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Made in USA LED Tubes Gain Market Share of Chinese Imports

Posted on Saturday 24th March 2012
To what extent have "Made in U.S.A" LED tubes gained market share over Chinese imports? If it is any indication, of value and patriotism, the shift to manufacturing in America is central to tripling the sales for a leading LED Tube Company. The shift also apparently helped attract authorized resellers. Independence LED, based out of Greater Philadelphia, reports that its 2011 sales grew nearly 300% from 2010.

LED Tubes, which are used in new construction, retrofitting and replacement applications for fluorescent linear tube lamps, are currently a subset of the overall LED industry. LED Tubes for building illumination dominate the commercial property sector and the socket lamp LEDs are more common for residential and other applications. The LED Market is Large and Rapidly Growing. The McKinsey & Company Report (Lighting the way: Perspectives on the global lighting market), cites that the total LED Market in 2010 was $10 Billion and forecasts growth to $54 Billion in 2016, representing a 5.4X increase and a Compounded Annual Growth Rate (CAGR) of 32%.

McKinsey classifies the lighting market into three categories: Automotive, Backlighting, and General Lighting.  General Lighting includes Residential, Office, Shop, Hospitality, Outdoor, Industrial, and Architectural. McKinsey estimates the LED General Lighting Market in 2010 was $4 Billion and forecasts it will grow to $44 Billion in 2016 representing an 11X increase and (CAGR) of 46%.  Clearly, demand is growing for energy efficiency across the marketplace. Although the LED Tubes are a subset of the total LED market, the adoption rate is growing fast. LED Tubes are forecasted to increase at a dramatic average annual growth rate of 75% from 2011 to 2016, according to ElectroniCast.

The Made in U.S.A. Factor:The Independence LED 300% increase in sales from 2010 to 2011 is well above the industry average. The increase is in part a testament to the shift in manufacturing from China to America.

“We knew that we were doing well, but we were surprised we were growing so much faster than the industry. We credit our growth and leadership position to five key factors: Our Shift in Manufacturing from China to America, Thermal Management, UL Classification, Reseller Support, and the overall Recession that has forced Owners and Managers to look harder at their operating costs.” – Charlie Szoradi – Independence LED, Founder and Chairman.

For a breakdown of the Five Star Factors contributing to the recent growth in LED Tube Sales, LED Distributor Testimonials, and Department of Energy Data: Get More LED Info

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