Report Overview

Vietnam LED Packaging Market- Industry Trends & Forecast Report 2027

The Vietnam LED packaging market is anticipated to grow steadily at a CAGR of 5.0% during the forecast period (2021-2027). The growth can be attributed to technological improvements and the emergence of new business models and buildings in the country's developing cities. LED adoption in the country will likely be aided by the region's expanding commercial and industrial sectors. Additionally, the LED packaging industry in the country benefits from expanding end-use industries and increasing government spending. The demand for energy-efficient connected lighting controls and ongoing and prospective smart city projects in Vietnam is the most significant driver powering the market's growth.

Vietnam LED Packaging Market Overview

LEDs come in various shapes and sizes, yet all LED bulb components have a common foundation.  A LED package is made up of a plastic casing containing a LED chip and phosphor. The purpose of packaging is to protect the chip from being damaged by air or mechanical action. The LED can have higher luminous efficiency and a higher heat dissipation rate with the right packaging technology and materials. This, in turn, prolongs the LED's life. Additionally, LED packaging enables LED illumination to be standardized.

Vietnam LED Packaging  Market Trend

Growth Drivers

Favorable Government Initiatives are likely to Propel the Market Growth

The United Nations Development Program is funding a project throughout Vietnam to install energy-efficient lighting. The country must increase its energy efficiency to combat climate change and reduce greenhouse gas emissions. Energy Efficient Public Lighting in Vietnam is a USD15 million program to install and promote energy-efficient lighting throughout the country, supported by the Global Environment Facility, UNDP, the central and local governments, and the private sector. Lighting accounts for 25% of total electricity consumption in Vietnam. As cities across Vietnam grapple with growing electricity bills and rapid urbanization, they are beginning to adopt green and energy-efficient street lighting. Energy-efficient lighting saves energy, mitigates carbon emissions as well as electricity prices. Therefore, favorable government support is likely to push the LED packaging market forward in the country during the forecast period.

Challenges

Disruption in LED Packaging Supply Chain due to Covid-19 Poses a Major Challenge for the Market’s Growth

The COVID-19 pandemic has had a significant influence on enterprises and industries. Since the pandemic began in China in 2020, massive economic disruptions have occurred globally. COVID-19's impact on the LED packaging industry is likely to last for a long time. Smart lighting manufacturers, like the rest of the manufacturing industry, rely on China for a large portion of their components. Further, the nationwide lockdowns imposed by different countries that export LRD manufacturing components affected the supply chain of LEDs and other components. In many parts of the country, manufacturing came to a halt due to a lack of critical components due to the complete lockdown in most countries, including China, which is one of the largest producers of LED and lighting components.

Impact of COVID-19

The global lockdowns hampered the production of LEDs and other components, wreaking havoc on the market's supply chain. Manufacturing came to a halt in several parts of the country due to a shortage of crucial components. Most countries, including China, which is one of the leading manufacturer and supplier of LEDs and lighting components, were under complete shutdown. The situation improved in the second half of 2020 when supplier businesses began to operate with reduced capacity. Thus, with favorable government initiatives, the market is likely to boost during the forecast period. For instance, the Vietnamese government is promoting LED lighting through two main initiatives: the Vietnam Energy Efficient Public Lighting Project (VEEPL) and the Vietnam National Energy Efficiency Plan (VNEEP), both of which aim to reduce energy consumption and carbon emissions. Thus, the market for LED packaging in Vietnam is proliferating, owing to its significant advantages over conventional lighting technologies.

Vietnam LED Packaging  Market: By Power Range

Based on power range, the Vietnam LED packaging market is segmented into low- & mid-power LED packages and high-power LED packages. The high-power LED packages have witnessed the highest CAGR during the forecast period. High-power LEDs are designed to provide dependable lighting in industrial facilities, sports venues, and outdoor settings. High bay lighting, floodlighting, street lighting, and high mast lighting are examples of its applications. Additionally, vehicle-mounted spotlights, handheld torches, and flashlights all use high-power LEDs. Therefore, the wide adoption of high-power led packages in various industries increases demand during the forecast period.

Source: BlueWeave Consulting

Vietnam LED Packaging Market: By Packaging Material

Based on packaging materials, the Vietnam LED packaging market is segmented into Plastic, Nanoceramics, Ceramics, Silicone Materials, Epoxy Molding Compound, Metal Alloys, Polymers, Glass Composites, and Others. Among these, the metal alloys segment held a significant market share in 2020 and is likely to dominate the market during the forecast period. For LED fixtures, the aluminum extrusion alloy 6063 is utilized. However, other alloys may also be suitable. Working with extruders can improve the aluminum housing's extrudability, lowering design costs even more. Nonmagnetic aluminum extrusions have good electrical and thermal conductivity, making them suitable LED housings. With energy and maintenance cost savings of 70 to 80%, the potential for expansion in extruded aluminum utilization for LED light fixtures/housings in all market areas is nearly endless.

Vietnam LED Packaging Market: By Application

Based on applications, the Vietnam LED packaging market is segmented as automotive, residential, television, industrial, and others. Among these, the residential segment held a significant market share in 2020 and is likely to dominate the segment during the forecast period. Over the forecast period, the government's efforts to close the gap between demand and supply for affordable housing in the country are likely to promote the segment’s growth. Strong economic growth has resulted in rising income levels, which has increased demand for higher-end residential real estate, particularly in densely populated areas like Hanoi and Ho Chi Minh City. Additionally, within the buffer zone of the Can Gio Mangrove Biosphere Reserve, a USD 9.3 billion residential and tourism development project was approved in August 2020.

Competitive Landscape

The LED packaging market is highly fragmented due to the presence of limited domestic and international players. Additionally, the emergence of new players has resulted in healthier competition among long-established service providers in the industry. Some key players in the Vietnam LED packaging market are City Focus Lighting Co., Ltd., Signify, NVC International Holdings Limited, Gen Bright Lighting Co., Ltd, Fawookid Vietnam Technology Co., Ltd, OSRAM GmbH, Everlight Electronics Co., Ltd., and Other Prominent Players.

Recent Development

• In January 2021, The Vietnamese government declared the commencement of the work on the USD 16 billion Long Thanh International Airport in Dong Nai province. The airport will be located near the country's economic capital of Ho Chi Minh City, is projected to grow into a major international hub.

• In January 2021, The construction of new highways in Vietnam was announced. Vietnam plans to build two segments of its North-South Expressway through public investment.

Scope of the Report

• By Package Type
  • • • SMD (Surface Mount Device Package)
      • COB (Chip On Board Package)
      • CSP (Chip Scale Package)
      • Others
• By Power Range
  • • • Low- & Mid-Power Led Packages
      • High-Power Led Packages
• By Wavelength
  • • • Visible & Infrared
      • Deep UV
• By Packaging Material
  • • • Plastic
      • Nanoceramics
      • Ceramics
      • Silicone Materials
      • Epoxy Molding Compound
      • Metal Alloys
      • Polymers
      • Glass Composites
      • Others
• By Application         
  • • • Automotive
      • Residential
      • Television
      • Industrial
      • Others

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Research Methodology
   1. Qualitative Research
      1. Primary & Secondary Research
   2. Quantitative Research
   3. Market Breakdown & Data Triangulation
      1. Primary & Secondary Research Application
      2. Secondary Research
      3. Primary Research
   4. Breakdown of Primary Research Respondents, By Region
   5. Assumption & Limitation
3. Executive Summary
4. Vietnam LED Packaging Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
      2. Restraints
      3. Opportunities
      4. Challenges
   3. Recent Development
   4. Technological Advancements
   5. Regulatory Framework
   6. Porter’s Five Forces Analysis
      1. Bargaining Application of Suppliers
      2. Bargaining Application of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
5. Vietnam LED Packaging Market Overview
   1. Market Size & Forecast by Value, 2017-2027
      1. By Value (USD Million)        
   2. Market Share & Forecast
      1. By Package Type
         1. SMD (Surface Mount Device Package)
         2. COB (Chip On Board Package)
         3. CSP (Chip Scale Package)
         4. Others
      2. By Power Range
         1. Low- & Mid-Power LED Packages
         2. High-Power LED Packages
      3. By Wavelength
         1. Visible & Infrared
         2. Deep UV
      4. By Packaging Material
         1. Plastic
         2. Nanoceramics
         3. Ceramics
         4. Silicone Materials
         5. Epoxy Molding Compound
         6. Metal Alloys
         7. Polymers
         8. Glass Composites
         9. Others
      5. By Application         
         1. Automotive
         2. Residential
         3. Television
         4. Industrial
         5. Others
6. Competitive Landscape
   1. Company Market Share Analysis, 2020
   2. Competitive Benchmarking, By Product Offerings
   3. List of Key Players and their Offerings
7. Impact of COVID-19 across Industry
8. Company Profile (Company Overview, Financial Matrix, Key Product landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook) *
   1. City Focus Lighting Co., Ltd.
   2. Signify
   3. NVC International Holdings Limited
   4. Gen Bright Lighting Co., Ltd
   5. Fawookid Vietnam Technology Co., Ltd
   6.  OSRAM GmbH
   7. Everlight Electronics Co., Ltd.
   8. Other Prominent Players
9. Key Strategic Recommendations

*Financial details of unlisted companies will be available as per data availability in final deliverable

**The segmentation and the companies are subjected to modifications based on in-depth secondary for the final deliverable.

List of Figures.

Fig 1: Vietnam LED Packaging Segmentation

Fig 2: Vietnam LED Packaging Market Value Chain Analysis

Fig 3: Company Market Share Analysis, 2020

Fig 4: Vietnam LED Packaging Market Size, By Value (USD Million), 2017-2027

Fig 5: Vietnam LED Packaging Market Share, By Package Type, By Value, 2017-2027

Fig 6: Vietnam LED Packaging Market Share, By Power Range, By Value, 2017-2027

Fig 7: Vietnam LED Packaging Market Share, By Wavelength, By Value, 2017-2027

Fig 8: Vietnam LED Packaging Market Share, By Packaging Material, By Value, 2017-2027

Fig 9: Vietnam LED Packaging Market Share, By Application, By Value, 2017-2027

List of Tables.

Table 1: Vietnam LED Packaging Market Size, By Package Type, By Value, 2017-2027

Table 2: Vietnam LED Packaging Market Size, By Power Range, By Value, 2017-2027

Table 3: Vietnam LED Packaging Market Size, By Wavelength, By Value, 2017-2027

Table 4: Vietnam LED Packaging Market Size, By Packaging Material, By Value, 2017-2027

Table 5: Vietnam LED Packaging Market Size, By Application, By Value, 2017-2027

Table 6: City Focus Lighting Co., Ltd. Business Overview

Table 7: City Focus Lighting Co., Ltd. Financial Analysis

Table 8: Signify Business Overview

Table 9: Signify Financial Analysis

Table 10: NVC International Holdings Limited Business Overview

Table 11: NVC International Holdings Limited Financial Analysis

Table 12: Gen Bright Lighting Co., Ltd Business Overview

Table 13: Gen Bright Lighting Co., Ltd Financial Analysis

Table 14: Fawookid Vietnam Technology Co., Ltd Business Overview

Table 15: Fawookid Vietnam Technology Co., Ltd Financial Analysis

Table 16: OSRAM GmbH Business Overview

Table 17: OSRAM GmbH Financial Analysis

Table 18: Everlight Electronics Co., Ltd. Business Overview

Table 19: Everlight Electronics Co., Ltd. Financial Analysis