Rapid Development of Led Lighting Technology is driving the growth of the North America Greenhouse and Controlled Environment Grow Lights for Agricultural Crops Market

The rapid development of LED lighting technology is a key driver for the greenhouse and control environment grow lights market. LED technology has significantly advanced in recent years, offering improved energy efficiency, longer lifespans, and better light quality compared to traditional lighting options. Modern LEDs can be finely tuned to emit specific light spectra that optimize plant growth, enhance photosynthesis, and increase yields. This customization allows for more precise control over growing conditions, which is crucial for maximizing productivity in controlled environments.

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Data Bridge Market Research analyses that the North America Greenhouse and Controlled Environment Grow Lights for Agricultural Crops Market is expected to reach USD 5.11 billion by 2031 from USD 2.01 billion in 2024, growing with a CAGR of 12.5% in the forecast period of 2025 to 2031.

Key Findings of the Study

Increasing Consumer Preference for Fresh Produce

The increasing consumer preference for fresh produce is a major driver of growth in the North America greenhouse and controlled environment grow lights for agricultural crops market. As consumers become more health-conscious and demand higher quality, locally sourced, and fresh produce year-round, growers are compelled to adapt their operations to meet these preferences. Greenhouses and controlled environments provide the ability to produce fresh vegetables, fruits, and herbs regardless of seasonal constraints or geographical limitations. This growing demand for high-quality, fresh produce has led to increased investments in advanced growing technologies, including specialized lighting systems to support continuous and optimal crop production.

Report Scope and Market Segmentation

Segment Analysis

North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into eight notable segments, which are based on the basis of type, application, system type, installation type, spectrum, light spectrum, distribution channel, end user.

• On the basis of type, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into LED grow lights, fluorescent grow lights, High-Intensity Discharge (HID) grow lights, and incandescent grow lights

In 2024, the LED grow lights segment is expected to dominate the North America greenhouse and controlled environment grow lights for agricultural crops market

In 2024, LED grow lights segment is expected to dominate the market with a market share of 44.64% due to their cost-effective, reliable, and easily deployable solution for managing the heat generated by localized, often remote, computing infrastructure.

• On the basis of application, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into vegetables, fruits, flowers, herbs, trees, and others

In 2024, the vegetables segment is expected to dominate the North America greenhouse and controlled environment grow lights for agricultural crops market

In 2024, vegetables segment is expected to dominate the market with a market share of 38.16% due to the high demand for fresh produce, year-round cultivation capabilities, and the ability to control environmental factors for optimal growth, which enhances yield and quality.

• On the basis of system type, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into green houses and vertical farm. In 2024, green houses segment is expected to dominate the market with a market share of 64.02%
• On the basis of installation type, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into fixed installation and portable installation. In 2024, fixed installation segment is expected to dominate the market with a market share of 81.29%
• On the basis of spectrum, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into broad and narrow. In 2024, broad segment is expected to dominate the market with a market share of 66.95%
• On the basis of light spectrum, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into dual spectrum red light spectrum (600–700 NM), blue light spectrum (400–500 NM), far-red light spectrum (700–850 NM), green light spectrum (500–600 NM), UV light spectrum (100–400 NM). In 2024, dual spectrum red light spectrum (600–700 NM) segment is expected to dominate the market with a market share of 35.02%
• On the basis of distribution channel, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into online, e-commerce, company website, retail, wholesale, offline and others. In 2024, online segment is expected to dominate the market with a market share of 33.87%
• On the basis of end user, the North America greenhouse and controlled environment grow lights for agricultural crops market is segmented into greenhouses growers, warehouse growers, residential growers, livestock applications, research and academic institutions and others. In 2024, the greenhouses growers segment is expected to dominate the market with a market share of 38.70%

Major Players

Data Bridge Market Research analyzes Signify Holding (Netherlands), Heliospectra (Sweden), AMS-OSRAM AG (Austria), Cree LED (U.S.), and Hydrofarm (U.S.) among others as the major companies operating in the North America greenhouse and controlled environment grow lights for agricultural crops market.

Market Developments

• In November 2023, Kubota Corporation, showcased the Agri Robo KVT at Agritechnica marking a significant advancement in autonomous farming technology. This enhanced tractor addressed labor shortages, enhanced safety, and promoted efficient farming, benefiting Kubota with increased market competitiveness and innovation leadership
• In September 2023, Yara and John Deere teamed up to integrate agronomic expertise with precision technology, boosting farm productivity and sustainability. Their partnership streamlined fertilization with data-driven insights, aiming to increase yield by up to 7% and reduce nitrogen use by 14%, aligned with EU Farm to Fork goals
•  In August 2024, ams-OSRAM AG established a China Development Center (CDC) to drive regional business growth and technological innovation. Part of the CMOS, Sensors, and ASIC (CSA) unit, the CDC focused on product marketing, system solution engineering, application engineering, and supply chain innovation. This initiative aimed to leverage China’s dynamic market to enhance everyday technology experiences and explore opportunities in Time-of-Flight technology, blue laser applications, and laser projection solutions
• In February 2023, Hydrofarm's Phantom PHOTOBIO TX and PHOTOBIO T LED grow lights offer slim, high-efficiency designs with S4 spectrum for optimal plant health. Ideal for greenhouses and indoor environments, these top lights feature advanced heat dissipation and minimal shading, enhancing crop yields and quality sustainably
• In July 2022, Midstream Ltd. acquired Hyperion Grow Lights to boost its horticulture sector. The deal enhanced support for greenhouse growers, integrated Hyperion’s operations into Midstream’s network, and expanded manufacturing for the new Hyperion Pro series

Regional Analysis

Geographically, the countries covered in the North America greenhouse and controlled environment grow lights for agricultural crops market report are U.S., Canada, and Mexico.

As per Data Bridge Market Research analysis:

U.S. is expected to dominate and be the fastest growing region in the North America greenhouse and controlled environment grow lights for agricultural crops market

U.S. dominates due to its advanced agricultural technology infrastructure and significant investments in innovative farming practices, alongside the presence of key market players.

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