Global Demand for Lighting Fixtures to Reach $153 Billion in 2016

Global demand for lighting fixtures is projected to climb 6.9 percent annually through 2016 to $153 billion.  Product sales will be driven primarily by an acceleration in both motor vehicle output and building construction activity globally.  Efforts to conserve energy and convert to more efficient light source technologies will also boost gains, particularly as sales of incandescent and other less efficient lamps are being phased out through much of the world.  In the developing world, ongoing efforts to modernize the building stock, coupled with increasing urbanization and rising per capita incomes, will further aid advances.  These and other trends, including market share and product segmentation, are presented in World Lighting Fixtures, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.  

Through 2016, China alone will account for 36 percent of all additional demand, retaining its position as the largest national lighting fixture market.  The US, the second largest market in 2011, will also post strong gains as the country rebounds from a reduced 2011 base.  Through the forecast period, the US will itself account for 18 percent of additional global sales.  However, sales gains are expected to be the fastest in India, a developing market for lighting fixtures.  Above average growth is also forecast in lower volume markets such as Argentina, Brazil, Indonesia, South Africa, and Vietnam.  Although increases will generally not be as robust, demand in established lighting fixture markets such as Western Europe and Japan will improve from reduced 2011 bases.  The rate of growth through 2016 will be attributable in large part to a strong upturn in motor vehicle production after a period of decline.  Sales of lighting fixtures in developed areas will also be spurred by improvements in economic activity, leading to a pickup in consumer spending and recoveries in construction activity.

Nonportable indoor lighting fixtures will record the fastest market gains of any major product segment through 2016. Vehicular fixtures will expand at the next fastest rate, stimulated by increases in global motor vehicle production, including a recovery in key markets such as the US, Japan, and Western Europe where vehicle output had declined sharply in 2011. Gains in all lighting fixture segments will be supported by a shift in the product mix toward more expensive units.  Growth in demand for portable lighting fixtures will be more moderate, partly because many of the newer light technologies are designed to fit most legacy portable fixtures so an upgrade is not necessarily needed. 

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.