Growing infrastructure needs in Southeast Asia to bring huge demands for LED lighting II

<< Go Back Posted By:administrator on Mar 31,2015in Industry News

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Among the major countries, Singapore’s lighting market demand is highly saturated and its traditional lighting segment is shrinking. As a result, Singapore’s lighting market on the whole has seen a scale reduction in the recent years. This downward trend is likely to continue in 2015. However, the scale of the LED lighting segment is still increasing.

Besides Singapore, other countries in the region have experienced overall positive growths in their lighting markets during the same period. As a general decline set on these markets’ conventional lighting segment, LED lighting has been the main growth driver. Indonesia in particular leads in the general lighting’s market size and LED lighting’s market size. Based on LEDinside’s estimation, Indonesia’s general lighting market in 2014 would be valued at $320 million.

Southeast Asia has seen strong growths in the LED market in the past few years and the rate of replacement for traditional lighting has also increased. Since countries in the region have weak local manufacturing capabilities and rely on imports, the growing demands for LED lighting can also create huge import demands.

Therefore, the scale of imports from China will multiply because of China’s advantages in manufacturing capabilities, geographical proximity, and product pricings. LEDinside expects positive policies and rising replacement demands will speed up the growths of Southeast Asia’s LED market penetration rate and LED imports. In addition, the region will eventually be the major export destination for Chinese LED vendors.