Advanced Lighting Products to 2011

Abstract

Demand to see double-digit annual gains through 2011

US demand for advanced lighting products is forecast to rise over ten percent per year through 2011. Gains will be fueled by consumer desires for more energy efficient lighting, which will boost demand for compact fluorescent lamps. In addition, development of improved light emitting diode (LED) technology will create tremendous gains for these products in lighting applications. The US is a net importer of advanced lighting products, and imports are expected to continue to expand faster than both overall demand and exports through 2011, further widening the trade deficit. Import advances will be aided by the ongoing emphasis on price in the US market, as foreign-produced products are often less expensive than US-made lamps. This trend will be supported by the popularity of compact fluorescent lamps, which are dominated by imports.

Compact fluorescent demand to benefit from push toward ‘green’ products

Rising interest in “green” technologies has spurred compact fluorescent demand. This trend is expected to continue, as major retailers such as Wal-Mart aggressively market these products in an effort to boost their own environmental image. Although more expensive than traditional incandescent lamps, compact fluorescents offer superior energy efficiency and longer lifespans. These products will continue to gain significant media exposure from environmental activists, and commay even benefit from potential statewide bans on incandescents.

LEDs are also expected to have strong growth. Gains will benefit from increased penetration in motor vehicle applications such as rear lighting, panel displays and interior lighting. In addition, high brightness LEDs offer long term potential for penetration into building illumination markets. LEDs offer superior energy efficiency and long lifespan.