LED manufacturers had an especially tough year in 2015. Despite rising LED lighting market demands, and large scale replacements of traditional luminaires, the oversupply situation in the market has caused average sales price (ASP) of LEDs to plunge 30% to 40%. Growing number of manufacturers have incurred heavy losses and exiting the market. With 2016 just around the corner, LEDinside Research Director Roger Chu has listed ten major trends in the market including future LED industry consolidations and technology trends. Listed below are five major trends observed by LEDinside’s analyst team:   1.     Easing LED market growth in the near future Due to the oversupply situation in the LED industry, LEDs ASP prices plunged. LEDinside estimates the global high brightness LED market value in 2015 will increase at an incremental rate of 2% to US $14.52 billion. Even though lighting demands spurred LED usage volume growth, ironically the increasingly energy efficient LEDs are reducing usage volume. Additionally, LEDs still are under immense pressure to further lower prices. Based on these observations, LEDinside projects in the next five years the LED industry Compound Annual Growth Rate (CAGR) is unlikely to reach more than 10% in the future.

Even though the Thailand government is not too keen on issuing more incentives to support the local LED industry, there is still plenty positive market developments that manufacturers can be optimistic about.

About two years ago, LED manufacturers that turned up at LED Forum 2013 were skeptical about smart lighting taking off anytime soon. Many industry insiders projected it would be a niche market that would take another two years before fully blossoming, while others believed at the time only gadget lovers would warm up to the products. Their predictions have been fairly accurate so far.

Taiwan’s LED component industry market value is expected to grow 14% in 2015, according to estimates by Taiwan’s Photonics Industry and Technology Development Association (PIDA).

Global lighting giant Philips decided to enter Taiwan’s smart LED lighting market, and aims to become the leading manufacturer in this field, according to an UDN report.

Targeting the US $5.6 billion indoor lighting market, Taiwan has recently set up an Organic Light-emitting Diode Lighting Commercialization Alliance (OLCA), according to a China Post report.

With only one day left, the Guangzhou International Lighting Exhibition (GILE) 2014 is still going strong with thousands of visitors pouring into the show grounds to view and explore the booths spread out among the two halls.