The light emitting diode (LED) market in Vietnam is expected to grow at a compound annual growth rate (CAGR) of 18.2 per cent from 2016-2022, reaching $729 million by 2022, according to the report “Vietnam LEDs market – drivers, opportunities, trends & forecasts: 2015-2022” created by Research & Markets.

The lighting segment is expected to make the largest contribution to economic growth due to the entry of large multi-national companies (MNCs), decreasing LED prices, and industrial development of the Vietnamese market.

Many international players have already established factories in the country in order to reap the benefits of the growing market. Some of the more prominent players in the Vietnam LED market are Osram, Philips and New Light LED Technology Ltd.

The study covers and analyzes the Vietnam LED market, bringing out the complete key insights of the industry. It aims to provide an opportunity for players to understand the latest trends, current market scenario, government initiatives, and technologies related to the market. In addition, it also helps venture capitalists understand the companies better and make informed decisions. 

The LED market in Vietnam has been analyzed based on several categories - lighting, displays & backlights, mobile devices, signs & boards and others. Those categories have been divided into the sub-categories of indoor lighting and outdoor lighting and those two categories have been divided into three segments which are bulbs, streetlights, and spotlights.

The capability to manufacture LED products in Vietnam is constantly improving and the established trade relations between Vietnam and China will be helpful in sourcing LEDs for factories.

Many international players have already established their factories in the country in order to reap the benefits of the growing market.

The Vietnam market is one of the fastest growing markets in Southeast Asia. The growing economy is also giving rise to hindrances such as electricity supply shortages and price hikes. LED-based lighting is currently being hailed as a solution to increasing electricity costs as it uses 30-90 per cent less electricity than other lighting sources.

Furthermore, high economic growth has also resulted in rapid urbanization in the country. This ongoing trend will not only increase the pressure on the existing infrastructure but will also demand new and better infrastructure in both commercial and residential categories. This is expected to boost the LED demand in Vietnam during the forecast period.

VN Economic Times