LED lighting systems are gaining higher preference in vehicles, with their rising popularity among car owners across the globe. Automobile manufacturers are shifting their concentration towards provision of safety and comfort to customers, coupled with rising production of hybrid as well as electric vehicles integrated with high-quality LED lights.
Fact.MR, in its new research report, projects the demand for automotive LED lights market to exhibit an impressive expansion over the forecast period 2017-2022. Revenues from the global automotive LED light market are expected to exceed US$ 6,000 Mn by the end of 2022. Traditionally utilized as back lights in vehicles, automotive LED lights are now being adopted for headlights, replacing xenon light, and halogen light. This is mainly attributed to their properties such as better lighting system, and higher power efficiency.
In order to effectively differentiate themselves in the global market, and gain a competitive edge, leading players are focusing on developing innovative systems with cost-effective solutions. Extension of LEDs in automotive lighting systems is expected to have a higher potential, with improvements in LED modules, and advent of new technologies, for example – organic LEDs (OLEDs) producing homogenous light.
LED light, a semiconductor, releases light energy when it is activated. Compared to halogen, or, xenon light, LED lights are more durable, power saving, and efficient. LED lights offer various advantages compared to other lights, such as less CO2 emission, and long-lasting life.
7 Key Estimations on Future of Global Automotive LED Light Market
- In terms of revenues, aftermarket will continue to be the most lucrative sales channel in the global market, with sales poised to account for more than three-fourth share of the market during 2017 to 2022.
- Sales of automotive LED lights in OEM will register a comparatively faster expansion than that in the aftermarket through 2022.
- Asia-Pacific excluding Japan (APEJ) is expected to retain its dominance in the market, and revenues from the market in this region will account for over one-third market share during the forecast period.
- Europe is anticipated to remain the second most lucrative region for growth of the automotive LED light market, and poised to expand at 8.5% CAGR through 2022.
- Headlamps are expected to be the most attractive application segment of automotive LED lights. Revenues from sales of automotive LED lights for headlamps will surpass US$ 1,000 Mn by 2022-end.
- Automotive LED light sales for application in sidelights, and brake lights are estimated to exhibit a similar CAGR through 2022.
- Key players participating in the market include General Electric Company, Nichia Corporation, Texas Instruments, Imasen Electric Industrial Co., Ltd., Valeo SA, Koninklijke Philips N.V., Stanley Electric Co., Ltd., Koito Manufacturing Co., Ltd., HELLA KGaA Hueck & Co., and OSRAM Licht AG.
Automotive LED Light Market: Vehicle Headlamps to Remain the Leading Application
Automotive LED lights are expected to find the largest application in headlamps of vehicles, with sales poised to exceed US$ 1,000 Mn in revenues by 2022-end. Brake lights are expected to be the second most lucrative application in the automotive LED light market.
In addition, automotive LED light sales for application in brake lights and sidelights are projected to register a parallel expansion at 8.7% CAGR through 2022. Although aftermarket will continue to be the largest sales channel in the automotive LED light market, sales in OEM are anticipated to exhibit a comparatively higher CAGR through 2022.
Sales of automotive LED lights in aftermarket will account for over three-fourth revenue share of the market throughout the forecast period. Accounting for over one-third share of the automotive LED light market, Asia-Pacific excluding Japan (APEJ) will continue to be the most attractive region in the automotive LED light market, in terms of revenues.
Europe is expected to be the second most lucrative region in the automotive LED light market, with sales expanding at a CAGR of 8.5% through 2022.
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