover, traditional incandescent light bulbs, which consume large amounts of electrical energy and produce substantial heat energy, are being replaced by LED lamps.
The LED lighting market encompasses a wide range of applications, including backlighting, indoor and outdoor lighting, and smart lighting solutions. LED fixtures are available in various forms, including semiconductor-based lamps and integrated LED luminaires. The market is served by direct sales, wholesalers, architects, integrators, and other stakeholders. The lighting industry has evolved significantly with innovations like the incandescent light bulb being replaced by more energy-efficient solutions such as light-emitting diode (LED) fixtures and compact fluorescent lamps (CFL). The rise of organic light-emitting diodes (OLEDs) and smart LED solutions has paved the way for a new era in lighting technology, with smarter, more energy-efficient systems for both indoor and outdoor lighting. Retrofit projects are increasingly popular, helping businesses and homeowners upgrade to energy-efficient lighting while minimizing environmental impact. These advancements in lighting not only meet the growing market demand for eco-friendly, durable luminaries but also improve the overall quality of outdoor fixtures and indoor lighting systems.

How is the Industrial And Commercial LED Lighting Industry segmented?

The industrial and commercial LED lighting industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product Type

  LED lamps
  LED fixtures


Application

  Indoor
  Outdoor


End-user

  Commercial
  Industrial


Geography

  Europe

    France
    Germany
    Italy
    The Netherlands
    UK


  APAC

    China
    India
    Japan


  North America

    US
    Canada


  Middle East and Africa



  South America

By Product Type Insights

The LED lamps segment is estimated to witness significant growth during the forecast period. The market is experiencing significant growth due to the increasing adoption of energy-efficient lighting solutions. LED lamps, pr

The North American market for light-emitting diodes is projected to reach around 11.7 billion U.S. dollars by 2022. It is expected that the United States will account for approximately two thirds of the market.

United States LED Lighting Market was valued at USD 12.0 Billion in 2024 and is projected to reach USD 18.41 Billion by 2031, growing at a CAGR of 5.5% during the forecast period 2024-2031.

U.S. LED Lighting Market Drivers

Energy Efficiency: LED lighting offers significantly higher energy efficiency compared to traditional lighting technologies, leading to lower energy costs and reduced carbon emissions.

Longer Lifespan: LED lights have a much longer lifespan than traditional incandescent or fluorescent bulbs, reducing maintenance costs and waste.

Diverse Applications: LED lighting is versatile and can be used in various applications, including residential, commercial, industrial, and outdoor lighting.

Government Incentives and Regulations: Government incentives and energy-efficient regulations are driving the adoption of LED lighting.

The LED Lighting Market, valued at approximately USD 69.2 billion in 2022, is projected to expand at a CAGR of 5.10% during the forecast period to reach a market size of USD 99.5 billion by 2033. Key drivers propelling the growth of this market include the increasing adoption of energy-efficient lighting solutions and government initiatives promoting the use of LED lighting. Moreover, the growing awareness of environmental sustainability and the decreasing cost of LED components further contribute to the market growth. Key trends influencing the development of the LED Lighting Market include the advancement of IoT-enabled lighting systems, the integration of smart sensors and controls, and the increasing demand for automotive lighting applications. However, factors such as price sensitivity, market volatility, and competition from traditional lighting technologies pose challenges to market expansion. Regional analysis reveals that North America currently dominates the market, owing to significant technological advancements and the presence of established players. Asia Pacific is expected to witness substantial growth due to the increasing consumer base and rising demand from emerging economies such as China and India. Recent developments include: September 2023: Signify, the owner of the Philips Hue brand announced the global launch of its Philips Smart LED bulbs. The new portfolio is the result of Signify's 2019 acquisition of Wiz, and it is distinguished from Hue products by the "Wiz Connected" badge on its blue box.May 2023: Osram announced the release of the OSLON Optimum family of LEDs in May 2022. These LEDs are based on the most recent ams Osram 1mm2 chip and are designed for horticulture lighting. They offer an exceptional combination of high efficiency, dependable performance, and great value.May 2023: Cyclone Lighting, a well-known manufacturer of outdoor luminaires of Acuity brand announced the debut of its Elencia luminaire. Outdoor post-top lighting has an upscale look thanks to high-performance optics and revised, modern lantern style.. Key drivers for this market are: Enhanced Precision and Accuracy over Conventional Alternatives, Miniaturization of Component Parts. Potential restraints include: Regulation Compliance Associated with Laser Usage. Notable trends are: OTHER KEY INDUSTRY TRENDS COVERED IN THE REPORT.

The global LED lighting market size was worth more than USD 96.47 billion in 2024 and is poised to witness a CAGR of over 14.4%, crossing USD 554.54 billion revenue by 2037. Commercial segment is forecast to achieve largest share by 2037, fueled by growing number of commercial spaces, which increases the demand for energy-efficient LED lighting.