The "Saudi Arabia Outdoor LED Lighting Market Trends 2025-2033" report has been added to ResearchAndMarkets.com's offering.

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.

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.

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.

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

Key Attributes:

Key Topics Covered:

1. Introduction

2. Research & Methodology

2.1 Data Source

2.2 Research Approach

2.3 Forecast Projection Methodology

3. Executive Summary

4. Market Dynamics

4.1 Growth Drivers

4.2 Challenges

5. Saudi Arabia Outdoor LED Lighting Market

5.1 Historical Market Trends

5.2 Market Forecast

6. Market Share Analysis

6.1 Application

6.2 Installation

6.3 Offering

6.4 States

7. Application

7.1 Public Places

7.2 Streets and Roadways

7.3 Others

8. Installation

8.1 New

8.2 Retrofit

9. Offering

9.1 Hardware

9.2 Software

9.3 Services

10. Top States

10.1 Dhahran

10.2 Riyadh

10.3 Khobar

10.4 Jeddah

10.5 Dammam

10.6 Others

11. Value Chain Analysis

12. Porter's Five Forces Analysis

12.1 Bargaining Power of Buyers

12.2 Bargaining Power of Suppliers

12.3 Degree of Competition

12.4 Threat of New Entrants

12.5 Threat of Substitutes

13. SWOT Analysis

13.1 Strength

13.2 Weakness

13.3 Opportunity

13.4 Threats

14. Pricing Benchmark Analysis

14.1 Panasonic Corporation

14.2 Signify

14.3 Hubbell Incorporated

14.4 Eaton Corporation plc

14.5 Wipro Lighting Ltd.

14.6 Samsung Electronics Co. Ltd.

14.7 Bajaj Electricals Limited

15. Key Players Analysis

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