The Saudi Arabia Outdoor LED Lighting Market is expected to reach US$ 957.4 million in 2033, rising from US$ 318.96 million in 2024, at a CAGR of 12.99% during the period 2025-2033. This growth is fueled by countrywide infrastructure development, smart city projects such as NEOM, and greater adoption of energy-saving lighting systems. Government policies and policies favoring sustainable city planning and reduced LED prices further drive market growth.
In Saudi Arabia, outdoor LED lighting is increasingly popular because of the government's efforts towards energy efficiency and sustainable infrastructure, particularly under the Vision 2030 plan. LED lighting is being increasingly used in public and private sector initiatives, such as smart city development like NEOM and extensive infrastructure development. Its high temperature tolerance and ability to offer a consistent light make it the perfect choice for the extreme desert climate.
Municipalities are increasingly replacing conventional streetlights with LED solutions to reduce electricity consumption and maintenance costs. Additionally, LED’s design flexibility and low environmental impact make it a preferred choice for modernizing urban landscapes while aligning with the kingdom’s sustainability and energy diversification goals.
Saudi Arabia Outdoor LED Lighting Market Overview
Outdoor LED lighting is a light-emitting diode system intended for outdoor usage, such as on streets, highways, parks, stadiums, building facades, and landscape illumination. Outdoor LED lighting is highly energy efficient, strong, and has long working lifetimes in contrast to alternative lighting solutions like halogen or sodium vapor lamps.In Saudi Arabia, outdoor LED lighting is increasingly popular because of the government's efforts towards energy efficiency and sustainable infrastructure, particularly under the Vision 2030 plan. LED lighting is being increasingly used in public and private sector initiatives, such as smart city development like NEOM and extensive infrastructure development. Its high temperature tolerance and ability to offer a consistent light make it the perfect choice for the extreme desert climate.
Municipalities are increasingly replacing conventional streetlights with LED solutions to reduce electricity consumption and maintenance costs. Additionally, LED’s design flexibility and low environmental impact make it a preferred choice for modernizing urban landscapes while aligning with the kingdom’s sustainability and energy diversification goals.
Growth Drivers in the Saudi Arabia Outdoor LED Lighting Market
Vision 2030 and Smart City Initiatives
The Vision 2030 plan of Saudi Arabia prioritizes sustainable urbanization, smart infrastructure, and lower energy usage. Integrated smart lighting solutions form the backbone for mega-projects like NEOM, The Line, and Qiddiya. Government initiatives towards smart cities also involve upgrading inefficient lighting infrastructure to LED systems for efficiency, saving carbon emissions, and for public safety. These massive investments are driving strong demand for high-end outdoor LED lighting throughout commercial, residential, and public infrastructure projects. In 2024, A Tarshid senior official said Saudi Arabia wants to be the first G20 nation to apply LED street lighting for energy saving. At a panel during the Global Project Management Forum 2024 in Riyadh, Tarshid's technical services director, Mohammed Muaafa, pointed to efforts by the company in different projects to conserve electricity throughout the Kingdom.Increasing Demand for Energy Efficiency
Outdoor LED lighting is far less power-intensive than traditional light systems. With escalating electricity costs and the necessity for reduced environmental footprints, public authorities and private builders are looking towards LEDs to save long-term running costs. Saudi Arabia, which has a high per capita energy consumption, is promoting the use of LEDs in its energy efficiency initiatives. This realignment is not only cost-saving but also supports the kingdom's ambition to cut reliance on oil through environmentally friendly infrastructure development. March 2025: Asheil Versatile Lighting Technologies has acquired a plot in Shaqraa Industrial City, 180km northwest of Riyadh, to set up a cutting-edge lighting manufacturing facility. This expansion solidifies Saudi Arabia as a primary lighting production center, lessening dependence on imports while increasing industrial growth, supply chain robustness, and employment opportunities. The factory will implement new production techniques and energy-efficient LED technologies to serve the market and build a trained workforce.Expansion in Public Infrastructure and Tourism
Continued expansion of public infrastructure, transportation, and tourism locations is driving demand for high-quality, weather-resistant outdoor lighting. Airport expansion, recreational areas, beachfront projects, and renovation of heritage sites require beautiful and long-lasting lighting systems. Increasing tourism, especially in urban centers like AlUla and Riyadh, is also driving investment in LED lighting for better ambiance, security, and night visibility. All these uses are expanding the size and diversification of Saudi Arabia's outdoor LED lighting market. In 2023, the Saudi Ministry of Sports initiated a SAR 10.1 billion project to construct and develop sports infrastructure over a period of five years. The project is backing the collaborative bid with Egypt and Greece to stage the 2030 FIFA World Cup and features three new stadiums in Riyadh, Al-Khobar, and Dammam, providing scope for high-end outdoor lighting solutions.Challenges in the Saudi Arabia Outdoor LED Lighting Market
High Initial Installation Costs
Although long-term cost savings, the initial expense of buying and installing outdoor LED systems continues to be a deterrent, especially for small towns or private developers with limited budgets. Sophisticated functions including smart controls, motion sensors, and solar integration increase the initial investment. This cost component typically slows large-scale implementation, primarily in rural or less economically advanced areas of the kingdom. Government subsidies or financial incentives are required to promote wider market penetration.Technical Skills and Maintenance Limitations
The installation, calibration, and maintenance of smart and connected outdoor LEDs need expertise from technical professionals. Yet, there is no local skillset for operating IoT-based lighting systems or even for debugging LED component failures. Lack of technical competency in this area can result in subpar system performance and delayed maintenance. Increasing workforce development in LED and smart lighting technologies will be critical to maintain quality and dependability as the industry expands.Saudi Arabia Public Outdoor LED Lighting Places Market
Public areas like parks, pedestrian paths, government buildings, and monuments are priority zones for LED light installations. Such areas demand even, energy-saving lighting to ensure safety, beauty, and public accessibility during night time. The transition to LED illumination in public areas is motivated by government policies aimed at curbing energy consumption and enhancing urban landscapes. More and more installations apply motion sensors, dimming capabilities, and solar-powered installations to maximize energy utilization without compromising visibility and atmosphere in multiple-user environments.Saudi Arabia New Outdoor LED Lighting Market
The new installations segment is growing extremely fast with the ever-increasing urbanization and the development of mega-projects under Vision 2030. New residential compounds, commercial areas, entertainment areas, and transport networks are all incorporating LED lighting from the very beginning. The market enjoys the latest technological advancements, such as smart lighting controls, app-enabled systems, and integrated sustainable energy. In contrast to retrofits, new installations enable developers to maximize the advantages of LED lighting in scalability, efficiency, and design from the very beginning.Saudi Arabia Outdoor LED Lighting Hardware Market
The hardware component consists of luminaires, drivers, sensors, and mounting hardware. The market for this is driven by quick innovation in design and lifespan specifically for the Saudi climate, such as dust-proof and thermal management. Demand for hardware is great for streets, exterior commercial buildings, and industrial areas. Higher imports and increased local production of LED products are contributing to lower costs and greater efficiency in supply chains. Product customizations and innovation are emerging as the differentiators in this fast-growing segment.Saudi Arabia Outdoor LED Lighting Services Market
Installation, maintenance, system integration, and retrofitting services are becoming ever more significant in Saudi Arabia's LED lighting sector. As smart lighting is becoming the standard, there is increasing demand for companies with complete service packages that involve energy audits and remote system control. Municipal governments and private developers depend on service companies to perform optimally, be compliant with regulations, and provide long-term savings. Expansion in this industry is a response to the market's evolution from product sales to a repeated service relationship.Dhahran Outdoor LED Lighting Market
Dhahran, a technology and oil center, is witnessing widespread adoption of outdoor LED lighting in public infrastructure, business parks, and residential areas. Corporations such as Saudi Aramco are placing high emphasis on sustainability, and the city is being made a role model for implementing smart lighting. LED lighting boosts security and assists in environmental policies in this high-profile and energy-focused area. Solar-powered LEDs and intelligent traffic lights are some of the innovations that are being considered to match the city's tech-savvy reputation.Riyadh Outdoor LED Lighting Market
Being the capital and biggest city, Riyadh is at the forefront of the outdoor LED lighting industry. It is a heavy user of smart and efficient outdoor lighting with many government buildings, commercial areas, and infrastructural projects in Riyadh. The beautification, improved public transport, and new entertainment areas included in the transformation of the city under Vision 2030 all call for smart lighting solutions. Adoption of LED lighting receives financial support from the government as well as municipal efforts on modernization and sustainability.Jeddah Outdoor LED Lighting Market
Jeddah, an important economic and port city, is witnessing a huge urban overhaul, especially along its coastal areas. LED lighting is being employed in waterfront projects, religious architecture, and international airport expansion works. The city also welcomes millions of pilgrims annually, requiring high-grade lighting for public safety and streamlined traffic flow. Investment in tourism and hospitality is propelling the demand for attractive and dependable outdoor lighting, making Jeddah a promising market for hardware and services alike.Dammam Outdoor LED Lighting Market
Dammam is becoming a dynamic market because of its part in the industrial and residential growth of the Eastern Province. Government works such as street lighting, parks, and commercial areas are stimulating demand for efficient and long-lasting LED lighting. The proximity of the city to industrial areas also provides scope for smart outdoor lighting systems that improve operational safety and energy management. With Dammam developing into a modern city, its outdoor lighting infrastructure is shifting quickly toward energy-efficient, sustainable options.Market Segmentation
Public Places
- Streets and Roadways
- Others
Installation
- New
- Retrofit
Offering
- Hardware
- Software
- Services
Top States
- Dhahran
- Riyadh
- Khobar
- Jeddah
- Dammam
- Others
Key Players Analysis (Overviews, Key Persons, Recent Developments, SWOT Analysis, Revenue Analysis)
- Panasonic Corporation
- Signify
- Hubbell Incorporated
- Eaton Corporation plc
- Wipro Lighting Ltd.
- Samsung Electronics Co. Ltd.
- Bajaj Electricals Limited
Table of Contents
1. Introduction3. Executive Summary11. Value Chain Analysis
2. Research & Methodology
4. Market Dynamics
5. Saudi Arabia Outdoor LED Lighting Market
6. Market Share Analysis
7. Application
8. Installation
9. Offering
10. Top States
12. Porter's Five Forces Analysis
13. SWOT Analysis
14. Pricing Benchmark Analysis
15. Key Players Analysis
Companies Mentioned
The major companies profiled in this Saudi Arabia Outdoor LED Lighting market report include:- Panasonic Corporation
- Signify
- Hubbell Incorporated
- Eaton Corporation plc
- Wipro Lighting Ltd.
- Samsung Electronics Co. Ltd.
- Bajaj Electricals Limited
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 200 |
| Published | July 2025 |
| Forecast Period | 2024 - 2033 |
| Estimated Market Value ( USD | $ 318.96 Million |
| Forecasted Market Value ( USD | $ 957.4 Million |
| Compound Annual Growth Rate | 12.9% |
| Regions Covered | Saudi Arabia |
| No. of Companies Mentioned | 8 |
