Malaysia's overall construction market growth rate drove a sharp increase in demand for lighting products

With the launch of the “Eleventh Malaysia Plan”, a large number of infrastructure projects were launched, along with a new rural renovation project in Malaysia. The growth rate of the overall construction market in Malaysia will further increase, resulting in a sharp increase in demand for lighting technology and products.

LED lamps save electricity compared to traditional lamps. The Malaysian government uses LED lighting in government administrative buildings, and the annual energy saving effect reaches 50%. At the same time, in order to further promote the LED lighting product plan, the Malaysian government has gradually banned or eliminated construction or real estate projects using incandescent lamps or traditional lighting fixtures since 2014. Starting from May 3, 2015, all household lighting equipment sold in the Malaysian market must comply with the MEPS minimum energy efficiency standard; the Malaysian government has banned the production, sale and import of 100W incandescent lamps.

Now, all new development projects must use LED lighting, and the huge demand for LEDs in the future is evident. In addition, the use of LED products is not limited to the traditional home appliance lighting function, but has also been widely applied to the automotive industry, electronic products, mobile phones and laptop fluorescent screens, and even streetlight tunnel lights have begun to use LED lighting, which shows that its market prospects and development potential is good. .

At the same time, the Malaysian government launched the LED lighting renovation project, and plans to completely eliminate traditional lighting products by 2018, which is an important step for Malaysia to enter the era of energy-saving environmental protection. State governments such as Selangor have even issued decrees, and LED products are forced to be used as light sources in newly completed buildings. The Malaysian government expects to replace all street lamps in China with LED light sources by 2020. At present, only about 5% of LED street lamps in Malaysia use LED products, and huge market demand is gradually emerging.

One third of the lighting products imported by ASEAN come from China. In 2014, China's exports to the ASEAN LED lighting market grew at a rate of 359.28% year-on-year, much higher than the export growth rate of 68.82% of China's LED lighting products.

Malaysia is China's largest exporter of LED lighting products in ASEAN. In 2014, the growth rate reached 449.97%, much higher than the ASEAN average. In 2015, China's exports of LED lighting products to Malaysia totaled US$140 million, an increase of 18.6% from 2014.

Malaysia is the fifth largest exporter of LED lighting products in China, after the United States, Germany, the United Kingdom and Japan. In 2015, the number of LED lighting products exported to Malaysia in China was 26.8 million, an increase of 64.5% compared with the same period in 2014. The growth rate of some brands has exceeded 1000%.

In addition to the fact that some of the lamps are manufactured by local electrical brands, the Malaysian lighting industry is mainly imported, and its dependence on Chinese products is over 40%. The Malaysian market has attracted a large number of Chinese companies to enter. In 2015, China’s export LED lighting products companies in Malaysia have 1321 companies, an increase of 3% compared with 2014, the newly added enterprises are mainly trading companies. In 2015, the number of orders for Chinese exports to Malaysia was 7871, of which the maximum order amount was US$708,000, and the average amount per order was US$17,000.

Chinese LED lighting companies should seize the opportunity of Malaysia's development and enter the Malaysian market to accelerate development.

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