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Against the backdrop of profound adjustments and changes in the global economic landscape, the global lighting market is also facing new opportunities. This article summarizes the characteristics of China’s lighting industry exports in 2024, analyzes the current foreign trade situation, and briefly forecasts the development trend of foreign trade in the lighting industry in 2025, providing insights and references for enterprises in their overseas market development.
The export of lighting fixture products remained stable, with an export value of approximately $42.4 billion, accounting for 76% of the total lighting industry exports. Some lighting fixture products saw growth, playing a crucial role in stabilizing the industry’s overall export performance. Notably, fixed lighting fixtures recorded a year-on-year increase of 9.8% in volume and 0.8% in export value, while portable lighting fixtures grew by 17.7% in volume and 2.2% in export value. Additionally, photovoltaic lighting products designed solely for LED sources saw remarkable growth, with export volume and value rising by 56.4% and 35%, respectively.
The two major export markets, the United States and Europe, remained stable, with an export value of approximately $27.2 billion, marking a 0.2% year-on-year increase and accounting for 48% of the total exports.
Among individual export destinations, the top ten markets for China’s lighting exports in 2024 were the United States, Germany, Malaysia, the United Kingdom, Singapore, Vietnam, Japan, the Netherlands, Thailand, and India. Their combined export value remained steady at approximately $28 billion, growing by about 3% year-on-year and accounting for 50% of China’s total lighting exports, similar to the previous year.
Automotive lighting products have also gained popularity globally, with exports reaching approximately $4.5 billion, an 11% year-on-year increase, accounting for 8% of China’s total lighting exports—up one percentage point from 2023.
Exports to Belt and Road Initiative (BRI) markets reached approximately $25.2 billion, reflecting a 3% year-on-year increase and comprising 45% of China’s total lighting exports—one percentage point higher than the previous year. The top ten BRI export markets (excluding European countries) were Malaysia, Singapore, Vietnam, Thailand, Saudi Arabia, the UAE, South Korea, the Philippines, Indonesia, and Kazakhstan, with a combined export value of $12.7 billion, growing by 11% year-on-year and accounting for 50% of the BRI market, up 3 percentage points from the previous year.
With the accelerated phase-out of traditional electric light sources, overseas demand for China’s LED modules has surged. The annual export volume of LED modules reached approximately 5.9 billion units, a 488% year-on-year increase. India, Egypt, and Vietnam accounted for 61% of total LED module exports, up 11 percentage points from 2023, marking them as China’s potential competitors in overseas markets. India ranked highest in LED module imports from China, with 1.3 billion units imported, up 736% year-on-year. In some regions, import growth exceeded 1,600%. The total export value of China’s LED modules reached approximately $480 million, a 69% increase year-on-year, with the U.S. being the largest destination at $70 million, growing by 84%.
Traditional electric light sources, including incandescent and gas-discharge lamps, continued to decline, with export volumes down 16% year-on-year, accounting for 10% of total lighting source exports—down 9 percentage points from the previous year. The export value of electric light sources from January to December reached approximately $6.3 billion, an 8.5% decline year-on-year, comprising 11% of total lighting exports, down one percentage point from 2023.
Since the 2018 U.S.-China trade dispute, China’s lighting exports to the U.S. have experienced fluctuations:
However, this new U.S. tariff hike in 2025 will once again disrupt global supply chains and destabilize market supply and demand.
At the Central Economic Work Conference in December 2024, the government clearly outlined its plans to expand high-level opening-up, stabilize foreign trade, and attract foreign investment. In the coming months, additional policies aimed at stabilizing foreign trade and promoting growth will provide strong support for the high-quality development of China’s foreign trade.
Recently, the State Council held a meeting to discuss measures to boost domestic consumption, while the Ministry of Commerce convened a national foreign trade conference emphasizing:
Additionally, the State Taxation Administration issued a new announcement on export tax rebates for cross-border e-commerce warehouse exports. This policy clarifies export tax rebate (exemption) rules for businesses using the "9810" customs supervision code, which covers exports through overseas warehouses. The policy aims to strengthen tax support for cross-border e-commerce exports and ensure industry stability in 2025.
From a monetary policy perspective, under the “moderate easing” strategy, China’s central bank is expected to continue implementing reserve requirement ratio (RRR) and interest rate cuts in 2025, maintaining ample liquidity and strong support for the real economy.
These pro-business policies provide a solid foundation for the stable development of China’s lighting industry.
To avoid the impact of U.S. tariff increases, some small and medium-sized enterprises (SMEs) in industrial clusters saw a surge in export orders before the holiday. Additionally, midstream and upstream enterprises in the chip packaging industry experienced order backlogs both before and after the holiday.
Across the industry, businesses are actively ramping up production and competing for a strong start to 2025.
Facing the complex external environment, China’s lighting foreign trade companies need to leverage their advantages, adjust strategies actively, and achieve stable development. On the one hand, they should lead with technological innovation, developing new products for popular sub-segments such as road, landscape, low-carbon, and agricultural lighting. They should focus on high-end, green, and smart products, continually enhancing product technological content and added value. On the other hand, they should focus on optimizing supply chain management, actively explore emerging markets, and reduce dependence on single markets and suppliers, thereby diversifying market risks. Companies should also consolidate traditional markets, establish long-term and stable partnerships, and ensure smooth and stable supply chains. In addition to product exports, Chinese lighting manufacturers should follow the national overseas investment construction steps, actively participate in lighting engineering projects in Belt and Road countries, and shift from traditional product export to a "products + services" export model.
By embracing technological advancements, diversified markets, and strategic investments, China’s lighting industry can navigate global uncertainties and achieve sustainable growth in 2025 and beyond.
Source: China Association of Lighting Industry
Characteristics of China’s Lighting Industry Exports in 2024
Over the past year, the lighting industry’s exports have shown resilience, which can be summarized by three key terms: "Stability, Innovation, and Decline."Stability: Overall Stable Exports with Steady Market Share
In 2024, China's lighting product exports reached $56.1 billion, a slight decrease of 0.3% year-on-year. The total export value remained at historically high levels, with the total export value of electromechanical products accounting for 3% of the total for eight consecutive years.The export of lighting fixture products remained stable, with an export value of approximately $42.4 billion, accounting for 76% of the total lighting industry exports. Some lighting fixture products saw growth, playing a crucial role in stabilizing the industry’s overall export performance. Notably, fixed lighting fixtures recorded a year-on-year increase of 9.8% in volume and 0.8% in export value, while portable lighting fixtures grew by 17.7% in volume and 2.2% in export value. Additionally, photovoltaic lighting products designed solely for LED sources saw remarkable growth, with export volume and value rising by 56.4% and 35%, respectively.
The two major export markets, the United States and Europe, remained stable, with an export value of approximately $27.2 billion, marking a 0.2% year-on-year increase and accounting for 48% of the total exports.
Innovation: Increased Technology Content in Exports and New Growth in Belt and Road Markets
Driven by policy support and market demand, China’s photovoltaic lighting and automotive lighting exports have experienced promising growth opportunities. In 2024, China’s photovoltaic lighting product exports reached approximately $1.8 billion, a 35% increase year-on-year, contributing 3% to the total lighting exports—up one percentage point from 2023. This has enriched the global supply of green lighting products while supporting climate change mitigation and green, low-carbon transitions worldwide.Automotive lighting products have also gained popularity globally, with exports reaching approximately $4.5 billion, an 11% year-on-year increase, accounting for 8% of China’s total lighting exports—up one percentage point from 2023.
Exports to Belt and Road Initiative (BRI) markets reached approximately $25.2 billion, reflecting a 3% year-on-year increase and comprising 45% of China’s total lighting exports—one percentage point higher than the previous year. The top ten BRI export markets (excluding European countries) were Malaysia, Singapore, Vietnam, Thailand, Saudi Arabia, the UAE, South Korea, the Philippines, Indonesia, and Kazakhstan, with a combined export value of $12.7 billion, growing by 11% year-on-year and accounting for 50% of the BRI market, up 3 percentage points from the previous year.
With the accelerated phase-out of traditional electric light sources, overseas demand for China’s LED modules has surged. The annual export volume of LED modules reached approximately 5.9 billion units, a 488% year-on-year increase. India, Egypt, and Vietnam accounted for 61% of total LED module exports, up 11 percentage points from 2023, marking them as China’s potential competitors in overseas markets. India ranked highest in LED module imports from China, with 1.3 billion units imported, up 736% year-on-year. In some regions, import growth exceeded 1,600%. The total export value of China’s LED modules reached approximately $480 million, a 69% increase year-on-year, with the U.S. being the largest destination at $70 million, growing by 84%.
Decline: Further Decrease in Export Prices and Continuous Decline in Electric Light Source Exports
In 2024, export prices of approximately 83% of the 59 tariff categories of lighting products declined by varying degrees, ranging from 1% to 93%. These products accounted for 99% of China’s total lighting exports. The average export prices of major lighting products, including fixed and portable lighting fixtures, fell by 5% to 17%, while LED electric light sources (LED bulbs, LED tubes, and LED modules) saw an average export price decline of 49%. For example, the average export price of LED bulbs (HS code 85395210) dropped by 22% year-on-year, with price declines ranging from 10% to 30% in major markets such as the U.S. and Europe.Traditional electric light sources, including incandescent and gas-discharge lamps, continued to decline, with export volumes down 16% year-on-year, accounting for 10% of total lighting source exports—down 9 percentage points from the previous year. The export value of electric light sources from January to December reached approximately $6.3 billion, an 8.5% decline year-on-year, comprising 11% of total lighting exports, down one percentage point from 2023.
Current State of the Export Market
At present, the global economic recovery remains sluggish, market demand is weak, trade protectionism is on the rise, international supply chains are being restructured, and raw material costs are increasing. All these factors pose greater challenges to China's lighting exports.Increasing Complexity in the Foreign Trade Environment
The new U.S. administration has continued the "America First" policy, introducing trade restrictions such as higher tariffs, anti-dumping measures, and countervailing investigations, creating uncertainty and exacerbating global trade tensions. On February 1, 2025, the U.S. government announced a 10% tariff increase on all Chinese imports, citing fentanyl-related issues, which took effect on February 4. This tariff hike covers all 59 categories of Chinese lighting products, with rates ranging from 12% to 47.5%. Since the U.S.-China trade dispute began in 2018, Chinese lighting exports to the U.S. have fluctuated, declining by approximately 13% in 2019, temporarily recovering during the COVID-19 pandemic in 2020-2021, and then resuming a downward trend from 2022 onward. The decline further expanded to 16% in 2023, and although it slowed to 1% in 2024, the latest tariff hike has once again disrupted global supply chains and market stability.Since the 2018 U.S.-China trade dispute, China’s lighting exports to the U.S. have experienced fluctuations:
- 2019: Export value fell by about 13%.
- 2020-2021: Temporary rebound during the COVID-19 pandemic.
- 2022: Decline resumed.
- 2023: The decline widened to 16%.
- 2024: The decline slowed to 1%.
However, this new U.S. tariff hike in 2025 will once again disrupt global supply chains and destabilize market supply and demand.
Strengthened Support for Foreign Trade
In response to external challenges, since September 2024, the Chinese government has introduced a series of incremental policies to boost confidence among market participants and consolidate the foundation for economic recovery.At the Central Economic Work Conference in December 2024, the government clearly outlined its plans to expand high-level opening-up, stabilize foreign trade, and attract foreign investment. In the coming months, additional policies aimed at stabilizing foreign trade and promoting growth will provide strong support for the high-quality development of China’s foreign trade.
Recently, the State Council held a meeting to discuss measures to boost domestic consumption, while the Ministry of Commerce convened a national foreign trade conference emphasizing:
- Maintaining confidence in the face of challenges.
- Adopting a goal-oriented and problem-solving approach to navigate complex and severe foreign trade conditions.
- Fully stabilizing foreign trade growth through efforts such as expanding cross-border e-commerce and helping enterprises explore international markets.
Additionally, the State Taxation Administration issued a new announcement on export tax rebates for cross-border e-commerce warehouse exports. This policy clarifies export tax rebate (exemption) rules for businesses using the "9810" customs supervision code, which covers exports through overseas warehouses. The policy aims to strengthen tax support for cross-border e-commerce exports and ensure industry stability in 2025.
From a monetary policy perspective, under the “moderate easing” strategy, China’s central bank is expected to continue implementing reserve requirement ratio (RRR) and interest rate cuts in 2025, maintaining ample liquidity and strong support for the real economy.
These pro-business policies provide a solid foundation for the stable development of China’s lighting industry.
2025 Outlook for Lighting Industry Exports
In 2025, China’s lighting industry will face a major test. Despite numerous challenges, there are also opportunities amid crises. While China’s lighting exports will remain under pressure, the overall market is expected to remain stable.Positive Signals from the International Economy
- The World Trade Organization (WTO) projects moderate global trade expansion, with world merchandise trade volume expected to grow by 3.0% in 2025, and inflation possibly easing.
- The International Monetary Fund (IMF) forecasts global economic growth of 3.2% in 2025.
- Macroeconomic factors such as global economic recovery, trade shifts, and the upward cycle of global manufacturing could partially offset the impact of trade frictions.
Businesses Striving for a Strong Start
According to industry research, many lighting manufacturers resumed operations immediately after the Chinese New Year holiday. Most large and medium-sized export companies reported that their order volumes remained stable compared to the same period last year.To avoid the impact of U.S. tariff increases, some small and medium-sized enterprises (SMEs) in industrial clusters saw a surge in export orders before the holiday. Additionally, midstream and upstream enterprises in the chip packaging industry experienced order backlogs both before and after the holiday.
Across the industry, businesses are actively ramping up production and competing for a strong start to 2025.
Exploring New Strategies for Overseas Expansion
Since last year, going overseas has become an important choice for many companies to stabilize development. More companies are expanding overseas in various ways, aiming to better align with consumers, attract high-end talent, and build stronger brand images. According to the development of industries such as home appliances in 2024, demand for Chinese electromechanical products remains strong in emerging markets such as Southeast Asia, Africa, and the Middle East. China’s products, with their high cost-effectiveness and related services, are favored by local markets. Therefore, tapping into local market demand will provide new growth momentum for China’s lighting industry foreign trade. Companies engaged in lighting design, engineering construction, and related fields should also actively explore overseas markets as part of the new direction for expanding overseas development in the lighting sector.Facing the complex external environment, China’s lighting foreign trade companies need to leverage their advantages, adjust strategies actively, and achieve stable development. On the one hand, they should lead with technological innovation, developing new products for popular sub-segments such as road, landscape, low-carbon, and agricultural lighting. They should focus on high-end, green, and smart products, continually enhancing product technological content and added value. On the other hand, they should focus on optimizing supply chain management, actively explore emerging markets, and reduce dependence on single markets and suppliers, thereby diversifying market risks. Companies should also consolidate traditional markets, establish long-term and stable partnerships, and ensure smooth and stable supply chains. In addition to product exports, Chinese lighting manufacturers should follow the national overseas investment construction steps, actively participate in lighting engineering projects in Belt and Road countries, and shift from traditional product export to a "products + services" export model.
Conclusion
In the face of a complex external environment, Chinese lighting exporters must leverage their strengths, adjust strategies proactively, and achieve steady growth.Innovation-Driven Growth
- Focus on technological advancements in key segments such as roadway lighting, landscape lighting, low-carbon lighting, and agricultural lighting.
- Develop high-end, green, and smart lighting solutions to enhance product value and global competitiveness.
Optimizing Supply Chain Management
- Expand into emerging markets to reduce dependence on a single country or supplier.
- Diversify risks by consolidating traditional markets and maintaining long-term partnerships to ensure supply chain stability.
Transition from "Product Export" to "Product + Service Export"
- Participate in China-led overseas lighting projects, particularly in Belt and Road Initiative (BRI) countries.
- Move beyond single-product exports by offering integrated lighting solutions that include design, engineering, and after-sales services.
By embracing technological advancements, diversified markets, and strategic investments, China’s lighting industry can navigate global uncertainties and achieve sustainable growth in 2025 and beyond.
Source: China Association of Lighting Industry
