Global Street and Roadway Lighting Market – Industry Trends and Forecast to 2031

Street and Roadway Lighting Market Analysis and Size

In residential areas, street and roadway lighting plays a crucial role in ensuring the safety and security of neighborhoods. Proper illumination of streets, sidewalks, and public spaces deters criminal activities and reduces the risk of accidents, enhancing the overall sense of security for residents. Additionally, well-lit residential areas improve visibility for pedestrians and drivers, facilitating safe movement during the night. Effective street lighting also contributes to the community's aesthetics and can increase property values by creating a more welcoming and attractive environment. Modern solutions, such as LED and smart lighting systems, further enhance energy efficiency and provide better lighting quality in these areas.  

The global fluid power equipment market size was valued at USD 9.7 billion in 2023 and is projected to reach USD 15.41 billion by 2031, with a CAGR of 5.96% during the forecast period of 2024 to 2031.

In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

Report Scope and Market Segmentation       

Market Definition

Street and roadway lighting refers to the illumination provided on public roads, streets, highways, and pathways to ensure visibility and safety for pedestrians, cyclists, and motorists. This type of lighting is essential for preventing accidents, reducing crime, and enhancing the overall security of public spaces. It typically involves the use of various lighting technologies, including traditional lamps and modern LED and smart lighting systems.

Street and Roadway Lighting Market Dynamics

Drivers

• Increasing Government Regulations

Government regulations enforce strict standards for energy efficiency, environmental impact, and public safety. These regulations mandate the use of advanced lighting technologies, such as LEDs and smart lighting systems, which offer significant improvements in energy consumption and operational efficiency. Compliance with these regulations ensures better illumination, reduces energy costs, and lowers greenhouse gas emissions. Additionally, government policies often include incentives and funding for upgrading existing lighting infrastructure, further accelerating market growth. It promotes sustainable and efficient lighting solutions due to which these regulations play a crucial role in shaping the future of urban and roadway illumination.

• High Technological Advancements

LEDs offer superior energy efficiency, longer lifespan, and reduced maintenance costs compared to traditional lighting. Smart lighting systems enhance functionality by integrating features such asremote monitoring, dimming, and adaptive lighting, which adjust brightness based on traffic and weather conditions. These innovations not only improve lighting quality and energy efficiency but also support the growing trend towards smart city infrastructure, making urban environments safer and more sustainable.

Opportunities

• Rise in Energy Efficiency Initiatives

Energy efficiency initiatives emphasize the reduction of energy consumption and environmental impact. Governments and municipalities worldwide are increasingly implementing regulations and incentives to encourage the adoption of energy-efficient lighting technologies such as LED and smart lighting systems. These initiatives lower electricity bills for municipalities and contribute to sustainability goals by reducing carbon emissions. As a result, there is a growing demand for modern lighting solutions that offer higher energy efficiency, longer lifespan, and lower maintenance costs, driving the market towards more sustainable and environmentally friendly practices.

• Rapid Urbanization

Many people migrate to cities through which there is a heightened demand for well-lit streets, roads, and public spaces to ensure safety, security, and efficient mobility. Urban areas experiencing rapid growth require reliable lighting solutions to accommodate increased vehicular and pedestrian traffic, especially during night hours. Moreover, urbanization often accompanies economic development, resulting in higher investments in modern lighting technologies such asLED and smart systems to meet the evolving needs of urban environments while striving for energy efficiency and sustainability. Thus, rapid urbanization acts as a catalyst for the continuous growth and innovation within the street and roadway lighting market.

Restraints/Challenges

• Growing Infrastructure Limitations

Outdated or inadequate electrical infrastructure in many areas can impede the installation of modern lighting solutions. Retrofitting existing systems to accommodate LED or smart lighting technologies may require extensive upgrades, adding complexity and cost to projects. Moreover, insufficient maintenance capabilities further exacerbate the challenge, as proper upkeep is essential for ensuring the longevity and effectiveness of street lighting systems. These infrastructure constraints can result in delays and limitations in the adoption of energy-efficient and advanced lighting solutions, hindering progress towards safer and more sustainable urban environments.

• High Initial Investment Costs

The upfront expenses associated with upgrading infrastructure to modern lighting technologies like LED and smart systems can be substantial for municipalities and governments. These costs include not only the purchase of lighting fixtures but also the installation, wiring, and integration of control systems. Additionally, there may be expenses related to retrofitting existing infrastructure or addressing compatibility issues with older systems. The financial burden of these investments may deter some stakeholders from pursuing large-scale lighting projects or result in slower adoption rates, particularly in regions with limited budgets or competing funding priorities.

This market,  report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the market, contact data bridge market research for an analyst brief, our team will help you take an informed market decision to achieve market growth.

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.

Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

Recent Developments

• In June 2023, the Government of India approved the installation of 90,000 smart street lights on all Public Works Department (PWD) roads in Delhi. This initiative aims to eliminate dark spots and enhance women's security, with a focus on a robust central monitoring system to ensure the lights' uninterrupted functioning
• In February 2023, the Monroe City Council announced the approval of a motion to submit a grant request to the Southeast Michigan Council of Governments (SEMCOG). The grant, if approved, would cover up to 80 percent of the costs for converting the city's street lights to LED lamps, significantly reducing the financial burden on the city
• In April 2022, Ams OSRAM revealed plans to establish a EUR 800 million LED production facility in Malaysia. The company also announced substantial investments in advanced 8-inch LED front-end capacity in Malaysia, aiming to enhance the production of cutting-edge LED technologies and micro LEDs
• In March 2021, Smart Global Holdings Inc. acquired Cree Inc.'s LED Products business unit. This acquisition is part of Smart Global Holdings' strategy to diversify its portfolio and expand its presence in the LED market

Street and Roadway Lighting Market Scope

The market is segmented on the basis of lighting type, light source, wattage type, offering and end user. The growth among segments helps you analyse niche pockets of growth and strategies to approach the market and determine your core application areas and the difference in your target markets.

Lighting Type

• Conventional Lighting
• Smart Lighting
  • Communication Technology
    • Wired Technology
    • Wireless Technology

Light Source

• LEDs
• Fluorescent Lights
• HID Lamps
  • Mercury Vapor Lamps (MVL)
  • High-Pressure Sodium (HPS) Lamps
  • Metal Halides
  • Induction Lamps

Wattage Type

• Less than 50W
• Between 50W and 150W
• More than 150W

End User

• Highways
• Street and Roadways
• Others
  • Bridges
  • Tunnels

Offering

• Hardware
  • Lights and Bulbs
  • Luminaires
  • Control Systems
• Software
• Services
  • Pre-Installation
    • Design
    • Installation
  • Post-Installation
    • Maintenance
    • Support

Street and Roadway Lighting Market Analysis/Insights

The market is analyzed and market size, volume information is provided by country, lighting type, light source, wattage type, offering and end user as referenced above.   

The countries covered in the market report are the U.S., Canada, Mexico, Brazil, Argentina and Rest of South America as, Germany, Italy, U.K., France, Spain, Netherlands, Belgium, Switzerland, Turkey, Russia, Rest of Europe, Japan, China, India, South Korea, Australia, Singapore, Malaysia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA).

Asia-Pacific dominates the market, driven by the rise in smart city initiatives. Government efforts to adopt LED technology for roadway and highway applications are further fueling market growth. These initiatives are expected to significantly boost the region's street and roadway lighting market during the forecast period.

Europe is expected to experience substantial growth in the street and roadway lighting market, driven by stringent government regulations aimed at improving lighting effectiveness. These guidelines mandate higher standards for energy efficiency, safety, and performance in public lighting. Consequently, there is a growing demand for advanced lighting solutions, such as LED and smart lighting systems, which comply with these rigorous standards and contribute to sustainability and energy savings across the region.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points such as down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.

Competitive Landscape and Street and Roadway Lighting Market Share Analysis

The market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to market.

Some of the major players operating in the market are

• Koninklijke Philips N.V. (Netherlands)
• Cree, Inc. (U.S.)
• General Electric Company (U.S.)
• Eaton (Ireland)
• OSRAM Opto Semiconductors GmbH (Germany)
• ACUITY BRANDS LIGHTING, INC. (U.S.)
• Hubbell (U.S.)
• Dongguan Kingsun Optoelectronic Co., Ltd. (China)
• Thorn (U.K.)
• LED ROADWAY LIGHTING LTD (Canada)
• Syska (India)
• Virtual Extension (Israel)
• CIMCON Lighting, Inc. (U.S.)
• AGC Inc. (Japan)
• Electrolite Fitting & Equipments (India)
• Cree Lighting (U.S.)
• SpecGrade LED (U.S.)
• LEDVANCE GmbH (Germany)
• SKYLER TEK, Inc. dba SKYLER LED Lighting (U.S.)
• Itron Inc. (U.S.)

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