Emergency Warning Lights Market

Emergency Warning Lights Market Outlook

The global emergency warning lights market is set to surpass a valuation of US$ 938.8 million in 2022 and further grow at a CAGR of 3.5% to reach US$ 1,330 million by the end of 2032.

Owing to high adoption of emergency warning lights in government sector, direct to customer sales channel accounted for nearly 63% in 2021.

Report Attributes	Details
Emergency Warning Lights Market Size (2021A)	US$ 906.2 Million
Estimated Market Value (2022E)	US$ 938.8 Million
Forecasted Market Value (2032F)	US$ 1,330 Million
Global Market Growth Rate (2022-2032)	3.5% CAGR
North America Market Share (2022)	~ 31.2%
North America Market Value (US$ Mn), 2022	US$ 292.9 Million
Europe Market Share (%), 2022	~28.4%
Europe Market Value (US$ Mn), 2022	US$ 266.5 Million
China Market Share (%), 2022	~8.1%
China Market Value (US$ Mn)	US$ 76 Million
Top 3 country Market Share (%)	~42.4%
Key Companies Profiled	Acari Products, Inc 5-Star Warning Lights Co Accele Electronics Brooking Industries Bueno Optoelectronics Code3 ESG Ecco Saftey Group Extreme Tactical Dynamics Farber Federal Signal

Sales Analysis of Emergency Warning Lights (2017-2021) Vs. Market Forecast Outlook (2022-2032)

The emergency warning lights market is predicted to grow at a moderate rate of 3.5% during the forecast period of 2022-2032. The market’s historic CAGR was (0.3)%. The Covid-19 pandemic played a major role in affecting the sales and distribution channels of the product due to which the Y-o-Y growth witnessed a drop of (10)% in 2020.

The COVID-19 pandemic severely affected manufacturers as it impacted the import and export of goods. North America which was a major end use region of emergency warning lights was also severely affected region. In 2020, the market’s value in North America fell to US$ 274.5 Mn from US$ 305.4 Mn in 2019.

Furthermore, as global economy is back on track of growth trajectory and this has resulted into increase in demand from police departments, hospitals, and industries will subsequently results into the growth of industry. Thus, end users are on the line to increase their investments during the forecast period, the market is poised to expand at a moderate rate during the forecast period.

• Short Term (2022 Q2 to 2025): Increased efficiency of LED light source to increase the sales of emergency warning lights.

• Medium Term (2025-2028): Growth of dependent industries to fuel the growth of the emergency warning lights market.
• Long Term (2028-2032): Integration of new technologies to make it more user friendly will increase its customer base and improve market penetration of market players.

Over the 2017-2021 historical period, the global emergency warning lights market registered a market value of US$ 906.2 Mn during 2021, and according to the Fact.MR, a market research and competitive intelligence provider, the market is projected to exhibit growth at 3.5% CAGR between 2022 and 2032.

Market share analysis of emergency warning lights based on sales channel and region is provided in a nutshell in the above image. Under the sales channel segment, the Direct-to-Customer sub-segment dominates with 63.2% market share in 2022.

What’s Driving Demand for Emergency Warning Lights?

“Focus on Safety and Law Enforcement by Governments to Increase the Demand for Emergency Warning Lights”

Public safety is one of the core responsibilities of governments across the world and several initiatives and rules are implemented by the government to tackle criminal activities in countries. Recognizing crime and safety as quality-of-life issues has led to a focus on tackling the underlying problems of communities in several countries. Based on careful analysis and planning, local government agencies have put high emphasis on increasing the count of law enforcement vehicles as well as emergency response vehicles.

Due to this initiative, the sales of emergency warning lights are predicted to increase during the forecast period. In addition to this, the increasing number of accidents has demanded increased road safety measures to be implemented for public safety. This has also resulted in driving the demand for these products in an upward direction and increasing their market value during the forecast period.

“Increasing Demand in Industrial & Construction Activities to Fuel the Demand for the Product”

The increase government investments in developed and developing countries for the purposes of infrastructure development projects is predicted to drive the demand in the industrial market segment. In 2021, the value of new construction projects in the world has grown significantly. In 2022, the construction industry is expected to have a market value of US$ 100 Mn.

Therefore, an upsurge in construction and industrial segment is expected to expand the demand for heavy machinery, consequently raising the requirement for emergency warning lights. Further, end-use industries such as oil & gas refineries, thermal power plants, and industrial manufacturing have to comply with various regulations regarding the use of emergency warning lights. These increasingly stringent regulations are expected to drive the growth of the emergency warning lights market.

What Concerns Should Emergency Warning Lights Manufacturers Avert?

“Unfavorable Conditions in Oil & Gas Industry”

Due to the Covid-19 pandemic, the oil and gas industry faced a lot of issues that resulted in the declining prices of oil on a global level. The sector is witnessing slow and steady growth during post pandemic.

Emergency warning lights find wide applications in the oil & gas and power generation industries, and due to the volatile demand across industries, the growth of the market is likely to witness a downward trend in the near future. Moreover, the increased economic uncertainty and practical constraints of site visits and inspections have resulted in declining investment in mining activities and infrastructures. This, in turn, is expected to restrain the mass use of emergency warning lights in oil and gas industry and is expected to gain 55 BPS points by 2032.

“Low Replacement Cycle of Emergency Warning Lights to Hamper Market Growth”

Emergency warning lights have a longer lifecycle and relatively less usage. Further, with the increasing adoption of LEDs in emergency warning lights, the product's lifecycle has witnessed exponential increases. Due to this factor, the replacement rate of the product has witnessed a drop.

In various countries, emergency warning lights have been in service for several years and have been replaced very rarely. In addition to this, whenever there's any breakdown in the emergency warning lights, the user prefers repairing it rather than replacing the product. Therefore, the low replacement of the product also hampers the emergency warning lights market growth over the forecast period.

Country-wise Insights

How well is the Emergency Warning Lights Market Operates in the US?

North America is expected to hold the highest market share of 31.2% in 2022 in the market. The US lays a major role in this as it expected to account for 89.2% of this share. The increasing demand of emergency warning lights by industrial segments as well as other government institutions is expected arise in the near future. In North America, government authorities are expected to be the highest end user of emergency warning lights and as a result, they command the highest market share of 52.4% in 2022.

Violent crimes in the US has witnessed a significant increase in 2022 when compared to 2020 and due to this, the police and other law enforcement authorities are on high alert. This is also expected to increase the demand for emergency warning lights as they help the police to reach the destination at a faster pace.

How does Germany Fare in Emergency Warning Lights Market?

Europe is the second largest user of emergency warning lights in the global market. It is expected to have a market share of 28.4%. In Europe, Germany is expected to hold the highest market value of US$ 60.9 Mn in 2022. In August of 2022, the construction of 28,180 new dwellings projects got a green signal in Germany. With such new projects coming up in the country, the demand for emergency warning lights is expected to increase exponentially in the future. The construction industry segment in Europe is expected to have a valuation of US$ 28.2 Mn in 2022 of overall Europe market.

In 2021, the industrial production capacity in Germany had reached an all-time high rate of 29.3% and this led to increasing in demand for emergency warning lights in the German market to maintain the smooth functioning of the industries.

Category-wise Insights

How are the Various Sales Channels Performing in the Market?

Among the available sales channels, the direct-to-customer channel is expected to have the highest market share of 63.2% in 2022. Manufacturers are putting a high emphasis on creating collaboration with government authorities and major end users. This will, in turn, increase sales through the direct-to-customer segment.

With the increasing use of websites for sales, several manufacturers have decided to take advantage of this and have started providing these products through websites. The third-party online channels are expected to capture a market share of 15.9% in 2022 and this will strengthen the demand for the product during the forecast period.

The demand for specialty stores for sales is set to grow by 1.5X in the future and expected to generate absolute $ opportunity of US$ 54.6 Mn by 2032.

Competitive Landscape

Manufacturers of the emergency warning lights industry across the globe such as Acari Products, Inc., 5-Star Warning Lights Co, Accele Electronics, Brooking Industries, Bueno Optoelectronics. etc. are developing high quality and durable products to help improve market penetration and are also focusing on increasing their production capacities to gain a larger market share.

In 2020, Federal Signal completed the acquisition of Public Works Equipment and Supply Inc., which is a distributor of maintenance and infrastructure equipment. Under the ambit of the acquisition, the company can utilize PWE’s customer base and can offer its emergency warning lights to municipalities and industrial contractors.

In 2020, Grote Industries, Inc. entered into a partnership with OptiCat Network. Through this partnership, the company will utilize OptiCat’s cloud-based data warehousing and validation system to meet the aftermarket customer needs.

Fact.MR has provided detailed information about the price points of key manufacturers of emergency warning lights positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Emergency Warning Lights Industry Research

• By Product:

  • Incandescent
  • Halogen
  • LED's

• By End User:

  • Institutional
    • Industrial
      • Thermal Power Plants
      • Oil & Gas Industries
      • Other Industrial
    • Construction
      • Individual/Residential
      • Government Authorities
    • Emergency Response Vehicles
    • Law Enforcement
    • Road Safety and Traffic

• By Sales Channel:

  • Direct-to-Customer
  • Third Party Online Channel
  • Specialty Stores
  • Modern Trade Channel

• By Region:

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia and Oceania
  • Middle East and Africa