Market Size of Hazardous Location LED Lighting Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
CAGR | 8.86 % |
Fastest Growing Market | Asia Pacific |
Largest Market | North America |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
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Hazardous Location LED Lighting Market Analysis
The Hazardous Location LED Lighting Market was valued at USD 416.5 million in 2020 and is expected to reach USD 689.32 million by 2026, registering a CAGR of 8.86%, during the period of 2021 - 2026. Amid the COVID-19 pandemic, the market witnessed a halt in production and disruption in the supply chain, which lead to the weakened growth of industrial output and the decline of light-manufacturing output across significant manufacturing hubs.
- Factors such as the regulatory standards promoting the use of LED lightings and worker safety in hazardous locations, regulations that demand the usage halt of mercury vapor ballasts and metal halide activated lighting, demand for cost-effective lighting solutions, high service life, replacement of traditional lighting systems with LEDs are expected to drive the growth of the market during the forecast period.
- With the introduction of new solutions to illuminate the work area, players in the market are finding exciting opportunities for growth. For instance, Emerson introduced 'Appleton Rigmaster LED Linear Luminaire,' a new solution to quickly and safely illuminate land-based drilling rigs, for the oil and gas industry, in May 2019. This solution is expected to streamline the cumbersome and time-consuming task of installing and maintaining bright, energy-efficient lighting in hazardous areas on drilling rigs.
- Further, industries dealing with the processing of delicate particulate matter, fireworks, etc. and require maximum safety are deploying LED Lights for hazardous locations. This is expected to provide the market with growth opportunities in the future.
- With the introduction of reforms and initiatives such as the Energy Star Program, the United States has been at the forefront of LED adoption. The program mandates the lighting applications to adhere to industry standards such as IEC, NEC, and test procedures.
- Chemical industries were affected globally during the COVID-19 pandemic, leading to increased prices of LED lighting. For instance, Lumileds in April 2020, announced the increased prices for LED lights by 4% starting mid-April 2020 and attributed the same as a measure to offset costs it incurred during the coronavirus pandemic.
Hazardous Location LED Lighting Industry Segmentation
The hazardous location LED lighting market is in demand due to the replacement of conventional lighting. Explosion proof lighting is also playing a crucial role in the industrial operations of hazardous locations. From the end user perspective, the increasing oil extraction and refining activities coupled with the growing regional consumption and its growing demand worldwide is further anticipated to propel the growth of the Class I segment.
Class | |
Class I | |
Class II | |
Class III |
Device Type | |
Zone 0 | |
Zone 20 | |
Zone 1 | |
Zone 21 | |
Zone 2 | |
Zone 22 |
End-User Industry | |
Oil & Gas | |
Petrochemical | |
Industrial | |
Power Generation | |
Pharmaceutical | |
Processing | |
Other End-user Industries |
Geography | |
North America | |
Europe | |
Asia Pacific | |
Latin America | |
Middle East and Africa |
Hazardous Location LED Lighting Market Size Summary
The hazardous location LED lighting market is poised for significant growth, driven by regulatory standards and the demand for safer, cost-effective lighting solutions in industrial settings. The shift from traditional lighting systems to LED technology is fueled by the latter's high service life, energy efficiency, and reduced maintenance costs. The market is experiencing increased adoption due to initiatives like the Energy Star Program in the United States, which promotes energy-efficient lighting solutions adhering to industry standards. The COVID-19 pandemic initially disrupted the market, affecting production and supply chains, but the recovery is supported by innovations such as Emerson's Appleton Rigmaster LED Linear Luminaire, designed for the oil and gas industry. This product exemplifies the market's focus on enhancing safety and efficiency in hazardous environments.
The market landscape is characterized by a fragmented structure with numerous players investing in research and development to introduce advanced lighting solutions. Key companies like DCD Technologies ME FZCO, Nemalux Inc., and Luceco Middle East FZCO are actively participating in product launches to enhance their offerings. The introduction of explosion-protected LED fixtures, such as Eaton's Crouse-Hinds series CEAG ExLin linear LEDs, highlights the industry's commitment to providing reliable and energy-efficient lighting for hazardous areas. These developments are expected to drive the market forward, as industries seek to reduce energy consumption and operational costs while ensuring safety in challenging environments.
Hazardous Location LED Lighting Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness - Porter's Five Forces Analysis
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1.2.1 Bargaining Power of Suppliers
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1.2.2 Bargaining Power of Consumers
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1.2.3 Threat of New Entrants
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1.2.4 Threat of Substitute Products
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1.2.5 Intensity of Competitive Rivalry
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1.3 Industry Value Chain Analysis
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1.4 Industry Policies
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2. MARKET DYNAMICS
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2.1 Market Drivers
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2.1.1 Regulations Promoting Proper Lighting for Worker Safety in Hazardous Locations
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2.1.2 Rising Demand for Cost-effective and Energy-efficient LED Lighting Solutions
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2.2 Market Challenges
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2.2.1 High Cost of Replacement of Conventional Lamp to LED Lighting Solutions
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2.3 Assessment of Impact of Covid-19 on the Industry
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3. MARKET SEGMENTATION
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3.1 Class
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3.1.1 Class I
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3.1.2 Class II
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3.1.3 Class III
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3.2 Device Type
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3.2.1 Zone 0
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3.2.2 Zone 20
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3.2.3 Zone 1
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3.2.4 Zone 21
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3.2.5 Zone 2
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3.2.6 Zone 22
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3.3 End-User Industry
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3.3.1 Oil & Gas
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3.3.2 Petrochemical
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3.3.3 Industrial
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3.3.4 Power Generation
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3.3.5 Pharmaceutical
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3.3.6 Processing
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3.3.7 Other End-user Industries
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3.4 Geography
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3.4.1 North America
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3.4.2 Europe
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3.4.3 Asia Pacific
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3.4.4 Latin America
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3.4.5 Middle East and Africa
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Hazardous Location LED Lighting Market Size FAQs
What is the current Hazardous Location LED Lighting Market size?
The Hazardous Location LED Lighting Market is projected to register a CAGR of 8.86% during the forecast period (2024-2029)
Who are the key players in Hazardous Location LED Lighting Market?
DCD Technologies ME FZCO, Nemalux Inc., Luceco Middle East FZCO, WAROM Technology MENA FZCO and Shenzhen CESP Co., Ltd are the major companies operating in the Hazardous Location LED Lighting Market.