According to CSIL, the global lighting market reached approximately USD 107 billion in 2024. The Asia-Pacific region holds the largest share, accounting for 40% of the total market, followed by North America and Europe, each representing around 25%. The remaining 10% is distributed among the Middle East, Africa, and South America.

The five largest markets in terms of consumption in 2024 are the United States, China, Japan, India, and Germany. Together, the US and China account for over 40% of the global lighting market.
Europe remains the world’s third-largest market, playing a significant role in terms of production value and international trade. Germany stands as the leading European market; however, it has experienced the most substantial decline from 2018 to 2024. On the contrary, Spain has demonstrated the highest average growth rate among European countries.
Africa emerges as the fastest-growing region within the lighting sector, boasting an average annual growth rate exceeding 4% since 2018. This expansion is primarily fueled by governmental and private investments aimed at modernising public lighting infrastructure and enhancing electricity access. These developments create significant opportunities for international manufacturers, particularly Chinese and European firms, which contribute to this growth through investment projects focused, particularly, on street and public lighting.

The global lighting industry remains fragmented, though consolidation has intensified in recent years due to mergers and acquisitions among key players. Presently, the top 10 companies account for just over 20% of the global lighting fixtures market, while the top 100 players collectively represent more than 40% of the sector.

Looking ahead to 2025, the global market is projected to experience slight growth, followed by moderate expansion in 2026 and 2027. The outdoor segment is expected to outperform the overall market.
CSIL estimates indicate that the Middle East and Africa will be the fastest-growing regions, driven by favourable economic policies and sustained investments in infrastructure and technological advancements. In Europe, recent forecasts suggest a modest recovery. Meanwhile, India is expected to maintain its position as the fastest-growing major economy, despite a gradual slowdown in real GDP growth.

THE EVOLUTION OF LED AND SMART LIGHTING

In recent years, the lighting industry has undergone rapid transformation, driven by technological advancements, sustainability considerations, and digitalization. The widespread adoption of LED technology and smart solutions is revolutionizing lighting applications, unlocking new possibilities in terms of energy efficiency, design, and connectivity.

The penetration of LED luminaires in the global market has accelerated significantly. While LED adoption stood at approximately 65% in 2018, it has now surpassed 80%. CSIL forecasts that LED market share will exceed 85% in the coming years. However, while the transition to LED is nearly complete in technical lighting segments (including commercial, industrial, and outdoor applications), the residential market is expected to take a few more years to fully transition.

Europe and North America lead in LED adoption, with LED lighting accounting for over 85% of these regions’ markets. The penetration rate is slightly lower in the Asia-Pacific region (around 80%) and the rest of the world (70-75%).

WORLD MARKET OF LIGHTING, 2018-2023 AND PRELIMINARY 2024: TOTAL, LED, AND CONNECTED LIGHTING. % SHARE

Between 2018 and 2024, the market value of smart and connected lighting products nearly doubled, achieving an average annual growth rate of approximately 20%. The most dynamic segments remain professional indoor and outdoor lighting.

Increasing consumer interest in energy-efficient solutions, combined with aggressive pricing strategies by vendors promoting smart home lighting management systems, is expected to further drive demand. Smart and connected lighting products have unlocked new opportunities for energy conservation, with government incentives supporting adoption to meet environmental targets.
As digitalisation reshapes the competitive landscape, the industry is undergoing vertical integration. Major lighting corporations are increasingly acquiring connectivity companies to develop integrated solutions and enhance their portfolios with advanced, ready-to-use systems.

TRENDS OF INTERNATIONAL TRADE

Between 2018 and 2023, the global lighting trade experienced a slightly negative trend. The sector reached its lowest point in 2020 due to the severe disruptions caused by the COVID-19 pandemic. However, a sharp rebound in 2021 saw international trade peak at USD 65 billion.

WORLD TRADE OF LIGHTING, 2018-2024*. USD BILLION AND ANNUAL PERCENTAGE CHANGES

Following this surge, trade flows declined by 3% in 2022 (in current USD) and by 10% in 2023. Preliminary data for 2024 suggest a smaller decline of approximately 2% compared to 2023. Overall, the global trade is estimated to reach USD 60 billion in exports and approximately USD 52 billion in imports for the year 2024.

China remains the undisputed leader in lighting exports, both for luminaires and light bulbs. The primary export destinations include the US, Germany, and the United Kingdom.

Among European countries, Germany stands as the region’s top lighting exporter and also the largest importer. Italy ranks as the second-largest European exporter of luminaires and is the leading net exporter in the region. France remains the primary destination for Italy’s exports.

The US retains its position as the world’s largest importer of lighting fixtures and lamps, absorbing nearly 20% of global trade value.

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CSIL’s report ‘Lighting: World Market Outlook for LEDs and Lighting Fixtures’ highlights regional dynamics and the main destination segments, with basic data for 70 countries, forecasts, and information on the leading players.

Also available: ‘The European market for lighting fixtures’ comprehensive analysis comprising the main sector’s statistics, key macroeconomic indicators, market forecasts, market structure by application, product and destination, distribution channels, performance of the leading players, outlining trends and new technologies shaping the lighting industry in Europe.