The Lighting Market Report is Segmented by Product Type (Luminaires/Fixtures, and Lamps), Light Source (LED, Fluorescent, HID, and More), Application (Residential, Commercial, Outdoor and Infrastructure, and More), Installation Type (New Installations, and Retrofit and Replacement), Sales Channel (Direct/Project B2B, Retail Offline, and E-Commerce Online), and Geography. The Market Forecasts are Provided in Terms of Value (USD).

According to Cognitive Market Research, the Global Lighting market size will be $172,413.70 Million by 2030.

The Europe Lighting market size is anticipated to reach at USD 53,417.21 Million in 2029.

Market Dynamics of Lighting Market

Key Drivers for Lighting Market

Demand for Artificial Lighting to Boost Driving Market Growth

The demand for artificial lighting is a significant driver of market growth, fueled by factors such as urbanization, technological advancements, and the increasing need for energy-efficient solutions. As urban populations grow, the need for effective and sustainable lighting solutions becomes more pressing. Technological innovations, especially in LED and smart lighting technologies, have led to products that offer enhanced energy efficiency and longer lifespans. Additionally, the global emphasis on sustainability and energy conservation has prompted both consumers and businesses to adopt energy-efficient lighting solutions. These factors collectively contribute to the robust demand for artificial lighting across various sectors.

Key Restraints for Lighting Market

Setting up New Manufacturing Plants to Hamper Market Growth

Establishing new manufacturing facilities in the lighting industry presents several challenges. The initial capital investment required for setting up plants is substantial, encompassing costs for land acquisition, construction, machinery, and technology. Additionally, the complexity of integrating advanced technologies and ensuring compliance with stringent environmental and safety regulations can delay production timelines. Labor shortages and the need for a skilled workforce further complicate operations, leading to increased training costs and potential delays in achieving optimal productivity. These factors collectively contribute to higher operational costs and can strain financial resources, affecting the overall profitability and growth prospects of lighting manufacturers.

Key Trends for Lighting Market

Rising Adoption of Solar to Create Opportunities in the Market 

The growing adoption of solar energy presents significant opportunities in the lighting market, particularly in regions with abundant sunlight. Advancements in photovoltaic technology and decreasing costs of solar panels have made solar-powered lighting solutions more accessible and cost-effective. Government incentives and policies, such as subsidies and tax breaks, further encourage the adoption of solar lighting systems. These developments not only promote energy efficiency and sustainability but also reduce dependence on conventional power sources, contributing to a cleaner environment. Therefore, the integration of solar energy into lighting solutions is becoming increasingly prevalent, driving growth in the market. For instance, in November 2024, a survey revealed that 52% of Indians are open to adopting solar power if incentivized with easy financing support. (Source:https://the-good.in/2024/11/18/52-indians-open-to-adopt-solar-power-if-incentivised-with-easy-financing-support-luminous-survey/?)
Introduction of the Lighting Market

The Lighting industry is experiencing significant transformation, driven by advancements in smart lighting technologies, increasing demand for energy-efficient solutions, and growing emphasis on sustainability. Smart lighting systems, powered by IoT and AI, are enhancing user experience through automation and energy optimization. However, challenges such as supply chain disruptions and regulatory complexities pose risks to market growth. Innovations like organic light-emitting diodes (OLEDs) and human-centric lighting are redefining design possibilities, offering improved energy efficiency and user well-being. These developments are shaping a more connected, sustainable, and user-centric lighting landscape. For instance, in December 2024, Light + LED Expo India attracted over 11,000 visitors, emphasizing the industry's shift towards intelligent and sustainable lighting solutions. (Source:https://www.in.messefrankfurt.com/mumbai/en/press/press-releases/2024/Sparking-business-and-innovations-the-29th-edition-of-Light-LED-Expo-India-2024-wraps-up-attracting-11211-visitors.html?)

The global lighting market size reached USD 141.5 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 219.7 Billion by 2033, exhibiting a growth rate (CAGR) of 5.01% during 2025-2033. The growing adoption of enhanced and efficient lighting solutions among individuals, rising utilization in commercial and residential areas, and increasing use in the mining industry represent some of the major factors propelling the market growth.

Report Attribute	Key Statistics
Base Year	2024
Forecast Years	2025-2033
Historical Years	2019-2024
Market Size in 2024	USD 141.5 Billion
Market Forecast in 2033	USD 219.7 Billion
Market Growth Rate 2025-2033	5.01%

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

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Smart Lighting Market Size 2025-2029

The smart lighting market size is forecast to increase by USD 26.4 billion at a CAGR of 18.5% between 2024 and 2029.

The market is experiencing significant growth, driven by the integration of Internet of Things (IoT) technology and the increasing adoption of energy-efficient LED lighting solutions. The ability of smart lighting systems to offer energy savings, enhance user experience, and provide advanced features such as occupancy sensing and color tuning, is fueling market expansion. However, technological challenges related to LEDs, including high upfront costs and complex installation processes, remain key barriers to widespread adoption. Additionally, the need for interoperability and standardization across various smart lighting solutions is crucial for market growth.
Companies seeking to capitalize on this market opportunity should focus on addressing these challenges through innovative business models, partnerships, and technological advancements. By offering cost-effective solutions, simplified installation processes, and ensuring compatibility with various IoT platforms, companies can effectively navigate the competitive landscape and capture a larger market share.

What will be the Size of the Smart Lighting Market during the forecast period?

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The market encompasses various applications, including lighting visualization, security, safety, biodynamic lighting, energy monitoring, adaptive lighting, comfort, remote management, maintenance optimization, effects, integration, atmosphere, aesthetics, asset management, retrofits, human-centric lighting, circadian lighting, mesh networking, dynamic lighting, ambiance, personalization, power over ethernet, simulation tools, management platforms, and control software. These solutions cater to diverse business needs, enhancing energy efficiency, ensuring safety, and promoting comfort and productivity. The integration of advanced technologies, such as mesh networking and dynamic lighting, enables real-time monitoring and optimization of lighting systems.
Smart lighting solutions also offer personalization features, allowing businesses to tailor lighting conditions according to their specific requirements. Energy management is a significant trend, as these systems enable businesses to monitor and reduce energy consumption. Furthermore, the adoption of human-centric and circadian lighting solutions is gaining traction, as they mimic natural light patterns to improve employee well-being and productivity.

How is this Smart Lighting Industry segmented?

The smart 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.

Application

  Commercial
  Residential
  Public infrastructure
  Others


Component

  Hardware
  Software
  Services


Connectivity

  Wired
  Wireless


Distribution Channel

  Online
  Offline


Product Type

  Smart Bulbs
  Smart Fixtures
  Smart Controls


Technology

  LED
  Zigbee
  Wi-Fi
  Bluetooth


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    The Netherlands
    UK


  Middle East and Africa

    UAE


  APAC

    China
    India
    Japan


  South America
  Rest of World (ROW)

By Application Insights

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

In the realm of commercial lighting, establishments such as restaurants, bars, hotels, industrial facilities, offices, and malls are embracing smart lighting solutions. The commercial segment holds a significant market share due to the increasing regulatory pressure on energy usage and CO2 emissions. These businesses are integrating smart lighting systems to optimize energy consumption, enhance control, and align with the Internet of Things (IoT) ecosystem. Smart lighting systems offer numerous advantages, including energy savings and a long lifespan, resulting in substantial cost reduction. Advanced features like dimmability, timers, occupancy sensors, daylighting, and smartphone optimization provide unparalleled control over lighting.

Furthermore, LED technology, the backbone of smart lighting, generates less heat compared to traditional bulbs, ensuring optimal temperature and energy efficiency. Industrial facilities benefit from the flexibility of accent lighting, while offices utilize task lighting to improve productivity. Retail spaces leverage ambient lighting to create an inviting shopping experience. Energy efficiency and cost reduction are crucial factors driving the adoption of smart lighting in various sectors. The integration of data analytics, voice control, and cloud connectivity further enhances the functionality of these systems. Governm

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.

This statistic represents a forecast for the global lighting product market between 2011 and 2020, broken down by application. It is estimated that office lighting will have a market volume of around ** billion euros in 2016.

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, reaching a value of USD 183.13 Billion by 2034.

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LED Lighting Market Size 2025-2029

The led 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, driven primarily by the declining manufacturing costs of LED lights. This cost reduction has made LED lighting increasingly competitive with traditional lighting solutions, leading to widespread adoption across various industries. However, the market also faces challenges, including the limited thermal tolerance of LEDs when installed in industrial facilities. This issue can lead to reduced lifespan and performance, necessitating careful consideration in the design and implementation of LED lighting systems. Additionally, the emergence of smart cities is creating new opportunities for LED lighting, as energy efficiency and connectivity become key priorities for urban infrastructure development.
Companies seeking to capitalize on these trends should focus on developing innovative LED lighting solutions that address thermal management challenges and offer advanced features such as energy savings, remote control, and integration with smart city infrastructure. By addressing these market dynamics effectively, businesses can position themselves for success in the evolving LED lighting landscape.

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

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The market continues to evolve, driven by advancements in technology and its applications across various sectors. Residential lighting integrates energy management systems, LED assembly, and wireless lighting control to create efficient and customizable solutions. In industrial settings, LED high bays, heat sinks, reflectors, and smart lighting control systems enhance building automation and energy efficiency. LED regulations and standards shape the market, influencing the development of LED lenses, certifications, and manufacturing processes. Outdoor lighting applications, including LED streetlights, landscape lighting, and retrofit kits, contribute to energy savings and reduced light pollution. Indoor lighting, hospitality lighting, and retail environments utilize LED panels, color temperature adjustments, and dimmable options for enhanced user experiences.

LED chips and manufacturing processes improve lumen output, power consumption, and color-tunable capabilities. The integration of IoT connectivity, lighting design, and human-centric lighting further expands the market's potential. LED downlights, architectural lighting, and floodlights cater to diverse industries and applications, ensuring the market remains a dynamic and innovative force.

How is this LED Lighting Industry segmented?

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

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  APAC

    China
    India
    Japan


  South America

    Brazil


  Rest of World (ROW)

By Application Insights

The residential 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 across various applications. In 2024, the residential segment led the market, driven by urbanization and the trend towards energy efficiency. Consumers are now prioritizing trendy and personalized LED lighting systems for home decoration, leading to increased demand. Governments worldwide are also supporting this shift by offering subsidies on LED lighting, recognizing its energy efficiency advantages over traditional lighting. Industrial lighting, including LED high bays, is another major application segment, with the need for robust and long-lasting lighting solutions driving demand.

Smart lighting and lighting control systems are gaining popularity in commercial and industrial settings, with building automation and energy management playing crucial roles. LED regulations and standards ensure the quality and safety of these systems, while LED manufacturing continues to advance with innovations in LED chips, panels, and diffusers. Outdoor lighting, including LED floodlights and spotlights, is essential for safety and security, while LED retrofit kits offer cost-effective upgrades for existing lighting infrastructure. LED streetlights are becoming increasingly common due to their energy efficiency and longevity. Landscape lighting and architect

The global LED lighting market was valued at US$ 94.52 billion in 2024 and is set to reach around US$ 254.23 billion by 2034 at a CAGR of about 10.4% from 2025 to 2034.

The North America Decorative Lighting Market size is USD 14 billion in 2023, driven by market trends, forecast insights, and future growth opportunities. Explore key player strategies and segmentation analysis.

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Professional Lighting Market Size 2025-2029

The professional lighting market size is forecast to increase by USD 48.2 billion, at a CAGR of 7.4% between 2024 and 2029.

The market is experiencing significant growth, driven by the increasing urbanization and infrastructure development worldwide. As cities expand and modernize, the demand for advanced professional lighting solutions to enhance public spaces, commercial buildings, and outdoor environments is on the rise. This trend is further fueled by technological advancements in lighting, including energy-efficient LED technology and smart lighting systems, which offer improved performance, longevity, and cost savings. Industrial lighting, including low bay and high bay lighting, is adopting advanced ballast technology for improved performance and longevity. However, the high initial cost for professional lighting solutions remains a challenge for market growth. The implementation of these advanced systems can require substantial investment, which may deter some potential buyers. Additionally, the integration of these systems into existing infrastructure can pose complex installation challenges.
To capitalize on market opportunities, companies must focus on offering financing options, flexible pricing structures, and turnkey installation services to help clients overcome these barriers. By addressing these challenges and continuing to innovate, the market players can effectively meet the growing demand for advanced, energy-efficient lighting solutions. A greater use of energy-saving characteristics of LEDs, due to their decreasing cost, and compatibility with the existing lighting fixtures will be a major trend in the market in the coming years.

What will be the Size of the Professional Lighting Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The global professional lighting market has experienced a growing demand for architecture and decorative lighting in the commercial and industrial sectors. The market is experiencing significant advancements, driven by the integration of technology and sustainability. LEED certification, a leading certification for green buildings, prioritizes energy efficiency and the use of sustainable lighting solutions. Light and productivity research highlights the importance of optimal lighting conditions for employee performance. Data analytics is revolutionizing the industry, enabling real-time monitoring of lighting performance and energy usage. Sustainability ratings, such as Energy Star, provide benchmarks for evaluating the environmental impact of lighting systems. Lighting control protocols, including DALI, DMX, and WiFi, facilitate automation and remote management. Lumens per watt, a key performance metric, is continually improving with advancements in LED technology, including phosphor-converted LED, light emitting polymer, and remote phosphor.
Visual acuity and color temperature control are essential considerations for various applications, from office spaces to healthcare facilities. Monitoring light intensity is crucial for precision, especially in light therapy, which influences light and mood positively. Light and sleep research underscores the importance of proper lighting for circadian rhythms. High intensity discharge (HID) and compact fluorescent lamps (CFL) are being replaced by more energy-efficient alternatives, such as solar-powered lighting and intelligent lighting systems. Lighting automation and wireless mesh networks enable seamless control and optimization of lighting systems. Building codes and regulations, such as Title 24 in California, mandate energy efficiency and the use of lighting management systems. Light harvesting and photovoltaic cells are emerging technologies that harness ambient light and convert it into electricity, further reducing energy consumption.

How is this Professional Lighting Industry segmented?

The professional 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.

Type

  LED lighting
  Conventional lighting
  Smart lighting


Component

  Luminaries
  Control systems


Distribution Channel

  Offline
  Online


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    UK


  APAC

    Australia
    China
    India
    Japan
    South Korea


  Rest of World (ROW)

By Type Insights

The LED lighting 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 LED components and LED-based luminaires. LEDs' energy

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General Lighting Market Size 2025-2029

The general lighting market size is valued to increase USD 68.9 billion, at a CAGR of 8.1% from 2024 to 2029. Declining manufacturing cost of LEDs will drive the general lighting market.

Major Market Trends & Insights

APAC dominated the market and accounted for a 44% growth during the forecast period.
By Product - LED lighting segment was valued at USD 61.80 billion in 2023
By Application - Residential segment accounted for the largest market revenue share in 2023

Market Size & Forecast

Market Opportunities: USD 115.77 billion
Market Future Opportunities: USD 68.90 billion
CAGR : 8.1%
APAC: Largest market in 2023

Market Summary

The market encompasses the production, sales, and installation of various lighting solutions for residential, commercial, and industrial applications. Core technologies driving this market's growth include LED and OLED lighting, with their energy efficiency and long lifespan gaining widespread adoption. Applications span across indoor and outdoor lighting, with the growing number of households and urbanization leading to increased demand. Service types range from design and installation to maintenance and repair. Regulations, such as energy efficiency standards, further shape market dynamics. Looking ahead, the market is expected to continue evolving, with declining manufacturing costs of LEDs and the growing importance of smart lighting systems presenting significant opportunities. According to recent studies, the LED lighting market is projected to account for over 60% of the global lighting market share by 2025. Related markets such as the Solar Photovoltaic Systems Market and the Building Automation Systems Market also influence the market's trajectory.

What will be the Size of the General Lighting Market during the forecast period?

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How is the General Lighting Market Segmented and what are the key trends of market segmentation?

The general 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. ProductLED lightingTraditional lightingApplicationResidentialCommercialOutdoorIndustrialOthersGeographyNorth AmericaUSCanadaEuropeFranceGermanyUKAPACAustraliaChinaIndiaJapanSouth KoreaRest of World (ROW)

By Product Insights

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

The market is witnessing significant advancements, driven by the increasing adoption of energy-efficient LED technology. Currently, LED lighting holds a market share of approximately 35% and is projected to expand further. Traditional lighting sources, such as Compact Fluorescent Lamps (CFLs), Lighting Fluorescent Lamps (LFLs), and High-Intensity Discharge (HID) lamps, are gradually being replaced due to their high power consumption and inadequate energy efficiency. In terms of future growth, the market is expected to expand by around 25% in the next five years. This expansion is primarily driven by the increasing demand for energy-efficient lighting solutions, advancements in driver technology, and the integration of smart lighting systems. Photometric testing, thermal management, and spectral power distribution are crucial factors influencing the market's evolution. Power factor correction, IES data, and lighting simulation software are essential components of modern lighting infrastructure. Digital lighting control, optical design, daylight harvesting, and illuminance levels are increasingly being adopted to optimize energy efficiency and enhance lighting quality. Human-centric lighting, integrated lighting, and zoning strategies are also gaining popularity in various sectors. Light pollution reduction is another significant trend, as businesses aim to minimize their environmental impact. Energy efficiency standards, such as Energy Star rating, are driving the market's growth. The color temperature, color rendering index, and efficacy measurements are essential factors influencing the adoption of LED technology in various applications. In the retail sector, task lighting and accent lighting are increasingly being used to create an optimal shopping experience. In the industrial sector, high illuminance levels are required for safety and productivity. In the office sector, ambient lighting is essential for creating a comfortable work environment. The lighting market is a dynamic and evolving industry, with ongoing advancements in technology and changing market trends. The integration of IoT and AI in lighting systems is expected to further revolutionize the market. Despite these advancements, fixture lifespan and cost-effectiveness remain crucial factors influencing m

The Wireless Lighting Market is estimated to be valued at USD 146.2 billion in 2025 and is projected to reach USD 205.8 billion by 2035, registering a compound annual growth rate (CAGR) of 3.5% over the forecast period.

Attribute	Detail
Industry Size (2025)	USD 146.2 billion
Indsutry Size (2035)	USD 205.8 billion
CAGR (2025 to 2035)	3.5%

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.

Commercial Landscape Lighting Market Outlook

The commercial landscape lighting market size was valued at USD 5.3 billion in 2023 and is projected to reach USD 9.8 billion by 2032, growing at a compound annual growth rate (CAGR) of 7.1% from 2024 to 2032. The growth factor driving this market includes the increasing emphasis on aesthetic enhancement of commercial properties and public spaces, driven by urbanization and the need for energy-efficient lighting solutions.

One of the primary growth factors for the commercial landscape lighting market is the rapid pace of urbanization globally. As cities expand and new commercial properties are developed, the demand for aesthetically pleasing and functional outdoor lighting increases. This is particularly evident in emerging economies where infrastructure projects are booming. Additionally, urban planners are increasingly incorporating advanced lighting solutions in city landscapes to enhance nighttime aesthetics and improve safety, thereby driving market growth.

Another significant growth factor is the advent of energy-efficient lighting technologies, particularly LED and solar lighting. These technologies not only reduce energy consumption but also have a lower environmental impact, aligning with global sustainability goals. LEDs, for instance, offer longer lifespans and lower maintenance costs compared to traditional lighting, making them an attractive option for commercial landscape lighting. This shift towards energy-efficient solutions is further supported by government regulations and incentives aimed at reducing carbon footprints.

The increasing focus on smart lighting systems also contributes to market growth. Smart lighting solutions, which can be controlled and monitored remotely, offer significant advantages in terms of energy management and maintenance. These systems can be integrated with other smart city technologies, providing a comprehensive approach to urban management. The ability to adjust lighting based on real-time data not only enhances energy efficiency but also improves the overall user experience in public and commercial spaces.

The integration of a Landscape Lighting Control System is becoming increasingly pivotal in the commercial landscape lighting market. These systems allow for centralized management and automation of lighting across vast outdoor spaces, enhancing both functionality and energy efficiency. By enabling precise control over lighting schedules and intensity, businesses can optimize their energy use, reduce costs, and extend the lifespan of their lighting installations. Furthermore, these control systems can be integrated with existing building management systems, providing a seamless solution for facility managers. As urban areas continue to expand, the demand for sophisticated lighting control systems is expected to rise, supporting the broader trend towards smart cities and sustainable urban development.

Regional outlook for the commercial landscape lighting market shows significant growth potential in North America and Asia-Pacific. North America, with its advanced infrastructure and high adoption rate of new technologies, is expected to maintain a leading position in the market. Meanwhile, the Asia-Pacific region is anticipated to witness the highest growth rate due to rapid urbanization and increased investments in infrastructure development. Europe also represents a substantial market share, driven by stringent energy efficiency regulations and a focus on smart city initiatives.

Product Type Analysis

LED lighting dominates the commercial landscape lighting market and is expected to continue its dominance throughout the forecast period. The primary reasons for this are its energy efficiency, long lifespan, and declining costs. LEDs consume significantly less power compared to traditional lighting options like halogen and HID lighting, making them a cost-effective solution for large commercial spaces. Moreover, advancements in LED technology have resulted in improved brightness and color rendering, which are crucial for landscape lighting applications.

Solar lighting is gaining traction due to its sustainability and low operational costs. Solar lighting systems utilize renewable energy, reducing the dependency on the grid and lowering electricity bills. These systems are particularly beneficial for remote or off-grid areas where extending electrical infrastructure can be challenging and expensiv

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Lighting Market Size 2025-2029

The lighting market size is valued to increase USD 62.8 billion, at a CAGR of 7.4% from 2024 to 2029. Growing number of developments and lighting product launches will drive the lighting market.

Major Market Trends & Insights

APAC dominated the market and accounted for a 45% growth during the forecast period.
By Application - General lighting segment was valued at USD 83.90 billion in 2023
By Type - LED technology segment accounted for the largest market revenue share in 2023

Market Size & Forecast

Market Opportunities: USD 87.77 billion
Market Future Opportunities: USD 62.80 billion
CAGR : 7.4%
APAC: Largest market in 2023

Market Summary

The market encompasses a dynamic and ever-evolving industry, driven by advancements in core technologies and applications. LED lighting, for instance, holds a significant market share with its energy efficiency and long lifespan. In the realm of applications, the growing adoption of smart lighting systems, particularly in commercial and residential sectors, is a major trend. Service types, such as installation, maintenance, and consulting, continue to gain traction. Regulations, such as energy efficiency standards, further shape market dynamics. Notably, sustainability is a pressing issue, with increasing focus on eco-friendly lighting solutions.
The number of developments and lighting product launches continues to accelerate, with automotive lighting systems seeing significant advances. These factors and more contribute to the ongoing evolution of the market. For instance, the global smart lighting systems market is projected to reach a value of 33.64 billion USD by 2026, growing at a steady pace.

What will be the Size of the Lighting Market during the forecast period?

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How is the Lighting Market Segmented and what are the key trends of market segmentation?

The 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

  General lighting
  Automotive lighting
  Backlighting


Type

  LED technology
  Traditional technology


Product

  Luminaires/Fixtures
  Lamps


Distribution Channel

  Direct sales/Developers/Contract
  Wholesalers/Electricians
  Lighting Specialists
  Others


End-User

  Construction
  Automotive
  Hospitality
  Retail


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  Middle East and Africa

    Egypt
    Oman
    UAE


  APAC

    China
    India
    Japan


  South America

    Argentina
    Brazil


  Rest of World (ROW)

By Application Insights

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

The market is experiencing significant advancements, with the general lighting segment leading the charge. This segment encompasses lighting in various applications, including homes, offices, factories, streets, stadiums, and theaters. Its popularity is attributed to the ongoing shift towards energy-efficient and cost-effective lighting solutions, primarily LEDs. LEDs, introduced commercially in the 1970s, have revolutionized the lighting industry. Although their initial purchase cost is higher, their low maintenance expenses make them an attractive choice for consumers. Market leaders, such as Signify NV (Signify), OSRAM, and IDEAL INDUSTRIES Inc., have capitalized on this trend, focusing on the general lighting segment.

Moreover, the integration of advanced technologies like power line communication, sensor networks, thermal management, and control system architectures has added value to lighting systems. These innovations have led to the development of tunable white lighting, energy management systems, smart lighting controls, and human-centric lighting. The market for lighting is continually evolving, with emerging trends like optical design, adaptive lighting systems, and data analytics platforms shaping the future. For instance, the adoption of photometric calculations, spectral power distribution, and network communication protocols has enabled energy efficiency, wireless control, and remote monitoring. Additionally, the integration of lighting infrastructure with power consumption monitoring and daylight harvesting has gained traction.

Lighting simulation software and occupancy sensing have further enhanced the overall performance and efficiency of lighting systems. According to recent studies, the market for lighting has grown by 15.3% in the past year. Furthermore, industry experts anticipate a 20.7% increase in market size within the next five years. These figures underscore the growing demand for advanced lighting s

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 global automotive lighting market reached a value of nearly USD 34.16 Billion in 2024. The market is assessed to grow at a CAGR of 6.10% during the forecast period of 2025-2034 to attain around USD 61.75 Billion by 2034. The automotive lighting market is experiencing significant growth globally, driven by rising demand for advanced vehicle lights. The global market is especially expanding in the Asia Pacific region, where vehicle production and technological advancements in automotive lighting solutions are rapidly progressing. With increasing focus on vehicle aesthetics and safety features, the shape and design of automotive lighting are evolving to meet modern consumer preferences.

The LED Lighting Market size was valued at USD 81.48 billion in 2023 and is projected to reach USD 169.17 billion by 2032, exhibiting a CAGR of 11.0 % during the forecasts period. LED is a highly energy-efficient lighting technology, and has the potential to fundamentally change the future of lighting in the United States. Residential LEDs especially ENERGY STAR rated products use at least 75% less energy, and last up to 25 times longer, than incandescent lighting.The light-emitting diode (LED) is today's most energy-efficient and rapidly developing lighting technology. Quality LED light bulbs last longer, are more durable, and offer comparable or better light quality than other types of lighting. This growth is attributed to various factors: Recent developments include: In October 2023, YEELIGHT launched its new LED product, The Yeelight Beam, featuring a tabletop-style design with a headphone stand. This light is easy to set up and can be controlled with multiple smart control applications such as Apple HomeKit, Amazon Alexa, and Google. , In October 2023, electric company Halonix Technologies launched an LED bulb, UP-DOWN GLOW, featuring three switch-enabled modes in India. This light's dome, an upper part and stem, a lower part glows in multiple colors, enhancing the consumer's experience. , In September 2023, LED lighting provider US LED introduced a new series of outdoor LED luminaires, Right Choice, to improve the user's experience in sightseeing. The LED lighting design is contractor friendly as it poses trunnion mount, direct pole mount, and adjustable slip fitter. , In July 2023, Zumtobel introduced two intelligent lighting technology systems and three new luminaires in its product portfolio. These cutting-edge solutions include the TRAMAO pendant luminaire for hotels and offices, which effectually absorbs sound and delivers the highest light quality, and the SLOTLIGHT infinity II light line family. , In May 2023, Dialight announced the launch of its industry-leading 7-year warranty for Aviation Obstruction Lighting Solutions. This initiative highlighted the company’s commitment to both customer satisfaction and product quality in the LED lighting market. , In May 2023, Zumtobel launched the all-new high-accuracy positioning luminaires. These new luminaires are integrated with IoT for smart analyses in logistic, retail, and industrial applications. , In May 2023, Dialight launched the ProSite High Mast, an extension of the company’s ProSite Floodlight series. This advanced solution is a precision-engineered LED lighting fixture purposed to support mounting heights of up to 130 feet for diverse outdoor industrial applications, including airports, rail yards, container yards, transport, parking lots, product stockpiles, and perimeter lighting. , In April 2023, Cree Lighting unveiled the launch of its OSQ Series C mid-power LED Area and Flood luminaires. These solutions feature the groundbreaking NanoComfort Technology, delivering matchless efficiency, astonishing visual comfort, precise control, reduced wind load requirements, and ease of installation. .

The global automotive lighting market is valued at USD 42.05 billion in 2025 and is projected to expand to USD 78.94 billion by 2035, growing at a CAGR of 6.5% over the forecast period.

Attribute	Details
Market Size (2025)	USD 42.05 billion
Market Size (2035)	USD 78.94 billion
CAGR (2025 to 2035)	6.5%

Analyzing Automotive Lighting Market by Top Investment Segments

Light Source	Share (2025)
LED	55%

Application	CAGR (2025 to 2035)
Front Headlights	6.9%

Vehicle Type	CAGR (2025 to 2035)
SUV	7.2%

Sales Channel	CAGR (2025 to 2035)
OEM	6.7%

Country-wise Insights

Country	CAGR (2025 to 2035)
United States	6.6%

Country	CAGR (2025 to 2035)
United Kingdom	6.3%

Region	CAGR (2025 to 2035)
European Union	6.5%

Country	CAGR (2025 to 2035)
Japan	6.4%

Country	CAGR (2025 to 2035)
South Korea	6.7%