Japan Outdoor LED Lighting Market

Japan Outdoor LED Lighting Market Size Report – In a Glance

As per the survey report on Japan outdoor LED lighting market, the market is expected to foresee a CAGR value of 4.5% during 2025-2035, and further generate a market size of USD 2.1 billion by the end of 2035. In 2024, the market size was value at USD 1.3 billion revenue.

• The Japan outdoor LED lighting market’s growth is driven by increased tourism and government initiative in adopting high advanced LED technology.
• KDMI analyst’s growth analysis foresees high installation costs and maintenance costs as the restraint for Japan outdoor LED lighting market.

Japan Outdoor LED Lighting Market Analysis

Outdoor LED lighting refers to light-emitting diodes fixtures that are placed in the outside spaces in home and offices to enhance safety, security, and aesthetics. LED lights offer energy efficient, long lifespan, and various styles to enhance looks and aesthetic of outdoor spaces. These lighting provides different architectural designs which makes them a popular choice for both residential and commercial spaces. The market growth is influenced by increased tourism and government initiatives in adopting LED lights in public places. The application of LED lights and advanced solutions will contribute in the aim of carbon neutral by 2050, which led to the growth of Japan outdoor LED lighting market.

Japan Outdoor LED Lighting Market Growth Drivers and Restraints

Growth Drivers

• Smart City and Urban Infrastructure Modernization – The Japanese government’s efforts in implementing and developing smart cities is the major growth driver for Japan outdoor LED lighting market. The adoption of smart LED lighting products helps in developing modernized urban infrastructure. The supportive government policies and initiatives help manufacturers to produce advanced outdoor lighting products that results in reduced urban energy consumption. According to Ministry of Land, Infrastructure, Transport, and Tourism has decided to invest over 1 trillion yen in urban infrastructure development by 2025, with the aim to enhance urban lifestyle and living amenities for people.
• Environmental Sustainability and Carbon Neutrality Goals – Japan’s goal of achieving carbon neutrality by 2050, rely with the growth of applicating LED light fixtures in residential and non-residential area. These goals are driving the growth of Japan outdoor LED lighting market. Government emphasis municipalities to replace conventional lighting sources by sustainable solutions as the country is the fifth largest energy consumer in the world. LED technologies are recognized as a critical element is reducing carbon emission by improving energy efficiency and providing cost-efficiency to consumers. Therefore, adopting LED technology drives the demand for Japan outdoor LED lighting market.

Restraints

• High installation and maintenance cost – LED technology provides long-term energy efficiency and saving but installing and maintaining such advanced solutions demands high costs that restraints the market growth. Replacing old technology with new latest technology requires higher investment in research and development to improve energy efficiency. And high-cost installation might be impossible for small and medium enterprises as well as for low- and middle-income groups. The budget conscious consumers might discourage the development and adoption of advanced LED technology that impacts the growth of Japan outdoor LED lighting market.

Japan Outdoor LED Lighting Market Segmentation

Our experts at KD Market Insights have segmented the Japan outdoor LED lighting market research report as:

Analyst’s Observation on Japan Outdoor LED Lighting Market Recent Developments

Over the years, the experts at KD Market Insights have been observing the recent developments associated with Japan outdoor LED lighting market trends. Our expert’s market forecast analysis has recorded the market players adopting plentiful of key strategies including new product launches, mergers & acquisitions, and collaborations.

Takasho Digitec Co Ltd and Tangent representing Hideki Yoshimoto are pleased to announce the launch of new outdoor lighting brand “Yomosugara”, exhibited at the Milano Design Week 2025 and was launched in Japan on 22nd July 2025. The brand is launched to market a new outdoor lighting product with modern design that is inspired from the original Japanese landscape ana nature.

Toyoda Gosei Co Ltd has invested in Pi Photonics Inc, which develops and markets LED lighting equipment. Toyoda will be using Pi Photonics technology such as using craned to move dies for product molding. The aim of the company is to create safer workplaces by collaborating and expanding the application of Pi Photonics’ products.

Japan Outdoor LED Lighting Market Competitive Landscape

Some of the significant participants who top the Japan outdoor LED lighting market share:

• Panasonic Corporation
• Toshiba Corporation
• Sharp Corporation
• Nichia Corporation
• Mitsubishi Electric
• Iwasaki Electric
• Koizumi Lighting
• Hitachi
• Odelic Co., Ltd
• Endo Lighting