Street Lighting Market (2026 - 2033)

Street Lighting Market Summary

The global street lighting market size was valued at USD 10.5 billion in 2025 and is projected to grow from USD 11.3 billion in 2026 to USD 17.1 billion by 2033, at a CAGR of 6.1% from 2026 to 2033. Asia Pacific dominated the market, accounting for a revenue share of 36.9% in 2025. This growth is driven by the increasing adoption of intelligent and connected street lighting systems. Growing urbanization and infrastructure development projects are also driving market growth.

As the global population increasingly moves toward urban areas, cities are expanding, and new urban zones are being developed. This rapid urbanization creates a heightened demand for infrastructure that supports safe and functional public spaces, with street lighting playing a vital role in this process. Street lighting ensures visibility and safety in urban environments, particularly during nighttime. As cities grow, the need for extensive, reliable street lighting networks becomes more pressing. New residential areas, commercial zones, and public spaces require well-planned lighting systems to enhance security, facilitate transportation, and promote social and economic activities after dark.

Moreover, the growing emphasis on energy efficiency and sustainability is significantly boosting the adoption of LED street lighting. Traditional streetlights, such as high-pressure sodium lamps, are being replaced by energy-efficient LED lights, which consume less power and have a longer lifespan. This shift is driven by the need to reduce energy consumption, lower carbon emissions, and decrease municipal operational costs. Additionally, government incentives and regulations promoting green technologies accelerate the transition to LED street lighting.

Many cities and towns are undertaking retrofit and modernization projects to replace outdated street lighting infrastructure with new, energy-efficient, smart lighting systems. These projects are often driven by the need to reduce operational costs, improve lighting quality, and comply with new energy regulations. The growing trend of upgrading existing street lighting systems creates significant opportunities for market players, especially in developed regions with well-established infrastructure that need modernization.

The street lighting market is subject to various regulatory frameworks, which can vary widely across regions. A lack of standardized regulations and guidelines for deploying street lighting systems, especially smart lighting, can create confusion and slow adoption. Additionally, obtaining approvals and navigating through bureaucratic hurdles can be time-consuming, leading to delays in project implementation. These regulatory challenges can deter investments and hinder the market's overall growth. 

Market Dynamics

The street lighting market is undergoing a significant transformation as municipalities, transportation authorities, and urban planners increasingly invest in modern lighting infrastructure to improve public safety, traffic visibility, and energy efficiency. The replacement of conventional lighting technologies with LED-based systems is accelerating due to lower power consumption, longer operational lifespans, and reduced maintenance requirements. In addition, smart city initiatives are driving the deployment of connected street lighting networks equipped with sensors, adaptive controls, and remote monitoring capabilities, enabling more efficient management of urban infrastructure. Growing investments in urbanization projects, roadway expansion, and public infrastructure modernization are further supporting market growth across both developed and emerging economies.

Analyst Perspective

The street lighting market is evolving beyond its traditional role as a public utility asset and is increasingly becoming a foundational component of smart urban infrastructure. While energy savings remain a primary purchasing criterion, decision-makers are placing greater emphasis on connectivity, operational intelligence, and long-term infrastructure value. Street lighting poles are gradually being transformed into multifunctional platforms that support sensors, surveillance systems, environmental monitoring equipment, public Wi-Fi, and future smart-city applications. Consequently, vendors that can offer scalable, interoperable, and future-ready lighting ecosystems rather than standalone luminaires are likely to secure a stronger position as cities seek to maximize the return on public infrastructure investments.

Type Insights

Based on type, the LED lighting segment led the market with the largest revenue share of 80.3% in 2025. The energy efficiency offered by LED lighting drives the segment's growth. LED lights consume significantly less electricity than traditional lighting technologies such as high-pressure sodium (HPS) or metal halide lamps. This reduction in energy consumption leads to substantial cost savings on electricity bills for municipalities and other stakeholders responsible for public lighting.

The traditional lighting segment is projected to grow significantly from 2026 to 2033. The extensive existing infrastructure drives the market's growth. Many cities and towns worldwide have long-established networks of streetlights based on older technologies such as HPS or Metal Halide lamps. Upgrading to modern systems such as LEDs can be expensive and logistically challenging, leading municipalities to maintain and replace existing traditional lighting fixtures rather than undertake costly overhauls. This entrenched infrastructure supports the ongoing demand for traditional lighting components and maintenance services.

Application Insights

Based on application, the roadways segment led the market with the largest revenue share of 65.2% in 2025. The increasing focus on smart city initiatives drives the market's growth. Smart cities aim to improve the quality of urban life through the integration of technology into infrastructure and services. Street lighting is a critical component of smart city projects, as it not only provides illumination but also serves as a platform for other smart technologies, such as traffic management systems, environmental sensors, and public safety networks.

The highways segment is projected to grow significantly from 2026 to 2033. Street lighting's crucial role in enhancing road safety drives the market's growth. Well-lit highways significantly reduce the likelihood of accidents, especially during nighttime or low-visibility conditions. Adequate lighting helps drivers perceive road conditions, obstacles, and other vehicles more clearly, improving reaction times and reducing the risk of collisions.

Regional Insights

North America street lighting market held a significant share in 2025. Government initiatives and regulations in North America play a crucial role in driving the growth of the street lighting market. Many cities and states have implemented energy efficiency standards and sustainability goals that encourage the adoption of energy-efficient street lighting solutions, thus driving market growth.

U.S. Street Lighting Market Trends

The street lighting market in the U.S.is expected to grow at a significant CAGR from 2026 to 2033. The ongoing need for infrastructure upgrades and modernization in the U.S. drives the market's growth. Many existing street lighting systems in U.S. cities and towns need to be updated, often relying on traditional high-pressure sodium (HPS) or metal halide lamps that are less efficient and more costly to maintain. There is a strong push to replace these aging systems with modern, energy-efficient solutions like LEDs.

Europe Street Lighting Market Trends

The street lighting market in Europe is expected to witness notable growth from 2026 to 2033. Improving public safety and enhancing the quality of life in urban areas drives market growth in Europe. Effective street lighting contributes to safer public spaces by reducing crime and accidents. Enhanced lighting also improves the overall attractiveness of urban areas, making them more appealing for residents and visitors.

Asia Pacific Street Lighting Market Trends

Asia Pacific dominated the global street lighting market with the largest revenue share of 36.9% in 2025. The street lighting market in the China held the largest share in the Asia Pacific region in 2025. Rapid urbanization and infrastructure development drive the market's growth. As cities expand and new urban areas are developed, the demand for street lighting solutions grows correspondingly. Rapid urbanization leads to the creation of new residential, commercial, and industrial zones, all of which require effective street lighting to ensure safety and functionality.

Key Street Lighting Company Insights

The companies are focusing on numerous strategic initiatives, including new product development, agreements, and partnerships & collaborations to gain a competitive advantage over their rivals.

For instance, in September 2024, Crompton Greaves Consumer Electricals Limited completed an LED street lighting project for the National Highways Authority of India (NHAI) in Bengaluru. This initiative involved installing energy-efficient LED street lights along key roadways, significantly enhancing visibility and safety for motorists and pedestrians. The project aligns with the government's push for sustainable infrastructure and aims to reduce energy consumption while improving the quality of urban lighting. 

Key Street Lighting Companies:

The following key companies have been profiled for this study on the street lighting market. 

• Acuity Brands

• ams-OSRAM AG

• Signify Holding

• Cree Lighting USA LLC

• Zumtobel Group

• Cooper Lighting LLC

• Hubbell

• Schréder

• Thorn

• Itron Inc.

Competitive Benchmarking

Street Lighting Market Report Scope

Global Street Lighting Market Report Segmentation

The report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2021 to 2033. For this study, Grand View Research has segmented the global street lighting market report based on type, application, and region:

• Type Outlook (Revenue, USD Million, 2021 - 2033)

  • Traditional Lighting

  • LED Lighting

• Application Outlook (Revenue, USD Million, 2021 - 2033)

  • Highways

  • Roadways

• Regional Outlook (Revenue, USD Million, 2021 - 2033)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

  • Asia Pacific

    • China

    • India

    • Japan

    • Australia

    • South Korea

  • Latin America

    • Brazil

  • Middle East & Africa

    • UAE

    • Kingdom of Saudi Arabia

    • South Africa

Research Methodology

The street lighting market figures in this report are based on a proven research process that combines executive interviews with secondary research from proprietary databases, company filings, and recognized regulatory and institutional sources. Market size is built through value-chain sizing - reconciling supply-side and demand-side estimates - and triangulated with bottom-up and top-down approaches. Every estimate passes multiple levels of expert validation before publication, with each street lighting segment quantified using the revenue-capture definitions in the table below.

Segment Definition

Estimation Model

Delivered Customizations

This report has been delivered with the following In-depth customizations