Asia Pacific Indoor LED Lighting Market Size

The Asia Pacific Indoor LED Lighting Market is projected to experience significant growth, driven by increasing demand in both industrial and residential sectors. China holds a substantial portion of the market share, particularly in industrial and warehouse lighting, due to its robust industrial production and rising need for distribution centers. Meanwhile, India is witnessing a surge in residential lighting demand, supported by government initiatives and rising disposable incomes. The market's expansion is further fueled by rapid urbanization and housing demands across the region, highlighting the critical role of government subsidies and economic growth in boosting LED adoption.

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Market Size of asia pacific indoor led lighting Industry

Asia Pacific Indoor LED Lighting Market Summary
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svg icon Study Period 2017 - 2030
svg icon Market Size (2024) USD 11.54 Billion
svg icon Market Size (2030) USD 16.58 Billion
svg icon Largest Share by Indoor Lighting Industrial and Warehouse
svg icon CAGR (2024 - 2030) 6.23 %
svg icon Largest Share by Country China

Major Players

Asia Pacific Indoor LED Lighting Market Major Players

*Disclaimer: Major Players sorted in no particular order

Key Players

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Asia Pacific Indoor LED Lighting Market Analysis

The Asia Pacific Indoor LED Lighting Market size is estimated at 11.54 billion USD in 2024, and is expected to reach 16.58 billion USD by 2030, growing at a CAGR of 6.23% during the forecast period (2024-2030).

11.54 Billion

Market Size in 2024 (USD)

16.58 Billion

Market Size in 2030 (USD)

2.21 %

CAGR (2017-2023)

6.23 %

CAGR (2024-2030)

Largest Segment by Indoor Lighting

66.92 %

value share, Industrial and Warehouse, 2023

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The Asia-Pacific manufacturing sector has shown considerable growth since the fourth quarter of 2020 and a positive growth in industrial production by the second quarter of 2020.

Largest Segment by Commercial

42.78 %

value share, Office, 2023

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Asia-Pacific continues to be the only region to record consecutive quarters of positive net absorption throughout the pandemic. About 153 million sq. ft of office space has been occupied across the region’s top 25 markets.

Largest by Country

33.72 %

value share, China, 2023

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In 2022, China had a total population of 1,411.75 million. The country sustained its industrial production in 2021 and produced a total of USD 4,865.8 billion in value, an increase of 26.04% compared to 2020.

Fastest-growing Segment by Country

9.58 %

Projected CAGR, China, 2024-2030

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China is a net exporter and one of the cheapest manufacturing hubs in the world. Its total exports hit an all-time high in 2022, accounting for USD 6.3 trillion, up by 7.7% from 2021.

Leading Market Player

8.53 %

market share, Panasonic Holdings Corporation, 2022

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Panasonic holds the highest market share in Asia-Pacific. The company has eco-friendly LED lights that are valued for achieving energy savings of 50% or more compared to older fluorescent lighting.

Increasing development in the industrial sector and residential sector drives the market growth

  • In terms of value share, in 2023, industrial and warehouse accounts for most of the share. China is the second-largest economy in the world as of 2022. Warehouse space in China cost an average of CNY 44.3 (USD 6.15) per square meter per month during pre-COVID-19. In China, there has been a steady rise in the demand for warehouses, raising the cost of renting them post-pandemic. Revenue for the storage industry in China is expected to increase at an annualized 4.3% over the five years.
  • Similarly, in India, manufacturing generated 16-17% of India's GDP before the pandemic and is expected to be one of the fastest-growing sectors. India's industrial and warehousing sector reported a nearly 11 million square feet robust absorption, with tier-I cities driving 77% of the demand. Such factors are expected to increase the LED penetration demand.
  • In terms of volume share, in 2023, residential accounts for most of the share. Over the past three decades, Asia experienced a high urbanization rate. While rapid urbanization helped to fuel economic growth, it has led to major demand for housing, resulting in high housing prices. Japan will likely see an excess supply of 10 million dwelling units in 2023, partly due to government housing policy with a shrinking population. The number of households will peak at 54.19 million in 2023. Such a factor caters to a major LED demand.
  • Government subsidy plays a major role in the adoption of new housing. In India, the government has introduced several energy-saving programs. For example, the central government's ambitious Pradhan Mantri Awas Yojana (PMAY) program aims to build 20 million affordable metropolitan housing units nationwide by 2022. Such factors might lead to major sales, leading to more LED demand in the coming period.
Asia Pacific Indoor LED Lighting Market

Growing number of industrial production and disposable income drive the demand for market

  • In terms of value and volume share, China stood with the majority of the share in indoor LED lighting in 2023. In terms of value share, in 2023, industrial and warehouse (I&W) accounted for the majority of the share in China. China sustained its industrial production in 2021. In 2021, China produced a total of USD 4865.8 billion, an increase of 26.04% compared to 2020. In 2022, industrial production grew by 3.6%. China's industrial production increased by 3.9% year-on-year in March 2023. Thus, the growing industrial production post-pandemic is creating demand for indoor lighting in the coming years.
  • In addition, during its Investor Day in 2021, the company announced that it intends to expand its logistics network over the following five years to 45 to 50 distribution centers. The country’s total exports hit an all-time high in 2022, accounting for CNY 42.07 trillion (USD 6.3 trillion), up 7.7% from 2021. On the other hand, imports increased by 1.1%. With the increasing demand for distribution centers, the LED demand is expected to rise.
  • India stands at the second spot in terms of value and volume share. Regarding volume share, residential lighting had the largest share in 2022. In 2022, the average household size, including all registrants nationwide, was 4.4, leading to an increase in private households and homeowners. In India, disposable income is increasing. India's per capita income reached USD 2301.4 in March 2022, compared to USD 1971.6 in March 2021. This suggests that people in India may have lower purchasing power than those countries. As a result, more homes will be purchased and the use of LED lighting will increase.

Asia Pacific Indoor LED Lighting Industry Segmentation

Agricultural Lighting, Commercial, Industrial and Warehouse, Residential are covered as segments by Indoor Lighting. China, India, Japan are covered as segments by Country.

  • In terms of value share, in 2023, industrial and warehouse accounts for most of the share. China is the second-largest economy in the world as of 2022. Warehouse space in China cost an average of CNY 44.3 (USD 6.15) per square meter per month during pre-COVID-19. In China, there has been a steady rise in the demand for warehouses, raising the cost of renting them post-pandemic. Revenue for the storage industry in China is expected to increase at an annualized 4.3% over the five years.
  • Similarly, in India, manufacturing generated 16-17% of India's GDP before the pandemic and is expected to be one of the fastest-growing sectors. India's industrial and warehousing sector reported a nearly 11 million square feet robust absorption, with tier-I cities driving 77% of the demand. Such factors are expected to increase the LED penetration demand.
  • In terms of volume share, in 2023, residential accounts for most of the share. Over the past three decades, Asia experienced a high urbanization rate. While rapid urbanization helped to fuel economic growth, it has led to major demand for housing, resulting in high housing prices. Japan will likely see an excess supply of 10 million dwelling units in 2023, partly due to government housing policy with a shrinking population. The number of households will peak at 54.19 million in 2023. Such a factor caters to a major LED demand.
  • Government subsidy plays a major role in the adoption of new housing. In India, the government has introduced several energy-saving programs. For example, the central government's ambitious Pradhan Mantri Awas Yojana (PMAY) program aims to build 20 million affordable metropolitan housing units nationwide by 2022. Such factors might lead to major sales, leading to more LED demand in the coming period.
Indoor Lighting
Agricultural Lighting
Commercial
Office
Retail
Others
Industrial and Warehouse
Residential
Country
China
India
Japan
Rest of Asia-Pacific
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Asia Pacific Indoor LED Lighting Market Size Summary

The Asia Pacific Indoor LED Lighting Market is poised for significant growth, driven by urbanization, industrial expansion, and government initiatives across the region. The market is characterized by a robust demand in both residential and industrial sectors, with China and India leading in terms of value and volume share. The rapid urbanization in Asia has led to increased housing demand, particularly in urban areas, which in turn fuels the need for energy-efficient lighting solutions like LEDs. Government programs in countries such as India aim to promote energy-saving technologies, further boosting LED adoption. The industrial sector, especially in China, continues to expand, creating additional demand for indoor lighting solutions. This growth is supported by the increasing number of distribution centers and logistics networks, which require efficient lighting systems.

The market landscape is competitive and fragmented, with major players like EGLO Leuchten GmbH, Nichia Corporation, OPPLE Lighting Co. Ltd, Panasonic Holdings Corporation, and Signify (Philips) holding significant shares. These companies are actively innovating and expanding their product offerings to meet the growing demand for LED lighting solutions. Additionally, government policies and subsidies in various countries are encouraging the transition to LED lighting, contributing to market growth. The region's focus on smart city projects and infrastructure development further underscores the potential for LED market expansion. As the demand for energy-efficient lighting solutions continues to rise, the Asia Pacific Indoor LED Lighting Market is expected to experience sustained growth over the forecast period.

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Asia Pacific Indoor LED Lighting Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD and Volume, Forecasts up to 2030 and analysis of growth prospects)

    1. 1.1 Indoor Lighting

      1. 1.1.1 Agricultural Lighting

      2. 1.1.2 Commercial

        1. 1.1.2.1 Office

        2. 1.1.2.2 Retail

        3. 1.1.2.3 Others

      3. 1.1.3 Industrial and Warehouse

      4. 1.1.4 Residential

    2. 1.2 Country

      1. 1.2.1 China

      2. 1.2.2 India

      3. 1.2.3 Japan

      4. 1.2.4 Rest of Asia-Pacific

Asia Pacific Indoor LED Lighting Market Size FAQs

The Asia Pacific Indoor LED Lighting Market size is expected to reach USD 11.54 billion in 2024 and grow at a CAGR of 6.23% to reach USD 16.58 billion by 2030.

In 2024, the Asia Pacific Indoor LED Lighting Market size is expected to reach USD 11.54 billion.

Asia Pacific Indoor LED Lighting Market Report Snapshots