Mexico LED Lighting - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The Mexico LED lighting market is expected to grow from USD 1.27 billion in 2025 to USD 1.36 billion in 2026 and is forecast to reach USD 1.89 billion by 2031 at 6.84% CAGR over 2026-2031.

Sustained growth is tied to industrial modernization linked with near-shoring programs, federal energy-efficiency mandates, and large-scale municipal retrofits. Luminaires and fixtures, which integrate optics, heat sinks, and drivers, accounted for 61.70% of 2024 revenue, underscoring the market’s preference for system-level upgrades over basic lamp swaps. Retrofit activity dominates because legacy fluorescent and HID installations still blanket warehouses, production halls, and street corridors. Meanwhile, e-commerce procurement is growing rapidly as commercial buyers adopt online catalogs and direct-to-site delivery, challenging Mexico’s traditionally wholesale-centric hardware trade. Competitive differentiation is shifting toward control software, warranty scope, and NOM-031 compliance as price competition intensifies.

Mexico LED Lighting Market Trends and Insights

Rapid decline in LED component prices

Global overcapacity has cut packaged LED die costs by roughly 15-20% each year since 2024, compressing payback periods on retrofits to under two years for many commercial users. Mexico fixture makers now source higher-performance chips without inflating BOM costs, helping them compete with uncertified imports while retaining profitability. SMEs that previously delayed projects due to capital constraints are proceeding with upgrades financed by short internal-rate-of-return thresholds. Margin erosion, however, prompts suppliers to seek scale economies, service contracts, and bundled controls to maintain earnings.

Mandatory NOM-031-ENER efficiency standard enforcement

NOM-031 requires roadway and public-area luminaires to meet specific luminous-efficacy benchmarks verified by ANCE- or NYCE-accredited labs. Systematic enforcement, strengthened in 2024, now appears prominently in municipal bid documents. Certified suppliers can price at a premium, confident that non-compliant stock will be barred from formal tenders. Private-sector buyers increasingly require the same seal to ensure access to utility rebates and to align with ESG guidelines. Compliance costs-product testing, documentation, and labeling-create a barrier to entry that raises the quality baseline across the Mexico LED lighting market.

Persistent presence of ultra-low-cost non-certified imports

LED bulbs shipped from Chinese ports at USD 0.50-1.50 FOB circumvent NOM testing through small-lot, multimodal distribution. Labels often misstate wattage or lumen output, and failure rates of 25-30% within 18 months are common, eroding consumer confidence. Informal retailers on border corridors and central open-air markets move high volumes of these products, undermining compliant brands that invest in accredited testing.

Other drivers and restraints analyzed in the detailed report include:

• Near-shoring boom driving industrial retrofits
• Growing municipal “tele-managed” street-lighting tenders
• Up-front CAPEX barrier for small and medium enterprises

Segment Analysis

The Mexico LED lighting market size for luminaires reached USD 0.78 billion in 2025, accounting for 61.05% of the overall revenue. Integrated fixtures dominate major industrial and municipal retrofits, as buyers prefer turnkey units that bundle optics, thermal management, and controls. Demand accelerates near automotive clusters where multinational OEMs retrofit high-bay spaces to meet ISO 14001 energy targets. In parallel, the lamps subsegment records the fastest 7.35% CAGR, as residential users progressively replace screw-based bulbs as retail prices fall.

Luminaires are increasingly integrating wireless mesh radios and Bluetooth beacons, transforming lighting grids into sensing networks. Vendors such as Acuity Brands embed Atrius-ready chips for asset-tracking and HVAC interfacing. These capabilities justify premium pricing and heighten vendor lock-in; however, they also expose projects to compatibility risks if the vendor discontinues firmware support. The lamps category benefits from standardized bases that simplify DIY installation, appealing to homeowners and small shops that are less willing to hire contractors.

The residential segment captured 20.12% of 2025 revenue, while posting an 8.58% CAGR that outstrips every other application class. Lower bulb prices, broader supermarket assortments, and federal publicity on energy savings underpin household adoption of energy-efficient bulbs. For a typical urban apartment, full LED adoption can cut lighting bills by 60-80%, delivering clear pocketbook benefits.

Commercial offices, hotels, and big-box retailers retain a considerable slice of the Mexico LED lighting market, but many large chains are already undergoing second-cycle replacements, trimming annual growth. Industrial applications benefit from fresh capex tied to reshoring, though project timelines align with broader plant commissioning. Horticultural deployments, though embryonic, command premium ASPs due to narrow-band chips and corrosion-resistant housings, attracting niche specialists.

The Mexico LED Lighting Market Report is Segmented by Product Type (Lamps, and Luminaires/Fixtures), Distribution Channel (Direct Sales, Wholesale Retail, and E-Commerce), Application (Commercial Offices, Retail Stores, and More), Installation Type (New Installation, and Retrofit Installation), and End User (Indoor, Outdoor, and Automotive). The Market Forecasts are Provided in Terms of Value (USD).

List of companies covered in this report:

• Signify N.V.
• Osram Licht AG
• Samsung Electronics Co., Ltd.
• Acuity Brands Lighting, Inc.
• Grupo Construlita Iluminación S.A. de C.V.
• GE Lighting Solutions LLC (Savant Systems, Inc.)
• Cree LED, an SGH Company
• Eaton Corporation PLC (Cooper Lighting Solutions)
• Hubbell Incorporated
• Panasonic Holdings Corporation
• Legrand S.A.
• Lutron Electronics Co., Inc.
• MaxLite, Inc.
• Nichia Corporation
• Optima Energia S.A.P.I. de C.V.
• Illux Iluminacion y Soluciones S.A.P.I. de C.V.
• Argia Lighting S.A. de C.V.
• Verde Alterno S.A. de C.V.
• Opple Lighting Co., Ltd.
• LEDVANCE GmbH

Additional benefits of purchasing this report:

• Access to the market estimate sheet (Excel format)
• 3 months of analyst support