The global LED lighting market revenue stood at $55,201.9 million in 2020, and it will surge to $152,442.3 million by 2030, exhibiting a CAGR of 10.7% from 2020 to 2030 (forecast period), as per the estimates of P&S Intelligence, a market research company based in India. The market is being driven by the surging use of energy-efficient lighting solutions, falling costs of LED lights, and soaring infrastructure development activities across the world.
With the governments of many countries, such as China, Indonesia, and India, actively focusing on infrastructure development and modernization, the requirement for LED lighting solutions and systems is surging sharply. Additionally, the governments of India, Singapore, China, Austria, and the U.A.E. are making huge investments in smart city development projects. For example, the Indian government has recently announced a smart city development project, under which, 100 cities all over the country will be transformed into smart cities by 2030.
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The government has also approved approximately $15 billion for this project. Likewise, in Spain, the city of Barcelona has installed more than 3,000 LED-powered smart streetlights. The Middle East region is also witnessing the launch of several construction projects, on account of the increasing tourist footfall and many major upcoming events, such as the FIFA World Cup 2022 and the Dubai Expo 2020 (which has been postponed until 2021). Depending on product type, the LED lighting market is divided into lamps and luminaires.
Between these, the luminaires category contributed higher revenue to the market in 2020, due to the surging adoption of these lights in industrial and commercial spaces and implementation of favorable government policies. These lighting devices are easier to deploy, allow optic designers to use less light for illuminating an area, and provide more light per every unit of power consumed than lamps. When installation type is taken into consideration, the market is classified into retrofit and new.