Saudi Arabia LED Lighting Market Size Likely to Grow at a CAGR of 10.1% By 2033

As per the current market research conducted by the CMI Team, the Saudi Arabia LED Lighting Market size is expected to record a CAGR of 10.1% from 2024 to 2033. In 2024, the market size is projected to reach a valuation of USD 8,975.6 Million. By 2033, the valuation is anticipated to reach USD 21,337.7 Million.

Saudi Arabia LED Lighting Market: Growth Factors and Dynamics

• Government Initiatives and Regulations: Saudi Arabia’s government has been actively promoting energy efficiency and sustainability, driving the adoption of LED lighting. Initiatives such as the Saudi Vision 2030 and National Transformation Program aim to reduce energy consumption and greenhouse gas emissions, incentivizing businesses and consumers to switch to energy-efficient lighting solutions.

• Rising Urbanization and Infrastructure Development: Rapid urbanization and infrastructure development projects in Saudi Arabia, including smart city initiatives, are fueling the demand for modern lighting solutions. LED lighting is preferred for its energy efficiency, durability, and lower maintenance costs, making it a popular choice for street lighting, commercial buildings, and public spaces.

• Increasing Consumer Awareness and Demand: Growing awareness among consumers about the benefits of LED lighting, such as reduced energy consumption, longer lifespan, and environmental friendliness, is driving market demand. As consumers become more conscious of energy conservation and cost savings, they are increasingly choosing LED lighting for residential and commercial applications.

• Technological Advancements and Product Innovation: Continuous advancements in LED technology, such as improvements in efficiency, brightness, and color rendering, are driving the market growth. Manufacturers are innovating with smart lighting solutions, customizable fixtures, and connected lighting systems, catering to diverse customer preferences and requirements in Saudi Arabia’s evolving market.

• Infrastructure Investments in Entertainment and Hospitality: Saudi Arabia’s investments in entertainment and hospitality infrastructure, including mega projects like NEOM and the Qiddiya entertainment city, are driving demand for premium lighting solutions. LED lighting is integral to creating immersive experiences in theme parks, hotels, shopping malls, and entertainment venues, driving market growth in the country’s burgeoning leisure industry.

• Strategic Partnerships and Investments: Strategic partnerships between local and international lighting companies, along with investments in manufacturing facilities and distribution networks, are contributing to the expansion of the LED lighting market in Saudi Arabia. Collaborations with government entities, utilities, and industry stakeholders are fostering innovation, market development, and the adoption of LED lighting solutions across various sectors.

• Focus on Sustainability and Environmental Conservation: With a growing emphasis on sustainability and environmental conservation, particularly in light of global climate change concerns, Saudi Arabia is increasingly prioritizing eco-friendly solutions like LED lighting. LED technology’s low energy consumption and reduced carbon footprint align well with the kingdom’s sustainability goals.

Saudi Arabia LED Lighting Market: Partnership and Acquisitions

• In 2023, Cree Lighting introduced its OSQ Series C mid-power LED Area and Flood luminaires, incorporating NanoComfort Technology for unmatched efficiency, visual comfort, precise control, reduced wind load requirements, and easy installation. This launch showcases Cree’s commitment to innovative solutions in the LED lighting market.

• In 2023, Zumtobel expanded its product portfolio with two intelligent lighting technology systems and three new luminaires. The TRAMAO pendant luminaire, designed for hotels and offices, absorbs sound and offers high-quality lighting. The SPOTLIGHT Infinity II light line family enhances lighting versatility.

• In 2023, Halonix Technologies launched the UP-DOWN GLOW LED bulb in India, offering three switch-enabled modes. Its dome and stem glow in multiple colors, enhancing the consumer experience. This innovative product provides versatile lighting options for users.

Report Scope

Saudi Arabia LED Lighting Market: COVID-19 Analysis

The COVID-19 pandemic has significantly impacted the Saudi Arabia LED Lighting Market, with the industry experiencing both positive and negative effects. Here are some of the key impacts:

• Supply Chain Disruptions: The COVID-19 pandemic disrupted global supply chains, leading to delays in the delivery of LED lighting components and finished products to Saudi Arabia. Restrictions on international trade and logistics challenges affected the availability of raw materials and led to temporary closures of manufacturing facilities, impacting market supply.

• Reduced Construction Activities: The pandemic-induced economic slowdown resulted in a decrease in construction activities, including residential, commercial, and infrastructure projects, in Saudi Arabia. As LED lighting is often integrated into new construction and renovation projects, the decline in construction activities adversely affected the demand for LED lighting products in the market.

• Government Stimulus Packages: The Saudi Arabian government introduced stimulus packages and economic recovery initiatives to mitigate the impact of COVID-19 on the economy. Investments in infrastructure projects, including construction and urban development, are expected to boost demand for LED lighting solutions as the construction sector recovers.

• Accelerated Urbanization Projects: Saudi Arabia’s ambitious urbanization projects, such as NEOM and the Riyadh Metro, are expected to resume and accelerate post-pandemic. These projects present significant opportunities for LED lighting applications in smart cities, transportation infrastructure, and public spaces, driving market growth.

• Emphasis on Energy Efficiency: The Saudi government continues to prioritize energy efficiency and sustainability as part of its Vision 2030 goals. LED lighting, known for its energy-saving benefits, is likely to see increased adoption in both residential and commercial sectors as businesses and consumers seek cost-effective and environmentally friendly lighting solutions.

• Digital Transformation and Smart Lighting: The pandemic accelerated the adoption of digital technologies and smart solutions across various sectors. In line with this trend, the demand for smart LED lighting systems equipped with remote monitoring and control capabilities is expected to rise, particularly in commercial and public infrastructure projects.

In conclusion, the COVID-19 pandemic has had a mixed impact on the Saudi Arabia LED Lighting Market, with some challenges and opportunities arising from the pandemic.

List of the prominent players in the Saudi Arabia LED Lighting Market:

• Philips Lighting Saudi Arabia Company Limited
• Osram Middle East FZE
• Cree Middle East FZE
• Thorn Lighting Saudi Arabia LLC
• Signify Saudi Arabia Limited
• GE Lighting Saudi Arabia Limited
• Zumtobel Group Middle East FZE
• Lutron Electronics Co. Inc. – Saudi Arabia
• Acuity Brands Lighting Saudi Arabia LLC
• Hubbell Incorporated – Saudi Arabia
• Dialight Saudi Arabia Limited
• Panasonic Lighting Saudi Arabia Co. Ltd.
• Opple Lighting Saudi Arabia Limited
• Sylvania Lighting Saudi Arabia Limited
• Samsung Electronics Saudi Arabia Limited
• Others

The Saudi Arabia LED Lighting Market is segmented as follows:

By Product Type

• LED Bulbs
• LED Tubes
• LED Fixtures
• LED Luminaires
• LED Downlights
• LED Panel Lights
• LED Street Lights
• LED Floodlights
• Others

By Application

• Residential
• Commercial
• Industrial
• Others

By Technology

• Traditional LEDs
• OLED (Organic LED)
• MicroLED
• MiniLED

By Color Temperature

• Warm White (2700K – 3500K)
• Neutral White (3500K – 4500K)
• Cool White (4500K – 6500K)
• Daylight (>6500K)