Horticulture Lighting - Global Strategic Business Report

The global market for Horticulture Lighting was estimated at US$6.7 Billion in 2024 and is projected to reach US$21.4 Billion by 2030, growing at a CAGR of 21.2% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Horticulture Lighting market.

Global Horticulture Lighting Market - Key Trends and Drivers Summarized

Why Is Horticulture Lighting Essential for Modern Agriculture?

Horticulture lighting plays a critical role in controlled environment agriculture, such as greenhouses and indoor farming, where natural sunlight is either insufficient or unavailable. These lighting systems are designed to mimic the wavelengths of natural sunlight that are essential for plant growth, including photosynthesis, flowering, and fruiting processes. With the rise of vertical farming and year-round crop production, horticulture lighting has become indispensable in modern agriculture. Growers can optimize light intensity, duration, and spectrum to enhance crop yields, improve plant health, and accelerate growth cycles. As global demand for food increases and urbanization limits arable land, horticulture lighting offers a sustainable solution for maximizing agricultural output in limited spaces.

How Are Technological Innovations Transforming the Horticulture Lighting Market?

Advancements in LED technology have revolutionized the horticulture lighting market, offering energy-efficient, long-lasting, and customizable lighting solutions for indoor farming. LEDs outperform traditional lighting systems such as high-pressure sodium (HPS) lamps in terms of energy consumption, heat emission, and lifespan. Moreover, LED lights can be fine-tuned to emit specific wavelengths that promote plant growth at various stages, from seedling to harvest. These innovations have also led to the development of smart horticulture lighting systems, which integrate with sensors and automated controls to optimize light exposure based on plant needs. Additionally, research into UV and far-red spectrum lighting is expanding the capabilities of horticulture lighting to influence not just plant growth but also nutritional content and flavor.

How Do Market Segments Influence the Growth of the Horticulture Lighting Market?

Lighting types include top lighting, interlighting, and supplemental lighting, with top lighting holding the largest market share due to its widespread use in greenhouses and vertical farming. Technology segments include LED, fluorescent, and HID (high-intensity discharge) lighting, with LED technology leading the market thanks to its superior efficiency and spectrum control. Applications of horticulture lighting span across commercial greenhouses, vertical farms, and research labs, with vertical farming experiencing rapid growth due to its ability to produce high yields in urban environments. The market is also segmented by crop type, including fruits, vegetables, flowers, and cannabis, with the cannabis cultivation sector showing substantial growth driven by legalization in several regions.

What Factors Are Driving the Growth in the Horticulture Lighting Market?

The growth in the horticulture lighting market is driven by several factors, including the increasing adoption of controlled environment agriculture, advancements in LED technology, and the rising global demand for year-round crop production. The expansion of urban farming and vertical farming is a key driver, as horticulture lighting enables food production in densely populated areas where arable land is scarce. Additionally, the growing legalization of cannabis cultivation, particularly in North America and Europe, is fueling demand for advanced lighting systems to optimize plant growth and potency. Technological advancements in energy-efficient LED systems, along with smart lighting solutions that can be automated and customized, are further contributing to market growth. The push for sustainable agriculture and reduced water usage in farming practices is also accelerating the adoption of horticulture lighting systems worldwide.

SCOPE OF STUDY:

The report analyzes the Horticulture Lighting market in terms of units by the following Segments, and Geographic Regions/Countries:

• Segments: Component (Hardware, Software, Services); Technology (LED, Fluorescent, HID, Other Technologies); Cultivation (Fruits & Vegetables, Floriculture, Cannabis); Application (Greenhouses, Vertical Farms, Indoor Farms, Other Applications)
• Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Hardware segment, which is expected to reach US$11.5 Billion by 2030 with a CAGR of a 23.6%. The Software segment is also set to grow at 20.2% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $1.7 Billion in 2024, and China, forecasted to grow at an impressive 27.2% CAGR to reach $5.8 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Horticulture Lighting Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Horticulture Lighting Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Horticulture Lighting Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Agrolux, Bridgelux, Eye Hortilux, Gavita Holland B.V., GE Lighting (GE Lighting + Current) and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 37 companies featured in this Horticulture Lighting market report include:

• Agrolux
• Bridgelux
• Eye Hortilux
• Gavita Holland B.V.
• GE Lighting (GE Lighting + Current)
• Heliospectra
• Hortilux Schreder B.V.
• Hubbell
• Illumitex
• LumiGrow
• Lumileds
• Maxigrow
• OSRAM (Opto Semiconductors)
• PARsource
• Signify (Philips Lighting)

This edition integrates the latest global trade and economic shifts as of June 2025 into comprehensive market analysis. Key updates include:

• Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
• Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes segmentation by product, technology, type, material, distribution channel, application, and end-use, with historical analysis since 2015.
• Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
• Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
• Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
• Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.
• Complimentary Update: Buyers receive a free July 2025 update with finalized tariff impacts, new trade agreement effects, revised projections, and expanded country-level coverage.