2025-12-18
This Sullivan report provides a comprehensive analysis of the current state of the global plant lighting equipment industry, its market structure, technological evolution, and future trends. Its core conclusions are: LEDs are completely replacing traditional light sources, the industry is experiencing rapid growth, the Asia-Pacific region is becoming an important growth market, and competition is concentrating on leading companies. .
Plant supplemental lighting equipment is a core piece of equipment in modern agriculture. Its technology has undergone four generations of iteration and is currently at a high level. The Era of Intelligent and Precise LED Complementary Lighting With its advantages such as adjustable spectrum, high luminous efficiency, long lifespan, and low energy consumption, LED has completely surpassed traditional HID equipment such as high-pressure sodium lamps, becoming the mainstream choice for newly built facility agriculture and the core replacement direction for the renovation of existing greenhouses.
The industry chain is clear, with upstream consisting of LED chips, driver power supplies, and other components and raw materials such as copper and aluminum; midstream comprising equipment manufacturers and brand owners; and downstream covering scenarios such as greenhouses, plant factories, and vertical farms. Business models are divided into R&D and manufacturing-based and brand operation-based, with core value concentrated in the midstream spectral design and system integration stages.
The market continues its rapid expansion, with a compound annual growth rate of 24.2% globally from 2021 to 2025, reaching approximately US$4.5 billion in 2025 and projected to grow to US$12.56 billion by 2030. In terms of product structure, the penetration rate of LED supplemental lighting equipment is rapidly increasing, accounting for approximately 60% in 2025 and projected to reach 70% by 2030. Regionally, the European market is mature with strong demand for upgrades, while North America focuses on high-value crops. Asia-Pacific region has the fastest growth The compound annual growth rate is expected to reach 26.1% from 2025 to 2030, with China and Japan as the core regions. The Chinese market is projected to reach $760 million by 2030.
The industry's growth is driven by five main factors: LED technology upgrades and replacement of existing stock, agricultural modernization driven by food security and energy crises, labor shortages and policy support, green agricultural transformation, and the popularization of facility agriculture and smart agriculture. At the same time, it faces challenges such as fluctuations in component prices, geopolitical influences, and fluctuations in downstream project-based orders.
In terms of competitive landscape, the global market is relatively fragmented, but the leading players are prominent. In 2025, the top five manufacturers will hold a 24.7% market share, with Signify, Jinshengda, and Gavita ranking in the top three. China, relying on its complete LED industry chain, has seen rapid growth of domestic companies, and the market is not yet highly concentrated. New entrants are mainly traditional lighting, LED device, and agricultural technology companies, and the industry entry barriers are gradually increasing.
On the policy front, many countries around the world have introduced energy efficiency standards and subsidy policies. The EU, the US, the Netherlands and other countries have strictly regulated the energy efficiency of LED supplemental lighting equipment. China has included plant supplemental lighting in the scope of support for facility agriculture and agricultural machinery subsidies. A number of national standards have been implemented to regulate the development of the industry.
The industry will exhibit four major trends in the future: application scenarios will expand to vertical agriculture and medicinal plants; technology will be upgraded to high light efficiency, precise spectrum, and intelligent integration; the demand for customized supplemental lighting for high-value crops will increase; and large-scale agriculture will drive the popularization of integrated supplemental lighting systems, leading to a deep transformation of the industry as a whole towards high efficiency, intelligence, and green development.
