January-February 2023 Lighting Industry Export Brief

1. Electric light source products

In the first two months of 2023, China's electric light source product exports declined year-on-year by nearly 50%. The export volume of products related to electric light sources was approximately 2.2 billion units, of which LED light source products accounted for about 800 million units, a year-on-year decline of approximately 30%; traditional electric light source products such as thermal radiation light sources and gas discharge light sources accounted for about 22% of the total export volume of electric light sources for general lighting, a year-on-year decline of 37%. The most significant increase was in LED modules, with a year-on-year growth of approximately 88%; followed by LED tubes, with a year-on-year growth of 3%. The export volumes of other major electric light source products all decreased, with the largest decline reaching 48%.

Electric light source exports amounted to $1 billion, accounting for approximately 13% of total exports, a year-on-year (YoY) decline of about 22%. However, exports of electric light source products such as LED modules, mercury vapor lamps, and discharge lamp tubes have grown, with YoY increases ranging from 1% to 61%.

2. Luminaire Products

In the first two months of this year, the export volume of Luminaire products continued to decline. The export volumes of main Luminaire products such as Fixed Luminaire and Portable Luminaire all decreased, with a decline range between 11% and 66%. The fastest growth was in Christmas Luminaires, with an export volume of approximately 50 million units, up 59% Year-on-year (YoY).

Luminaire-related product exports amounted to approximately USD 6.1 billion, accounting for about 74% of total exports, a year-on-year (YoY) decrease of approximately 17%. Notably, the fastest growth was seen in other electrical luminaires and lighting devices designed to use only LED light sources, with a year-on-year increase of approximately 14%, reaching an export value of USD 1.8 billion. Exports of fixed luminaires, portable luminaires, Christmas lights, and other products all declined, with year-on-year decreases exceeding 20%.

1. Electric light source products

In the first two months of 2023, the average export prices of major electric light source products such as thermal radiation light sources, gas discharge light sources, and LED light sources all increased, with growth rates ranging from 6% to 107%. Thermal radiation light source products saw the fastest price increase.

2. Luminaire Products

The average price of related to Luminaire products has decreased. The most significant growth was in "Other searchlights and spotlights", with a year-on-year increase of 168%. A decline occurred in Christmas Luminaires, with a year-on-year decrease of approximately 56%.

In the first two months of this year, China's lighting products performed moderately in overseas markets. The European and American markets declined rapidly, with export value dropping by more than 25% year-on-year (YoY), totaling approximately $4 billion. Exports of lighting and related products to RCEP and other emerging markets accounted for about 51% of total lighting product exports, with a year-on-year decline of less than 5%. Looking at individual export destinations, the top five markets for China's lighting product exports in the first two months were: the United States, Germany, the United Kingdom, India, and Singapore, accounting for 36% of China's lighting export value.

1.US market

The United States remains the largest single market for China's lighting product exports. In the first two months of this year, the value of Chinese lighting products exported to the US market was $1.8 billion, a year-on-year (YoY) decline of over 20%. Among them, the export value of Electric light source related products was about $200 million, down 30% YoY; the export value of Luminaire related products was about $1.4 billion, down 26% YoY.

2.European market

From January to February 2023, the value of Chinese lighting products exported to the European market was approximately USD 2 billion, accounting for 24% of China's total lighting exports, a year-on-year (YoY) decline of 26%. Among them, the export value of electric light source-related products was approximately USD 200 million, down 25% YoY; the export value of luminaire-related products was approximately USD 2.1 billion, down 28% YoY. The top five European countries were Germany, the UK, the Netherlands, Russia, and France, with their combined export value accounting for about 60% of the European market, a year-on-year (YoY) decline of 23%.

3.RCEP market

From January to February this year, the value of Chinese lighting products exported to the RCEP market was $1.7 billion, accounting for 21% of China's total lighting exports, a year-on-year (YoY) decline of 4%. Among them, the export value of electric light source-related products was approximately $200 million, down 17% YoY; the export value of luminaire-related products was approximately $2.1 billion, down 3% YoY. The top five RCEP countries were Singapore, Japan, Malaysia, Australia, and Vietnam, with an export value accounting for 63% of the RCEP market, up 14% YoY.

1. LED light source products

LED light bulb exports were approximately 700 million units, a year-on-year (YoY) decrease of 32%. The top five export destinations were the United States, Brazil, South Korea, Saudi Arabia, and Malaysia, accounting for approximately 28% of LED light bulb exports.

LED tube exports totaled approximately 90 million units, a year-on-year increase of 3%. The top five export destinations were the United States, Brazil, South Korea, Saudi Arabia, and Malaysia, accounting for about 44% of Light-emitting diode (LED) tube exports.

LED module export volume totaled approximately 60 million units, a year-on-year increase of 88%. The top five export destinations were Thailand, India, Turkey, Russia, and Poland, accounting for about 50% of Light-emitting diode (LED) module exports. This data reflects to some extent the spillover of China's lighting production capacity.

2. Luminaire Products

Fixed Luminaire ("chandeliers and electrical lighting fixtures on ceilings or walls") exports were approximately 200 million units, a year-on-year (YoY) decrease of 11%. The top five export destinations were the United States, Saudi Arabia, Russia, India, and the UAE, accounting for approximately 34% of fixed Luminaire exports.

Portable luminaires ("electrical table lamps, bedside lamps or floor lamps") exports were approximately 20 million units, a year-on-year (YoY) decrease of 30%. The top five export destinations were the United States, South Korea, Germany, the United Kingdom and the Russian Federation, accounting for approximately 51% of portable luminaire exports.

Christmas luminaire ("成套灯具 for Christmas trees") exports were about 500 million units, a year-on-year increase of 59%. The top five export destinations were India, the Netherlands, the United States, Mexico and Germany, accounting for approximately 83% of portable luminaire exports.

Reasons for the decline in lighting product exports: First, weak demand in overseas markets and the continued squeezing effect of high inventory from last year on this year's orders; Second, the widespread spread of the epidemic at the end of last year and the earlier-than-usual Spring Festival holiday caused some enterprises to have longer holidays than usual, resulting in production capacity failing to keep up.

The WTO recently predicted that global goods trade will be weak in the first quarter of this year, with an expected annual growth of only 1%. Customs General Administration Director Yu Jianhua stated at a press conference that, overall, the foreign trade situation remains severe and complex, but it also contains many opportunities; the difficulties are largely global. In comparison, China's competitive advantages remain obvious. With the overall improvement of China's economic situation, the steady start of foreign trade in the first two months is expected to continue. According to the latest customs data, since February, China's foreign trade imports and exports have clearly stabilized, and the number of containers used for Chinese exports continues to grow, which in some ways reflects continued international confidence in our export capabilities in the next phase.

The 28th China Guzhen International Lighting Fair, which has just concluded, attracted over 80,000 visitors from 104 countries and regions worldwide, representing a year-on-year increase of 28.83%. This industry event achieved a strong start for professional lighting exhibitions, demonstrating confidence in the rapid recovery of the lighting sector and accelerating the development of the lighting industry in 2023. The "2022-2023 China (Shenzhen) Industry / Supply Chain Technology Innovation Exhibition (CLITI Exhibition)", to be held from May 10-12 in Shenzhen, will continue to inject more new technologies, products, ideas, and momentum into the industry. It is believed that under the leadership of the CLITI Exhibition and the Guzhen Lighting Fair, lighting exports will gradually stabilize and recover this year, achieving high-quality development for the industry and making further bright contributions to building China into a leading nation in lighting .