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Indonesia LED Market to Grow at 21.51% During 2022-2027, Fostered by Growing Need for Energy-Efficient Lighting Solutions

Published on Aug 05, 2020

According to the latest report by IMARC Group, titled "Indonesia LED Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027," the LED market in Indonesia is expected to grow at a CAGR of 21.51% during 2022-2027. A light-emitting diode (LED) refers to the energy-efficient lighting technology that is incorporated into bulbs and fixtures for general lighting applications. These semiconductor-based lighting sources offer unique design opportunities and emit light in a specific direction to provide enhanced brightness. They utilize heat sinks to absorb the heat produced and dissipate it into the environment to avoid overheating or burning out. LED lights save approximately 90% energy, have improved durability and operational efficiency, as compared to conventional lights. As a result, these lights are widely replacing halogen, incandescent and fluorescent lighting solutions across the industrial, infrastructural and residential sectors. 

We are regularly tracking the direct effect of COVID-19 on the market, along with the indirect influence of associated industries. These observations will be integrated into the report.

Indonesia LED Market Trends:

The market is primarily driven by the escalating demand for energy-efficient lighting solutions in Indonesia. Indonesia has less than 60% energy penetration, with regular incidences of blackouts and power rationing in both rural and urban regions. There has been an increase in the penetration rates of electricity in the country as the Government of Indonesia aims to achieve complete energy self-sufficiency in the coming years. The growing awareness regarding the importance of energy conservation and the numerous initiatives undertaken by the Government to promote the use of LED lights are anticipated to catalyze the market growth. Furthermore, the Government is issuing tariff-free investment incentives for LED solutions in certain regions, which is expected to improve the investment rate within the country. Apart from this, there has been a significant increase in the usage of LEDs in public construction projects due to the sustainable and energy-efficient nature of these solutions. This is further supported by the infrastructural developments throughout the country. Other factors, such as the growing applications of these lights in the transportation industry and the increasing availability of affordable, imported LED products, are creating a positive outlook for the market.

Market Summary:

  • On the basis of the product type, the market has been divided into panel lights, down lights, street lights, tube lights, bulbs and others.
  • Based on the application, the market has been classified into commercial, residential, institutional, industrial and others.
  • On the basis of the installation type, the market has been bifurcated into new and retrofit installations.
  • On the geographical front, the market has been segmented into Java, Sumatra, Kalimantan, Sulawesi and others.
  • The competitive landscape of the market has been studied in the report with the detailed profiles of the key players operating in the market.

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IMARC’s information products include major market, scientific, economic and technological developments for business leaders in pharmaceutical, industrial, and high technology organizations. Market forecasts and industry analysis for biotechnology, advanced materials, pharmaceuticals, food and beverage, travel and tourism, nanotechnology and novel processing methods are at the top of the company’s expertise.

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