LED lighting market rising at 17.3% CAGR during 2015-2019 I

<< Go Back Posted By:administrator on Mar 28,2015in Industry News

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Whereas 2014 was a challenging year for lighting products, many LED light manufacturers saw their revenues rise. This trend is expected to continue, with lamp revenues forecasted to grow at a CAGR of 1.4%, from US$ 28.6 billion in 2014 to US$29.9 billion in 2019, consisting of LED revenue rising at a CAGR of 17.3% while that for traditional technology falls by 7.6%.

Traditional technology lamp suppliers have had to restructure their portfolios, as traditional lighting products are replaced by more profitable LED lamp and luminaire products. At the same time, high growth rates for LED lamps are attracting lots of competition from low-priced Chinese manufacturers, so that margins have been squeezed and could continue to decrease. In fact, some manufacturers could be forced to leave the market altogether if they cannot find a way to compete at lower price points.

A-type LED replacement lamps currently comprise the majority of LED lamp shipments and revenue in North America, Latin America and Europe, Middle East and Africa. An increasing number of manufacturers introduced T-type LED products in 2014, to address this large and growing market. 10.6 billion fluorescent units are currently installed in indoor commercial and industrial applications worldwide, accounting for about 50% of all lamps in this sector. However, LED penetration has yet to surpass 1%.