South Korea LED Lighting Market Size was estimated at 2.0 (USD Billion) in 2023. The South Korea LED Lighting Market Industry is expected to grow from 2.23 (USD Billion) in 2024 to 7.17 (USD Billion) by 2035. The South Korea LED Lighting Market CAGR (growth rate) is expected to be around 11.2% during the forecast period (2025 - 2035).
The LED lighting market in South Korea is expanding rapidly due to a myriad of factors. One of the primary drivers of the market is the government’s focus on energy efficiency and sustainability within the scope of reducing greenhouse gas emissions. The South Korean Ministry of Environment has been promoting the use of energy-saving lighting devices, which is consistent with the country’s green growth strategy. Such governmental support stimulates the adoption of LED lighting, which saves energy and has a longer lifespan than conventional lighting technologies. In addition, there is evidence to suggest that demand for smart lighting products is growing significantly in South Korea.
Incorporating IoT technology into LED lighting systems is becoming popular, which shows that the country is inclined toward digital innovation and smart city growth. There is a growing preference among consumers for systems that provide control over the lighting from remote locations; thus, smart LED products are in high demand in the residential and commercial sectors. Some of the opportunities in the market include replacing obsolete lighting systems in the urban centers of South Korea. With the ongoing modernization of cities such as Seoul and Busan, there is great scope for installing energy-efficient lighting in upgraded infrastructure.
The South Korean public's growing health consciousness, combined with an awareness of improving decor and lighting, provides another opportunity for individuals to tailor make LED lighting sets. The set combination of government motives, developed technologies, and altering customer interests is what is changing the LED lighting market in South Korea for good.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
The South Korean government is focused on enhancing energy efficiency, particularly in residential and commercial spaces, which has significantly boosted the South Korea LED Lighting Market Industry. The Ministry of Trade, Industry, and Energy has implemented various policies aimed at reducing energy consumption by 20% by 2030. This ambitious target aligns with the country's broader environmental goals and pushes sectors to adopt sustainable lighting solutions.
In a report by the Korea Energy Agency, it was noted that implementing energy-efficient lighting systems could result in annual savings of approximately 3.3 billion USD by 2025. Moreover, this will likely increase the adoption of LED technology, significantly propelling the market's growth trajectory. The sustained encouragement from government bodies will serve as a robust driver for the LED lighting sector.
As environmental sustainability becomes increasingly important to consumers and businesses, the demand for eco-friendly lighting solutions, such as LEDs, is expected to surge within the South Korea LED Lighting Market Industry. In a public survey conducted by the Korea Environmental Industry Technology Institute, 78% of respondents expressed a growing concern about sustainability and indicated a willingness to pay more for green products. This behavior is expected to boost the sales of LED lighting systems significantly.
Furthermore, the government's promotions of green-certified products have also played a critical role in driving consumer preferences toward LEDs, indicating a shift in market dynamics underlined by sustainability.
Rapid technological advancements in LED lighting, including the introduction of smart lighting technologies, are propelling the growth of the South Korea LED Lighting Market Industry. Recent innovations, such as smart LEDs that can be controlled via mobile apps and integrate with IoT ecosystems, are witnessing high demand. According to the Korea Institute of Electrical Engineers, smart LED technologies are expected to account for over 40% of total LED sales by 2030.
This indicates a strong trend towards increasingly intelligent lighting solutions, offering improved energy savings and user experience. Major companies in South Korea are investing in R to enhance LED functionalities, which aligns perfectly with market demand and ensures sustained growth in the coming years.
The commercial sector in South Korea is rapidly transitioning to LED lighting due to its cost-effectiveness and longevity. Businesses are reporting up to 75% reduction in their lighting costs after switching to LED solutions, according to data from the Seoul Chamber of Commerce. This transition is especially pronounced in the retail and hospitality sectors, which are major consumers of lighting solutions. Notably, the increase in shopping malls and hotels in urban areas such as Seoul is further driving demand for energy-efficient lighting systems.
As the commercial industry increasingly seeks to optimize operational efficiencies, the growth potential of LED lighting within this sector will continue to rise, bolstering the overall market.
The South Korea LED Lighting Market has been experiencing dynamic growth, driven significantly by the Installation Type segment, which is primarily segmented into New Installation and Retrofit. New Installation pertains to the deployment of LED lighting fixtures in newly constructed buildings, illustrating the nation’s commitment to sustainability and energy efficiency as the South Korean government actively promotes advanced energy policies. This segment is fundamental as it facilitates the integration of cutting-edge lighting technologies, catering to both commercial and residential sectors.
Retrofit, on the other hand, involves upgrading existing lighting systems with LED solutions, which is an increasingly popular choice due to the rising awareness of energy savings and reduced carbon footprints. Retrofit projects enable older infrastructures to benefit from modern LED efficiencies, effectively lowering operational costs and enhancing lighting quality. The adoption of LED technology in both segments is bolstered by government incentives aimed at reducing energy consumption, positioning South Korea as a leader in the green technology space.
The trend toward smart lighting solutions is also gaining momentum, contributing to enhanced efficiency and control. Sustainable urban development policies and a surge in construction activities further amplify the importance of these installation types in shaping the LED Lighting Market landscape. A significant number of businesses and homeowners are transitioning to LED solutions, fueled by rising electricity costs and a growing emphasis on environmental stewardship. Furthermore, there exists a strong opportunity for innovation within the Retrofit sector, where technologies such as smart sensors and IoT integration are increasingly being embraced, thus driving further market growth.
As companies seek to align with South Korea's environmental targets, the installation of energy-efficient LED systems, whether new or retrofitted, plays a crucial role in establishing a sustainable future for the country.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
The South Korea LED Lighting Market has shown significant growth, particularly in the Product Type segment, which includes various essential components such as Lamps and Luminaries. This market has experienced a strong increase in demand due to the rising focus on energy efficiency and environmental sustainability. Lamps have gained popularity owing to their versatility in both residential and commercial applications, highlighting their importance in modern lighting solutions. On the other hand, Luminaries are pivotal for their functionality and design aesthetic, which is crucial in enhancing urban landscapes and architectural elements.
Government initiatives aimed at promoting LED technology and reducing energy consumption have further accelerated market growth. The South Korea LED Lighting Market statistics indicate a favorable shift towards more sustainable lighting options, with urbanization and infrastructure development acting as growth drivers. As South Korea embraces smart city initiatives, the significance of innovative lighting solutions through these Product Types is increasingly apparent, presenting robust opportunities for stakeholders in the field. Overall, the segmentation of the South Korea LED Lighting Market showcases a promising landscape where both Lamps and Luminaries are playing a crucial role in shaping the future of lighting.
The South Korea LED Lighting Market is experiencing significant growth, supported by a diverse range of distribution channels. Store Based channels play a crucial role, as they provide customers with the opportunity to physically examine products before making a purchase, thus fostering trust and enhancing customer experiences. This channel benefits from the increasing number of retail outlets specializing in lighting solutions, reflecting a more informed consumer base in South Korea. Non-Store Based channels, including e-commerce platforms, are also gaining traction, driven by the growing trend of online shopping in the region.
These platforms offer convenience and a wider variety of products, catering to a digitally savvy population. Furthermore, the rise in smartphone usage and improved internet connectivity in South Korea enhance the appeal of Non-Store options, allowing consumers to easily compare prices and access reviews. Overall, the segmentation of the South Korea LED Lighting Market reflects evolving consumer preferences and behaviors, with both Store Based and Non-Store Based channels contributing to the industry's dynamic landscape. The combination of these distribution channels addresses the diverse needs of customers, positioning the market well for future growth and adaptability in a rapidly changing retail environment.
The South Korea LED Lighting Market exhibits significant growth prospects within the End-Use Application segment, which is primarily categorized into Indoor Lighting and Outdoor Lighting. Indoor Lighting has become increasingly pivotal in enhancing energy efficiency, complementing the rising trend of smart homes across the nation. As South Korea continues to invest in urban development and infrastructure, Outdoor Lighting emerges as a vital component, driven by smart city initiatives aimed at improving public safety and reducing energy consumption.
Enhanced sustainability regulations and technological advancements are propelling both sectors forward as cities seek to replace conventional lighting systems with energy-efficient LED solutions. Indoor Lighting accounts for a substantial portion of the market due to the growing emphasis on residential and commercial spaces needing better illumination. Meanwhile, Outdoor Lighting not only ensures public safety but also focuses on reducing light pollution, giving it a dominant position. The South Korea LED Lighting Market segmentation reflects a robust ecosystem, responding to urbanization demands, environmental concerns, and advancements in lighting technologies, which inevitably dictate market trends and consumer behavior in the region.
The South Korea LED Lighting Market has experienced significant growth in recent years, driven by increasing energy efficiency demands, government initiatives for sustainable lighting solutions, and a growing awareness of environmentally friendly alternatives to traditional lighting. This competitive landscape is characterized by a mix of domestic corporations and international players who are equipped with advanced technologies and innovative product offerings. Market players are increasingly focused on diversifying their product lines and enhancing the functionality of their LED solutions to meet the evolving needs of consumers and businesses alike. As the market matures, competition is intensifying, leading to strategic collaborations, partnerships, and technological advancements aimed at securing a larger market share.
SK Innovation has established itself as a formidable player within the South Korea LED Lighting Market, leveraging its technological prowess and strong RD capabilities. The company's extensive network and resources have enabled it to address the demands of various sectors, including residential, commercial, and industrial lighting. SK Innovation's strengths lie in its commitment to sustainability and energy efficiency, positioning itself as a leader in eco-friendly lighting solutions. The firm emphasizes innovation in production techniques, which translates to improved product quality and performance. Furthermore, SK Innovation is focusing on expanding its market presence through strategic collaborations and investment in cutting-edge technologies, allowing it to enhance its competitiveness in a rapidly evolving landscape.
Philips Lighting, a prominent competitor in the South Korea LED Lighting Market, offers a range of products that cater to different sectors, including smart lighting solutions, street lighting, and architectural lighting. The company is renowned for its commitment to innovation and sustainability, with a strong emphasis on developing energy-efficient products that align with contemporary environmental standards. Philips Lighting's market presence is supported by strategic partnerships and mergers that bolster its capabilities and distribution channels within South Korea. A key aspect of the company's strategy is its focus on smart lighting technology, which integrates advanced connectivity and control features. This positions Philips Lighting as a favorable choice for consumers seeking modern, efficient, and intelligent lighting solutions. Through continuous investment in RD and a broad portfolio of products, Philips Lighting aims to maintain its competitive edge in the South Korean market.
SK Innovation
Philips Lighting
LG Electronics
Samsung Electronics
LG Innotek
Korea Electric Power Corporation
Nationwide Lighting
Qihee
Seoul Semiconductor
Cree
Osram
Tolibolt
Ahnseong
Hyundai Energy Solutions
Samsung LED
Recent developments in the South Korea LED Lighting Market reflect a dynamic landscape characterized by technological advancements and strategic partnerships. SK Innovation has been expanding its efforts in eco-friendly lighting solutions, contributing to the nation’s sustainability goals. Philips Lighting is focusing on smart lighting systems, addressing the growing demand for IoT-enabled products, while LG Electronics is enhancing its innovation in energy-efficient lighting, particularly in residential and commercial sectors. Significant growth in the market valuation has been seen through investments in infrastructure and technological enhancements, fostering competitive dynamics among major players like Samsung Electronics and LG Innotek. Noteworthy, in March 2023, Seoul Semiconductor announced a partnership with Korea Electric Power Corporation to develop advanced LED technologies aimed at energy conservation. Additionally, Cree's recent initiatives to enhance manufacturing capabilities in South Korea have been well-received, showing an interest in high-efficiency lighting. Over the past two to three years, significant trends have emerged, such as the increased adoption of smart city projects nationwide, with major contributions from Hyundai Energy Solutions and Samsung LED, further driving the market's evolution.
New Installation
Retrofit
Lamps
Luminaries
Store Based
Non-Store Based
Indoor Lighting
Outdoor Lighting
| Report Attribute/Metric | Details |
| Market Size 2018 | 2.0 (USD Billion) |
| Market Size 2024 | 2.23 (USD Billion) |
| Market Size 2035 | 7.17 (USD Billion) |
| Compound Annual Growth Rate (CAGR) | 11.2% (2025 - 2035) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2024 |
| Market Forecast Period | 2025 - 2035 |
| Historical Data | 2019 - 2024 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | SK Innovation, Philips Lighting, LG Electronics, Samsung Electronics, LG Innotek, Korea Electric Power Corporation, Nationwide Lighting, Qihee, Seoul Semiconductor, Cree, Osram, Tolibolt, Ahnseong, Hyundai Energy Solutions, Samsung LED |
| Segments Covered | Installation Type, Product Type, Distribution Channel, End-Use Application |
| Key Market Opportunities | Smart lighting integration, Energy efficiency regulations, Growing urbanization trends, Government incentives for LED adoption, Expansion of retail and commercial sectors |
| Key Market Dynamics | Rising energy efficiency awareness, Government regulations and incentives, Technological advancements in LED, Growing adoption in commercial spaces, Increase in smart lighting solutions |
| Countries Covered | South Korea |
Frequently Asked Questions (FAQ) :
The South Korea LED Lighting Market is expected to be valued at 2.23 billion USD in 2024.
By 2035, the South Korea LED Lighting Market is projected to reach a value of 7.17 billion USD.
The South Korea LED Lighting Market is expected to grow at a CAGR of 11.2% from 2025 to 2035.
The new installation segment is valued at 1.23 billion USD in 2024.
The retrofit segment is expected to be valued at 3.11 billion USD by 2035 in the South Korea LED Lighting Market.
Major players in the South Korea LED Lighting Market include SK Innovation, Philips Lighting, LG Electronics, and Samsung Electronics.
The new installation segment is projected to be valued at 4.06 billion USD by 2035.
The growth of drivers includes increasing energy efficiency awareness and the adoption of advanced lighting technologies.
Challenges may include high initial costs and competition from traditional lighting technologies.
Emerging trends include smart lighting solutions and increasing adoption of IoT in lighting applications.
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Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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