United States Lighting Market Report 2026
Executive Summary
The United States lighting market is projected to reach approximately $19.77 billion in 2026, reflecting steady growth driven by the ongoing transition to LED technology, smart lighting integration, and stringent energy efficiency regulations. The market has moved beyond the initial LED conversion phase into a "value-added" era characterized by IoT connectivity, human-centric lighting solutions, and building automation systems.
The landscape is dominated by a few major players—Acuity Brands and Signify control nearly 40-50% of the combined market share—while specialized firms gain traction in emerging segments like horticultural lighting, UV-C disinfection, and Matter-compatible smart home ecosystems.
Market Size and Growth Trajectory
| Metric | Value | Year |
|---|
| Estimated Market Revenue | $19.77 billion | 2026 (Projected) |
| Base Year Revenue | $18.09 billion | 2025 |
| Long-term Forecast | $31.55 billion | 2033 |
| CAGR (2025-2033) | ~6-7% | 2025-2033 |
The market's growth is underpinned by the near-complete phase-out of incandescent and halogen technologies following Department of Energy (DOE) regulations implemented in 2023. By 2026, retail inventories of legacy lighting will be exhausted, creating a replacement cycle opportunity as first-generation LEDs from the early 2010s reach end-of-life
Grand View Research LED Lighting Market Outlook (grandviewresearch.com).
Key Market Trends Shaping 2026
1. The Shift from "Connected" to "Autonomous" Smart Lighting
By 2026, the industry is moving beyond app-controlled bulbs to truly autonomous systems. The Matter protocol—ensuring interoperability across Apple Home, Amazon Alexa, and Google Home—is becoming the baseline standard for consumer products. Commercial fixtures now routinely include embedded occupancy and daylight sensors to comply with building codes like ASHRAE 90.1.
Market Impact: An estimated 30% of new commercial installations in 2026 will include integrated sensors or IoT connectivity, transforming lighting from a commodity purchase into a data-generating infrastructure layer.
2. LED Market Maturity and Specialty Segment Growth
While the general service lamp market is saturated (residential LED penetration exceeds 80%), growth is accelerating in specialized applications:
- Horticultural Lighting: Rapid expansion driven by indoor farming and cannabis cultivation
- UV-C Disinfection: Continued integration into HVAC systems and public spaces
- Human-Centric Lighting (HCL): Circadian rhythm lighting adjusting color temperature throughout the day, now standard in high-end office and healthcare projects
3. Sustainability and "Lighting as a Service" (LaaS)
As ESG (Environmental, Social, Governance) priorities intensify, commercial buyers increasingly favor:
- Modular designs allowing component replacement rather than full fixture disposal
- Domestic assembly to reduce transportation carbon footprints (favoring companies like Acuity Brands and LSI Industries)
- LaaS models where customers pay for illumination levels rather than hardware ownership
4. Regulatory Drivers
The DOE's stricter lumen-per-watt efficiency requirements are raising the competitive bar, favoring manufacturers with advanced thermal management and optical design capabilities. The 2023 regulations banning most incandescent and halogen bulbs will be fully absorbed by 2026, solidifying LED's market dominance.
Competitive Landscape: Major Market Players
The U.S. lighting market is characterized by a tiered competitive structure, with a few dominant players controlling professional channels and a fragmented field in residential retail.
Top Companies by Market Share
1. Acuity Brands
- Market Position: Largest commercial and industrial lighting supplier in North America
- Key Brands: Lithonia Lighting, Holophane, Distech Controls
- Strategic Focus: Expanding the "Intelligent Spaces Group" (ISG) for building automation integration
- Competitive Advantage: Extensive distribution network and comprehensive control platform
2. Signify (formerly Philips Lighting)
- Global Leader: Massive footprint across consumer and professional sectors
- Key Brands: Philips, Hue (smart lighting), Advance, Cooper Lighting Solutions
- 2026 Investments: UV-C disinfection, agricultural lighting, Matter protocol integration
- Notable: Cooper Lighting operates with autonomy and holds significant share in residential/commercial construction
3. Current (a Daintree Company)
- Market Strength: Outdoor, roadway, and industrial segments
- Recent Growth: Acquisition of Hubbell's commercial/industrial lighting business
- Technology Focus: Sensor and control integration into standard fixtures
4. LSI Industries
- Vertical Specialization: Petroleum/convenience stores, parking lot lighting
- Growth Driver: Infrastructure upgrades across the U.S. through 2026
5. Niche Leaders
- Lutron: Dominates lighting controls and dimming systems
- Cree LED: Component supplier critical to the ecosystem despite smaller fixture market share
International Trade Dynamics: Top Exporters to the U.S.
Analysis of customs data from January 2025 through April 2026 reveals the dominant sources of lighting imports (HS code 9405) to the United States:
Top 10 Exporters by Value (2025-2026 YTD)
| Rank | Exporter Name | Total Value (USD) | Total Quantity |
|---|
| 1 | SL Corporation | $285.6 million | 58,202 |
| 2 | Foci Lighting Vietnam Co Ltd | $48.9 million | 48,118 |
| 3 | Denso Corporation | $45.2 million | 87,468 |
| 4 | Ledup Manufacturing Group Limited | $30.0 million | 226,518 |
| 5 | Rang Dong Light Bulb (Vietnam) | $27.7 million | 1,786,973 |
| 6 | Bayerische Motoren Werke AG (BMW) | $26.6 million | 786 |
| 7 | Deshine Cambodia Lighting Technology | $26.5 million | 468,838 |
| 8 | Hong Kong Coollite Limited | $25.8 million | 599,426 |
| 9 | Zhejiang Hengjian Home Furnishing | $25.8 million | 1,313,453 |
| 10 | Century Distribution Systems Shenzhen | $25.1 million | 420,367 |
Key Observations:
- Asian Manufacturing Dominance: China, Vietnam, Cambodia, and Thailand account for the majority of lighting imports
- Automotive Component Inclusion: High-value entries from Denso and BMW reflect automotive lighting systems classified under HS 9405
- Volume vs. Value Disparity: Some exporters (e.g., BMW) ship low quantities at high unit values, indicating premium or specialized products
- Vietnam's Rising Role: Multiple Vietnamese manufacturers (Foci Lighting, Rang Dong, Evertie Lighting) collectively represent significant export volume, reflecting the shift of production from China to Southeast Asia
Strategic Recommendations for Stakeholders
For Manufacturers
- Prioritize Interoperability: Products lacking Matter protocol or open-source compatibility will lose market share by 2026
- Invest in Retrofitting: The massive installed base of older U.S. lighting creates demand for easy-to-install LED retrofit kits, especially in commercial settings
- Focus on Software Platforms: As hardware margins compress, control software and data analytics become key differentiators
For Commercial Buyers
- Future-Proof Investments: Choose luminaires with replaceable "smart" modules rather than integrated chips that can't be upgraded
- Evaluate LaaS Models: Lighting-as-a-Service can reduce upfront capital while ensuring access to latest technology
- Align with ESG Goals: Select suppliers with transparent lifecycle carbon footprint data and domestic assembly options
For Investors
- Target Value-Added Segments: General lighting is commoditized; growth lies in controls, sensors, and specialty applications (HCL, horticulture, UV-C)
- Watch Matter Adoption: Companies leading in Matter-compatible products are positioned for residential smart home dominance
- Monitor Replacement Cycles: First-generation LEDs from 2010-2015 are reaching end-of-life, creating a refresh wave through 2027
Outlook and Conclusion
The U.S. lighting market in 2026 is no longer simply about illumination—it's about integrated systems that contribute to building intelligence, human wellness, and sustainability goals. The $19.77 billion market represents a mature industry where growth comes from value-added features rather than unit volume expansion.
Key Takeaways:
- LED technology is universal; competition now centers on smart features and system integration
- Acuity Brands and Signify will likely maintain their combined 40-50% market dominance
- Specialty segments (HCL, horticulture, UV-C) offer the highest growth potential
- International manufacturing, particularly from Vietnam and Cambodia, supplies the bulk of imported lighting products
- Matter protocol adoption will determine winners in the residential smart lighting race
As the industry transitions from "selling bulbs" to "selling illumination services and data," companies with strong software capabilities, sensor integration, and ecosystem partnerships are best positioned to capture value in the 2026 market and beyond.