1. Market Excerpt
2. Dramatic saving in energy costs, low maintenance and high durability increasing adoption of LED tube lights
The global LED tube lights market was valued at US$ 3,705.0 Mn in 2017 and is expected to cross US$ 13,000.0 Mn by 2026, at a CAGR of 15.2% during the forecast from 2018 to 2026. Millions of LED tube lights have been installed globally ever since the first time it was introduced a few years back. Though in that relatively short period of time, the LED tube lights have undergone several changes and surely we can count on more changes ahead. On account of its high energy efficiency, LED lights have been increasingly finding application on a large scale in offices, commercial developments and industrial operations in order to attain more cost-savings. The fact that LED tube lights can be used at all locations, except for the places where both downward and upward lighting is required, makes its adoption even higher. Currently, LED tube lights find applications across premises where the lights are required to be placed on a lot. In such instances, the low power consumption of LED tube lights offsets the more expensive acquisition price. Typical applications of LED tube lights include public premises, industrial production premises, warehouses, parking garages, stores and refrigeration rooms/equipment.
LED tube lights use less energy and at the same time also lasts much longer than incandescent lighting. Moreover, widespread use of LED lighting can potentially have a great impact on energy savings in the U.S. According to reports, by 2027, as compared to no LED use, widespread use of LEDs could save about 348 TWh of electricity. This would enable to have a total savings of more than US$ 30 billion at today's electricity prices. Thus, with regulations pertaining to energy consumption getting stringent by the day, the adoption of LED tube lights expected to increase in the coming years.
"Decline in LED tube light prices and government rebate and incentive programs for energy efficient lighting solutions are increasing adoption of LED tube lights in residential sector"
The global LED tube lights market, by application is led by the residential segment and also expected to witness the fastest growth over the forecast period from 2018 to 2026. Accelerating uptake in adoption of LED tube lights in residential application is demonstrated by rapid decline in LED tube light prices. Owing to successive technological advancement, the cost of production of LED tube lights greatly reduced. In the U.S. market, prices of LED lamps have reached parity with that of compact fluorescent lamps in 2017. This is expected to boost the transition from conventional lightings to LEDs. LED tube lights consume over 80% less of electricity than conventional incandescent bulbs. According to the U.S. Census Bureau, the U.S. residential construction was worth more than US$ 150,000 Mn in 2017 and is expected to grow with a growth rate of more than 5% in 2018. With consistent growth in residential construction activities, LED tube lights are expected to witness promising growth in the coming years. Similarly, several types of incentive and rebate programs exist for efficient energy use in the U.S. In 2015 alone, more than US$ 5 Bn were offered in rebates and incentives for efficient use of electricity. With the implementation of several government regulations and incentives offered on the use of energy efficient lights, the residential segment is expected to register promising growth over the following years. Electric lighting accounts for more than 5% of global greenhouse gas emissions and consumes approximately 19% of the U.S.’s total electricity production. With declining cost, greater energy saving and environmental friendly usage of LED tube lights, the U.S. residential LED tube lights market is expected to continue experiencing promising growth in coming years.
"Asia Pacific expected to witness the fastest growth in overall LED tube lights market"
Asia Pacific is the largest regional market for LED tube lights market and is expected to witness the fastest growth over the forecast period. Consumers in major markets are rapidly replacing their conventional light source with LED solutions owing to their benefits such high energy efficiency and longer life. Moreover, rising awareness about the long term cost benefits motivating consumers to purchase LED tube lights overs conventional lighting sources. China and India are major markets for LED tube lights in the region. North America and Europe are also expected to observed significant demand for LED tube lights due to introduction of stringent energy consumption regulations in these regions.
"Manufacturers are focusing on developing advance LED tube light solutions to cater the rising demand for energy efficient lighting solutions"
New Product Development is the major strategy adopted by the leading players in the global LED tube lights market. In a bid to main profitability in the ongoing competitive market environment, major LED tube light manufacturers are focusing on developing new advanced energy efficient LED products. For instance, Koninklijke Philips N.V. has recently introduced energy efficient ‘Philips CorePro LEDtube Universal T8’ tube light as a substitute to standard fluorescent tubes. The application segments of these tube lights include offices, shops, classrooms, and other commercial facilities. Additionally, Cree, Inc. launched a series of LED T8 replacement tubes for its use in the commercial sector. The Company’s LED T8 Series is the first linear fluorescent replacement that delivers industry's best light quality, near-universal driver compatibility and 30% energy savings. LED T8 Series has revolutionized the market of commercial lighting with the product that has universal compatibility with almost all existing fluorescent T8 ballasts.
Why it is recommended to invest in our LED tube lights market research study?
Our market research study on LED tube lights market provides comprehensive analysis of market trends and dynamics of the global industry. The report includes in-depth quantitative as well as qualitative findings of LED tube lights of different size and their end-use application. The report outlines key market driving and limiting factors and highlights key investment areas in the global LED tube lights industry. The study also include high level analysis such as Porter’s Five Forces analysis, value chain analysis and market attractiveness analysis which helps industry players across the value chain to formulate their market winning strategies. The research also focuses on major regions and countries and include market estimates in term of market value (US$ Mn) and volume (Million Units) for all these segments.
Historical & Forecast Period
This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of LED Tube Lights market are as follows:
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
| ATTRIBUTE | DETAILS |
|---|---|
| Research Period | 2022-2032 |
| Base Year | 2023 |
| Forecast Period | 2024-2032 |
| Historical Year | 2022 |
| Unit | USD Million |
| Segmentation | |
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Application
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Region Segment (2022-2032; US$ Million)
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Key questions answered in this report
