Since 2026, China’s lighting industry has undergone dual changes of intensive policy adjustments and iterative market demand. From national energy efficiency regulations and local urban lighting management measures to light pollution control and the implementation of intelligent technology, the industry is bidding farewell to extensive growth and entering a new stage of high-quality development that prioritizes compliance and innovation-driven growth. For manufacturers of core products such as LED neon strips, linear lights and point lights, as well as engineering service providers, policy guidance and scenario upgrading are both constraints and key opportunities to seize market advantages.
In 2026, policy regulation over the lighting industry has been fully upgraded, forming a whole-industry regulatory system covering light source energy efficiency, light pollution control and engineering specifications, forcing industrial reshuffle and upgrading.
At the national level, two core policies have been officially launched. First, the mandatory national standard for lighting light sources implemented on January 1, 2026 has greatly raised requirements for energy efficiency, safety and light quality, driving overall industrial upgrading. Second, the new energy efficiency standard for LED lamps used in road and tunnel lighting, to be implemented on June 1, is revised based on GB 37478-2025, raising the energy efficiency access threshold for outdoor LED lamps with a phased implementation schedule and a two-year transition period. In the future, government procurement will prioritize high-efficiency and low-energy-consumption products, while inefficient products will be gradually phased out. Meanwhile, the Eco-environmental Code of the People’s Republic of China has officially incorporated light pollution into national legislation, marking that light pollution control has entered a legalized new stage.
At the local level, many cities have issued urban lighting management rules to refine compliance requirements. Yinchuan stipulates that urban lighting shall follow the principles of people-orientation, energy conservation, safety and aesthetics, promote multi-function integrated lamp poles, and establish zoning, time-sharing and graded energy-saving control. Yancheng has clarified departmental responsibilities for the first time, setting rigid indicators such as functional lighting lamp-on rate above 98% and 24-hour troubleshooting for key areas, while popularizing LED and solar energy technologies and implementing three-level management for landscape lighting. In addition, Shenzhen has issued and implemented Technical Specification for Urban Obtrusive Light Control, putting forward specific requirements for obtrusive light control of outdoor lighting and display projects, forming a Shenzhen model for light pollution prevention and control.
For export enterprises, technical barriers in international markets have also been further raised. The new DLC SSL V6.0 and LUNA V2.0 standards took effect on January 5, 2026, raising the luminous efficiency threshold by about 14%, tightening dimming performance requirements and strictly controlling light pollution. Products without integrated control functions cannot obtain premium certification, directly affecting export competitiveness.
Driven by policy constraints, lighting scenarios are transforming from simple illumination to cultural empowerment and experience upgrading. Cultural tourism night economy and county-level lighting have become two core growth engines, creating new market space for industrial enterprises.
The cultural tourism night market continues to boom, with the integrated model of culture, technology and light and shadow becoming mainstream. A number of benchmark projects have been launched in Hubei. Night Tour of Yellow Crane Tower in Wuhan, Tang-style Light and Shadow Experience in Xiangyang Tang City, and Holographic Light and Shadow Show on Xuanen Gongshui River all combine local culture with 3D projection and holographic technology to achieve the aesthetic effect of seeing light without seeing lamps, while boosting the development of catering, homestay and cultural and creative industries. Among them, Wuling Never Sleeping City in Zhuxi County focuses on intangible cultural heritage activation and urban renewal, receiving over 20 million tourists since opening and revitalizing a large number of idle assets, fully verifying the commercial value of cultural tourism lighting. Such projects have extremely high requirements for customization and intelligence of LED neon strips, point lights and linear lights, favoring high-quality products with full silicone potting, anti-yellowing performance and seamless splicing.
The county-level market has become a new blue ocean. Driven by rural revitalization policies, lighting coverage in third- and fourth-tier cities and counties is rising rapidly, releasing strong demand for old residential communities, township streets and rural landscape lighting. Compared with urban projects, county-level lighting pays more attention to cost performance and practicality, prioritizing products with easy installation, low operation and maintenance costs, waterproof and durable performance. LED flexible neon strips and simple linear lights are in strong demand, offering broad sinking market space for original manufacturers.
In addition, urban renewal renovation projects account for more than 45% of the total market, with growing demand for lighting upgrading of old buildings, industrial parks, bridges and roads. Such projects generally require products to comply with new energy efficiency standards and support intelligent dimming and energy saving, further promoting the industry toward green and intelligent transformation.
Facing the dual trend of policy tightening and market upgrading, lighting enterprises can only stand out in fierce competition by adhering to compliance bottom lines and increasing innovation investment, mainly from three aspects.
First, focus on compliant production to consolidate product foundation. Enterprises shall strictly abide by national and local policy requirements, produce products that meet energy efficiency standards, IP66 or above waterproof rating and low light pollution. Prioritize high-efficiency LED light sources and constant-current driving power supplies, ensure products pass ISO9001, CE, ROHS, UL and other certifications, and keep track of certification requirements of overseas markets to avoid technical barriers. For core products such as LED neon strips and linear lights, strengthen full silicone potting and seamless splicing processes to improve durability and scene adaptability.
Second, focus on technological innovation to build differentiated advantages. Increase R&D investment in intelligent control technology to adapt to AI perception linkage and dynamic dimming trends, launching intelligent lighting products with ambient light induction and pedestrian flow linkage to reduce operation and maintenance costs. Meanwhile, expand customized services for special scenarios such as cultural tourism and special-shaped buildings, providing exclusive modeling, color temperature and light control solutions to meet the integrated demand of culture and light and shadow. The application of AIGC design tools can also greatly improve scheme design efficiency and help enterprises respond to customer demands quickly.
Third, layout segmented tracks to precisely match market demands. Focus on three major tracks: cultural tourism night economy, county-level lighting and urban renewal, and optimize product structure according to different scenario needs. Cultural tourism projects favor customized and intelligent products; county-level markets focus on cost-effective and easy-to-install products; urban renewal projects prioritize energy-saving and standardized products. Extend one-stop services covering design, product supply, construction and operation maintenance to enhance customer loyalty and market competitiveness.
In 2026, the policy orientation and market demand of the lighting industry are clearly defined: compliance is the bottom line for survival, innovation is the driving force for development, and scenario integration is the key to growth. With the full implementation of energy efficiency regulations and light pollution control policies, low-end and inefficient production capacity will be phased out at an accelerated pace, and industrial concentration will further increase. Enterprises with compliant production capacity, core technological advantages and full-chain service capabilities will take a leading position in the market.
In the future, the lighting industry will continue to transform toward greening, intelligence, customization and cultural integration. Core products such as LED neon strips and linear lights will iterate toward higher energy efficiency, durability and intelligence. Segmented tracks including cultural tourism night economy and county-level lighting will continue to release incremental potential. For enterprises like Sanfeng Lighting deeply engaged in linear lighting, keeping up with policy trends, strictly controlling product quality and focusing on segmented scenarios will help capture industrial development dividends, achieve sustainable growth, and light up the night landscape of cities and villages with high-quality light and shadow products.
