The domestic demand for lamps waned during the soft economy, but a recent study suggests that the U.S. lamp demand could soon change.

The Freedonia Group Inc., a Cleveland-based industrial market research firm, predicts $5 billion in demand in the lamp market by 2007 due to production of manufactured goods that contain lamps, such as construction equipment, medical and scientific instruments, and consumer electronics. A focus on energy efficiency could drive growth in the fluorescent and high-intensity-discharge (HID) lamp markets, which are expected to post the largest gain in lamp demand through 2007.

The increasing acceptance of metal-halide lamps and the continued strength in transportation infrastructure spending will also fuel demand for HID lamps. Electrical discharge lamps may post strong gains in the next three years, but filament lamps like incandescents and halogens will capture a larger share of the market. Incandescent lamps are the most common due to their high usage in residential applications, but they'll face continued competition from other lamp types, such as halogen lamps now being used in both building and vehicular applications.