It is pointed out in the latest silver member report issued by LEDinside that global LED lighting penetration rate is rapidly growing. According to the data from LEDinside, a research division of TrendForce, LED lighting market value in 2014 will come to 17.8 billion USD, and the total shipment of LED lighting products will reach 1.32 billion units, with a 68% YoY growth.
LEDinside points out that the global LED lighting product replacement tide is caused by the rapidly falling LED product prices. With replacement lamp being the most obvious, bulbs and tubes are the most popular ones in the market, which account for 38% and 24% of LED lighting product demand in 2013 respectively. In addition, the demand for LED luminaires in future will gradually rise, especially that the products combined with intelligent system will gradually draw greater attention from the market, therefore, the proportion of LED luminaires is expected to increase year by year.
Observing from regional LED lighting market demand, in North America, the government's efforts to support the LED lighting is gradually increasing, Energy Star and other subsidies have grown rapidly, prompting further reduce in the price of LED lighting products. CREE and other manufacturers are optimistic about the LED lighting market development in 2014, and it is expected that the sales growth of replacement lamps will be the next business growth focus. According to the data from LEDinside, the growth rate of LED lighting market demand volume in North America is expected to reach 72% in 2014.
In addition, in Latin American countries like Brazil, LED lighting market is growing rapidly, especially the LED commercial lighting market, and the growth rate of LED lighting market demand volume is expected to reach 64% in 2014. As a mature market, although Europe doesn't have massive subsidies, its high electricity price and the lighting culture differences market the demand of commercial lighting and architectural lighting market to continue. As the ban of incandescent lamp gradually being implemented in the next few years, it is estimated that the market will continue to show steady growth trend. The growth rate of LED lighting market demand volume in Europe is expected to reach 69% in 2014.
In terms of the Chinese market, not only the emerging LED lighting manufacturers actively extend LED lighting market, traditional lighting manufacturers with own brand and channel advantages also actively expand LED lighting business through both online and stores. Moreover, the Chinese government is trying to play an active role to promote the LED industry development through subsidy policies, and resolve overcapacity and business bankruptcy caused by excessive subsidies for the upstream LED industry simultaneously. It is estimated by LEDinside that the growth rate of LED lighting market demand volume in China is expected to reach 86% in 2014.