The US LED lighting market should grow to $5.2bn in 2015, driven by continuously declining LED prices (due to decreasing production) cost coupled with US government initiatives such as the Energy Policy Act of 2005 and increasing consumer inclination towards the adoption of green technologies, according to the report 'United States LED Lighting Market Forecast & Opportunities, 2020' by TechSci Research.
Driven by continuing innovation over the last decade, LED technology has made huge inroads into general lighting applications due to it being highly energy efficient, cost effective and environment friendly. The USA witnessed the launch of LED lighting products in early stages of technology development, and over the last five years the LED lighting market has witnessed phenomenal growth and is gradually moving towards maturity. General lighting, backlighting and automotive segments are the major applications. Presently, the general lighting segment dominates the LED lighting market and is expected to account for most demand by 2020.
"Continuing innovation in LED lighting technology, along with recovering construction and automobile industry and favorable government initiatives to promote the use of LED technology, are expected to positively influence the US LED lighting market over the next five years," says research director Karan Chechi. "In addition, the ban on use of incandescent lamps and sharply declining LED prices are expected to further boost the demand for LED lighting products in the country," he adds.
"The market is also expected to witness increasing consolidation in the coming years," Chechi notes. Cree, Philips, GE and Osram Sylvania are major players in the US LED lighting market and are expected to see further increases in their respective market shares during the forecast period as a result of their wide-ranging product portfolio and highly competitive product pricing strategies.
