Global UV LED market is expected to grow from US$ 178.4 million in 2016 to US$ 1,311.7 million by 2025 at a CAGR of 24.9% between 2017 and 2025.
Globally, the way industries function is shifting. All the largest of the industries including automotive, aerospace & defense, retail, healthcare, food & beverages and other manufacturing are adapting novel technologies to meet the transforming consumer and market demands. The manufacturing and services sector across the globe have a distinctive hold over the public imagination. Majority of the industries, make use of UV light for accumulating some of the processes. UV LEDs are majorly used for curing adhesives, laminating and printing, apart from curing the UV LEDs are also primarily used for sterilization and detection of elements that can’t be seen with naked eyes. The global market for UV LED exhibit significant growth owing to rising demand for curing process along with increasing concern regarding environment friendly and cost effective business processes. However, lack of standardization in measurement of UV light outputs might have an adverse impact on the market’s growth during the forecast period. The South America UV LED market region is expected to witness a CAGR growth rate of 25.8% in the coming years.
Exhibit: UV LED Market by Region3.
Superior energy efficiencies capabilities of UV LED based products coupled with increase in demand for energy conservation to propel the market growth
Energy conservation over the years has become a major concern among the nations worldwide. This has further led to evolution of several public initiated policies, one of these is the Minamata Convention. The Minamata Convention on Mercury is an international treaty that is subjected towards protection of environment and human health against the anthropogenic release and emission of mercury and its compounds. As UV LED is a semiconductor device that eliminates the use of mercury and is more energy efficient, the government and private organization across the globe are promoting the adoption of UV LED over UV lamps, across all the industries. For instance the EU commission via its RoHS (Restriction of Hazardous Substances) guidelines have been continually monitoring the prompt progress of capabilities of UV LED. Furthermore, the project UNIQUE by Osram (Opto Semiconductors) is also one of the initiative aimed at ecofriendly purification of water using LED based UVC. Subsequently, driving the growth for UV LED market in the coming years.
Large scope of application of UV enabled LED products across different industries
Couple of years back majority of the applications where UV light was used, relied upon traditional mercury based solutions/products. Some of these applications included UV-A integration with hand held devices / smart phones for counterfeit analysis or detection, and integration of UV C with various medical devices as well as refrigerators for disinfection. Although curing eclipses the majority share for UV LED applications, other applications like air and water disinfection are gradually raising their reliance upon UV LED technology as it evolves in the coming years. Taken together, the above mentioned factors are helping to drive the UV LED market to unprecedented success. While coming years may mark a milestone for the industry, it's really just the beginning of a long-term trend toward UV LED. Thus, the UV LED market is expected to provide numerous profitable opportunities for the market players in the coming years.
UV LED Market – Technology Insight
In the global UV LED market for the UV-A LED technology segment, The UV a technology has been in existence since 1990’s. The UV a LEDs were traditionally used for UV curing, validation and counterfeit detection. The demand for this technology is majorly driven by its ability to consume lesser power output. In addition, LED based UV provides substantial benefits over conventional curing technologies that includes fluorescent and mercury owing to lower cost of ownership, increased efficiency and system miniaturizing. The trend for using UV LED devices in curing processes is rising as the supply chain across the industries pertain to encourage the adoption of LED technology. This trend is expected to significantly impact the adoption of UV-A LEDs worldwide, as majority of curing processes require UV-A wavelength. Therefore, the market for UV-A LED is expected to grow at a CAGR of 24.2% during the forecast period 2017 – 2025.
Thus, the UV-A LED segment for UV LED market is projected to provide numerous lucrative business opportunities for the market players in the forecast period.
UV LED Market – Application Insight
UV curing is a photochemical process, which uses high intensity UV light to cure/dry coatings, adhesives or inks. Traditionally these process were conducted with the help of UV lamps. Then in early 20’s UV LED were introduced. Curing process with UV LEDs showcases one the major shifts in industrial dying and printing, assembly and finishing technology. The UV LED based curing is not only energy efficient, but it also produces less heat, its mercury free and quick in terms of switching on and off. One of the major advantage perceived by the industry players is the UV photo polymerization process, which is not only environmental friendly but also accessible to a wider base of adoption. Numerous industries use UV LED curing in order to significantly enhance their efficiency, quality and productivity in manufacturing. Coating, flexographic, adhesive bonding and assembly, screen print decorating, sealing, inkjet coding/marking, optical fiber coating, photoresist applications are some of the major uses of UV LED curing. The Curing UV LED market is expected to grow with a attractive CAGR growth rate of 2.7% from 2017 to 2025.
Exhibit: UV LED Market by Curing Application
The market initiative and mergers & acquisitions was observed as the most adopted strategy in global UV LED market. Few of the recent strategies by some of the players UV LED market landscape are listed below:
2017: LG Innotek, subsidiary of LGE, released world’s first handrail UV LED sterilizer. This product will remove germs from the handrail of escalators using powerful UV light.
2017: Crystal IS introduced three new UV-C LEDs in its Klaran disinfection product line. These will deliver three times greater germicidal performance which will enable medical equipment manufacturer to integrate quantifiable disinfection capabilities into their products.
2015: Seoul Viosys announced its acquisition of Sensor Electronic Technology Inc. (SETi), UV LED company in the US. This will expand the company’s business in UV and RF LED market.
GLOBAL UV LED – MARKET SEGMENTATION
UV LED Market – By Technology
UV LED Market – By Application
UV LED Market – By Geography
UV LED Market - Company Profiles