According to the analysis report of the global LED lighting market released by ResearchAndMarkets, the global LED lighting market will gradually recover from the current epidemic of the new crown virus COVID-19, and the market size is expected to reach 78.7 billion US dollars by 2027.
As the energy industry is affected by the New Corona Virus pandemic and strict blockades and restrictions by governments around the world, the LED lighting market will feel a strong impact. Due to the continuous blockade, the closure of factories in most countries interrupted manufacturing and cash flow, have affected all participants in the global energy value chain, including lighting component suppliers. For example, in many countries that rely on the supply of foreign components, supply chain disruptions are pushing up the prices of LED lamps.
As the current epidemic pandemic is still spreading, industry activities such as exhibitions have been canceled, and industry development and innovation have been frustrated. However, as governments of various countries roll out corresponding fiscal plans to prevent a complete economic collapse, it is inevitable that expanding fiscal deficits will affect the opportunities brought about by smart city construction plans.
With the cessation of economic activity leading to the collapse of a large number of companies, the global unemployment rate has begun to soar, and the recession associated with the new crown virus COVID-19 is now inevitable. Unemployment leads to a decline in consumer confidence, a reduction in household wealth, and a reduction in disposable expenditure, all of which will directly affect sales in the consumer sector.
Because LED technology is the basis of smart lighting, consumer spending like smart homes will be hit hard, and the LED lighting market will also be impacted and affected.
However, according to industry analysis and prediction, the LED lighting market will gradually usher in a turnaround after the epidemic has eased, including the long-term focus on energy efficiency in various industries. LED lighting technology is an effective weapon to reduce carbon emissions. In the context of the development of energy-saving lighting technology, The investment in energy-saving lighting technology in various countries is increasing. In particular, the rise of applications such as smart cities and smart homes has played a huge role in promoting them.
In addition, regulations and policy support for LED applications and the applicability of LEDs in smart lighting are all good news for the LED lighting market.
Only from a technical point of view, the cost reduction of LED chipsets will help make LED lighting technology more cost-competitive with other traditional lighting technologies (such as fluorescent lamps, metal halides, high-pressure sodium lamps, and incandescent lamps).
According to reports, the future growth of the LED lighting market will come from the expanded application of traffic lights, commercial and residential atmosphere lighting, factory and warehouse lighting, medical care, and hospital lighting.
Europe and the Asia-Pacific region will occupy the world's largest market share. The Asia-Pacific region and Latin America are expected to be the fastest-growing markets, driven by healthy economic growth trends, strong industrialization and urbanization, and the recognition of the importance of improving energy efficiency for achieving carbon reduction targets.
Finally, nowadays, the energy efficiency standards of various countries are getting higher and higher. The continuous innovation of LED technology and the energy efficiency it brings are driving the development and application of the LED lighting market.
