At present, China's industrial sector is undergoing significant transformations, with a growing emphasis on reducing energy consumption and improving resource efficiency. This has become a widely accepted goal across industries. In this context, high-efficiency, low-power LED lighting solutions are being increasingly adopted in large-scale industrial production, marking the beginning of the "LED era" for industrial lighting.
While industrial lighting may seem like a minor and less prominent segment compared to home or commercial lighting, it plays a crucial role in various sectors such as plant factories, automotive lighting, infrared and ultraviolet LEDs, and optical communications. Despite being an under-the-radar term, the industrial lighting market is experiencing rapid growth, driven by increasing demand for LED replacements and government incentives.
LED high-bay lights, as the leading products in industrial lighting, have also entered a period of strong growth. Dr. Hua Guichao, Chairman of Infineon Electronics, once remarked that the market potential for LED industrial and mining lamps in the coming years is immense. He predicted that the total market size for these lamps could surpass that of LED streetlights by more than four times in 2017.
According to data from the High-Industry Research Institute’s LED Research Department, the output value of China’s LED industrial and mining lamps reached 5.1 billion yuan in 2016, reflecting a year-on-year increase of about 18%. With the rapid expansion of the export market, the market size of these lamps is expected to reach approximately 6.3 billion yuan in 2017.
LED industrial and mining lamps boast a lifespan of over 50,000 hours—about 60% longer than traditional lamps. Their advantages include energy efficiency, long service life, and ease of dimming, which have made them the preferred choice for new installations in industrial settings, gradually replacing incandescent, halogen, and fluorescent lamps.
Overclocking Three’s Chairman Du Jianjun noted that the target market for industrial and mining lamps now includes exhibition centers, shopping malls, farmers’ markets, supermarkets, stadiums, and toll stations, indicating a wide range of applications and a growing market demand.
Compared to other indoor lighting products, LED high-bay lights have unique requirements. First, their main customer base consists of engineering firms and powerful dealers rather than individual consumers. The demand is not as volatile as in commercial or residential lighting, and prices tend to remain stable.
Second, due to the high installation and maintenance costs associated with industrial lighting, product quality and after-sales service are of utmost importance. Low-cost, low-quality products often lead to higher maintenance expenses, making price not the primary factor in customer decisions.
The global LED industrial and mining lamp market is also expanding rapidly. According to Xin Mingfeng, General Manager of Jiansen Technology, most of China’s industrial and mining lamps are exported to Europe and the United States. The industry has reached a peak in production, and companies in this sector have seen significant growth in recent years.
In 2016, the export volume of China’s LED industrial and mining lamps reached $168 million, up 30% from the previous year. Although the growth rate slowed slightly compared to 2015, the market continues to expand. With relatively low penetration rates of LED technology in foreign markets, there is still significant room for growth.
According to reports from the High-Tech Research Institute’s LED Research Institute, the top ten enterprises accounted for over 26% of the export volume of China’s LED industrial and mining lamps, including companies like BHP Electronics, Aigst, and Xinsheng Yangguang. These companies are playing a key role in China’s growing export market.
In 2016, the U.S. and Australia were the largest markets for China’s LED industrial and mining lamps, together accounting for nearly 40% of total exports. As the global demand for energy-efficient lighting continues to rise, the future of the LED industrial lighting market looks promising.
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