Two-Wheeler Lighting Market Size & Industry Share - Growth Trends & Forecasts (2023 - 2030)

By Vehicle Type :

Based on the vehicle type, the market is segregated into motorcycles, scooters, mopeds, and others. The scooters segment accounted for the largest revenue share in the year 2022. The increasing adoption of scooters among consumers for urban mobility is driving the growth of two-wheeler lighting market. Scooters are popular for short-distance travel and are commonly used in congested urban areas due to the convenience, ease of use, and fuel efficiency offered by scooters.

The motorcycles segment is anticipated to emerge as the fastest-growing segment during the forecast period. The increasing adoption of headlights, taillights, sidelights, and indicator lights in motorcycles to provide enhanced visibility on roads is driving the growth of the market. The primary purpose of the motorcycle's headlights is to provide light in front of the motorcycle so that the rider is able to see in darker driving conditions. Moreover, the deployment of indicator lights in motorcycles to let other road users know the driver's intent to turn right or left is contributing to the growth of motorcycles segment. For instance, in October 2021, Bajaj Auto Ltd. launched two all-new Pulsar 250s featuring projector LED headlamps, assist & slipper clutch, and gear indicator to facilitate the next generation of sports biking. Furthermore, the adoption of LED taillights in motorcycles to provide visibility to the riders behind is accelerating the growth of two-wheeler lighting market.

By Light Type :

Based on the light type, the market is trifurcated into halogen, xenon, and LED. The LED segment accounted for the largest revenue share of 49.70% in the year 2022. LED lights consume less power that accounts for the improved fuel efficiency in two-wheeler. Moreover, LED lights are shockproof and vibration-resistant and have the tendency to withstand vibrations caused by the vehicle. Additionally, LED lighting enables innovative designs, such as integrated daytime running lights (DRLs) and dynamic turn signals to enhance the aesthetic appeal of the two-wheeler. For instance, in January 2022, Yamaha launched the FZS-Fi model featuring new LED taillights and LED flashers in metallic black, metallic deep red and solid gray colors. Thus, the energy-efficiency, long-lifespan, and vibration-resistant nature of LED lights is driving the growth of the market.

The Xenon segment is anticipated to register the fastest CAGR growth during the forecast period. Xenon lights in two-wheeler offer brighter and whiter illumination compared to halogen bulbs. Xenon bulbs provide better visibility and a longer lifespan than halogen bulbs. Xenon lights inhibit the beam from flickering, thereby providing a more focused beam for long-distance visibility. Therefore, the adoption of xenon lights in two-wheelers to provide focused and a sustained beam of light on roads is expected to drive market growth during the forecast period.

By Sales Channel :

Based on the sales channel, the market is bifurcated into OEM and Aftermarket. The OEM segment accounted for the largest revenue share in the year 2022. OEM lighting systems are installed by the manufacturers during the production of two-wheeler. The lighting systems are supplied directly to the vehicle manufacturers for installation in new two-wheeler. For instance, in April 2023, Lumileds launched Xperion 6000 Penlight and Headlight to boost flexibility, battery life, and vehicle output for automotive professionals in under-hood lighting systems. Therefore, OEM lighting systems ensure proper alignment, functionality, and aesthetics of the lighting systems to enhance the overall appeal and safety of two-wheeler.

The aftermarket segment is expected to witness the fastest CAGR during the forecast period. Aftermarket lighting products cater to various needs of the consumers including customization, upgradation, and replacement of existing lighting systems. Therefore, the growing trend to enhance the appearance, performance, and functionality of their two-wheeler is driving the growth of aftermarket segment. Aftermarket lighting systems include headlights, rear lights, and turn signals lights that purchased from different channels such as e-commerce websites and specialty stores.

By Application :

Based on the application, the market is trifurcated into headlights, rear lights, indicators, and others. The headlights segment accounted for the largest revenue share in the year 2022. Headlights are the primary lighting component of a two-wheeler that provides illumination for the rider to see the road ahead, especially during low-light conditions or at night. Two-wheeler deploy a wide range of headlights, including traditional High Intensity Discharge (HID) lights and LED lights to provide brightness and visibility on roads.

The rear light segment is anticipated to register fastest CAGR growth during the forecast period. Rear lights are located at the rear end of the two-wheeler in order to prevent rear-end collisions. Taillights play a crucial role in providing visibility to other travelers on the road, thereby reducing the chances of road accidents or collisions. Moreover, taillights are available in different intensities and colors according to the day and night applications. Consequently, the ability of taillights to provide bright illumination on roads is driving the growth of the market.

By Region :

The regional segment includes North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Asia-Pacific accounted for a revenue share of USD 171.67 million in 2022 and is expected to reach USD 219.25 million in 2030, registering a CAGR of 3.4% during the forecast period. In addition, in the region, China accounted for the maximum revenue share of 29.8% in the year 2022. The increasing adoption of two-wheeler such as motorcycles and scooters among consumers for urban commuting is driving the growth of the market. The rising sales of two-wheeler lighting in Asia-Pacific due to the low maintenance and affordability is driving the demand for efficient lighting systems to avoid road accidents and collisions. Moreover, the growing number of road accidents in countries such as India is driving the need for two-wheeler lighting systems to enhance road safety. For instance, according to the Ministry of Road Transport and Highways, approximately 52,416 roads accidents by two-wheeler occurred in India in 2021. Therefore, the rising demand for riders' safety and security on roads is driving the growth of the regional market.

North America is anticipated to register the fastest CAGR growth during the forecast period. The growing adoption of energy-efficient vehicles such as electric two-wheeler lighting is driving the growth of the market. For instance, according to the Portland State University, 65% of U.S. electric bike owners prefer to purchase an electric bike in order to reduce the number of car journeys. Moreover, the rising demand for LED lighting systems in order to enhance the aesthetic appeal of the vehicle is further driving the growth of the regional market.