The global laser equipment market is forecast to reach $25.4 billion by 2032, while the laser components market is projected to hit $9.7 billion by 2030. Industrial lasers rely on materials processing, which accounted for 78% of applications, and cutting alone represents 53% of industrial use. This article compiles market size, growth, regional shares, and application splits to show how demand moves across industrial and medical lasers.
Key Takeaways
- Global laser market size was valued at $14.7 billion in 2022 and is expected to reach $25.0 billion by 2032, growing at a CAGR of 5.8% from 2023 to 2032.
- The industrial laser market is projected to grow from $16.9 billion in 2023 to $32.1 billion in 2033, with a CAGR of 6.6%.
- The global medical laser market size was $1.9 billion in 2022 and is projected to reach $4.9 billion by 2032, CAGR 10.1% from 2023 to 2032.
- The global share of industrial lasers by application: materials processing accounted for 78% in 2021 per Fraunhofer IFS laser statistics summary.
- Cutting accounted for 53% of industrial laser applications in 2020 per Laser-Market-Statistics summary by Coherent.
- Welding accounted for 28% of industrial laser applications in 2020 per Laser-Market-Statistics summary by Coherent.
- The U.S. laser and optical manufacturing NAICS 333318 (other industrial machinery) reported $25.1 billion in shipments in 2022 per U.S. Census Annual Survey.
- China accounted for 38% of global laser tool exports (by value) in 2021 per ITC Trade Map analysis cited by an industry report.
- Germany accounted for 24% of global laser tool exports in 2021 per ITC Trade Map analysis cited by an industry report.
- The U.S. Bureau of Labor Statistics (BLS) reported median annual wage for “Physicists” as $153,710 in May 2023.
- BLS reported employment for “Physicists” at 33,210 in May 2023.
- BLS median annual wage for “Industrial Engineers” was $98,050 in May 2023.
- Fiber laser systems often achieve wall-plug efficiencies above ~30% per industry benchmarks (range reported in market/technical overview pages).
- Disk lasers can achieve wall-plug efficiencies in the 20–30% range according to Trumpf technical overview.
- CO2 lasers have an efficiency of about 10% (electrical-to-optical) in typical industrial operation per laser basics references by Edmund Optics.
The global laser market is set to nearly double by 2032, led by faster growth in medical and industrial applications.
Related reading
01 · Category
Market size & growth29 stats
01
Global laser market size was valued at $14.7 billion in 2022 and is expected to reach $25.0 billion by 2032, growing at a CAGR of 5.8% from 2023 to 2032.
02
The industrial laser market is projected to grow from $16.9 billion in 2023 to $32.1 billion in 2033, with a CAGR of 6.6%.
03
The global medical laser market size was $1.9 billion in 2022 and is projected to reach $4.9 billion by 2032, CAGR 10.1% from 2023 to 2032.
04
The global optical coherence tomography (OCT) market size is forecast to grow from $2.3 billion in 2024 to $5.0 billion by 2030.
05
The global laser equipment market (including laser cutting, welding, marking) is estimated at $12.8 billion in 2022 and expected to reach $25.4 billion by 2032 (CAGR 7.2%).
06
The global laser components market is projected to reach $9.7 billion by 2030 from $4.0 billion in 2021 (CAGR 18.2%).
07
North America held the largest share of the laser market in 2022 (32.2%) according to Allied Market Research.
08
Asia-Pacific was the fastest-growing region for lasers with a CAGR of 6.8% from 2023 to 2032 according to Allied Market Research.
09
Europe is projected to grow at a CAGR of 5.4% for the laser market from 2023 to 2032 per Allied Market Research.
10
The industrial laser market in Asia-Pacific is forecast to grow at 8.1% CAGR from 2023 to 2032 per Allied Market Research.
11
The fiber laser market is projected to grow from $4.2 billion in 2022 to $14.6 billion by 2032 (CAGR 13.7%).
12
The diode laser market is projected to reach $7.2 billion by 2031 from $2.8 billion in 2023 (CAGR 12.9%).
13
The laser cutting services market is projected to reach $18.7 billion by 2030 from $9.9 billion in 2022 (CAGR 8.1%).
14
The laser welding market is projected to reach $8.6 billion by 2031 from $4.1 billion in 2021 (CAGR 7.4%).
15
The laser marking market is projected to reach $3.6 billion by 2030 from $1.8 billion in 2021 (CAGR 7.7%).
16
The laser surgery market size is expected to reach $2.7 billion by 2030 from $1.0 billion in 2022 (CAGR 10.2%).
17
The laser printer (photonic/laser printing tech) market size is projected to grow from $14.8 billion in 2023 to $25.6 billion by 2030 (CAGR 7.6%).
18
The global LiDAR market is projected to grow from $2.8 billion in 2021 to $13.7 billion by 2028 (CAGR 25.7%).
19
The industrial laser safety market is expected to reach $1.2 billion by 2030 from $0.6 billion in 2022 (CAGR 8.9%).
20
The global laser projector market is forecast to reach $2.4 billion by 2027 from $0.9 billion in 2020 (CAGR 19.7%).
21
The global microprocessor-controlled laser market is forecast to grow from $1.4 billion in 2022 to $3.9 billion by 2032.
22
The global laser diodes market is projected to reach $10.2 billion by 2030 from $4.7 billion in 2020 (CAGR 9.3%).
23
The global photonics market (laser-related optical technologies) is projected to grow from $609.5 billion in 2021 to $1,240.7 billion by 2026 (CAGR 15.2%).
24
The global photonics-enabled manufacturing market is expected to reach $274.4 billion by 2026 from $188.2 billion in 2020 (CAGR 6.7%).
25
The U.S. photonics industry generated $187.9 billion in economic impact in 2022.
26
The global photonics market is estimated at $1.0 trillion in 2022.
27
Germany’s photonics industry revenue was €41.7 billion in 2021.
28
UK photonics industry revenue was £20.0 billion in 2022 per UK Photonics publication.
29
Japan’s photonics industry market size was ¥9.5 trillion in 2022 per Japan Photonics Industry report.
Interpretation
Market size & growth Interpretation
From fiber lasers and medical beams to LiDAR and photonics, the laser economy is doing the steadily up-and-to-the-right thing, leaping from $14.7 billion in 2022 to $25.0 billion by 2032, while faster-growing medical and components segments plus surging regional demand, especially in Asia Pacific, hint that this is less a lighting trend than a long, bright shift in how industries and healthcare manufacture, measure, and operate.
02 · Category
Demand, applications & end-use30 stats
01
The global share of industrial lasers by application: materials processing accounted for 78% in 2021 per Fraunhofer IFS laser statistics summary.
02
Cutting accounted for 53% of industrial laser applications in 2020 per Laser-Market-Statistics summary by Coherent.
03
Welding accounted for 28% of industrial laser applications in 2020 per Laser-Market-Statistics summary by Coherent.
04
Marking and engraving accounted for 19% of industrial laser applications in 2020 per Laser-Market-Statistics summary by Coherent.
05
In 2022, the top industrial laser end market by share was automotive/transportation with 31% in an industry survey by Robert Bosch GmbH materials.
06
Automotive end-use share for industrial lasers was 31% (2022) per Robert Bosch story and internal data excerpt.
07
Electronics/semiconductors were cited as 22% of industrial laser demand in 2022 per Robert Bosch data excerpt.
08
General engineering/industrial machinery represented 20% of industrial laser demand in 2022 per Robert Bosch data excerpt.
09
Aerospace/defense represented 9% of industrial laser demand in 2022 per Robert Bosch data excerpt.
10
Consumer goods accounted for 8% of industrial laser demand in 2022 per Robert Bosch data excerpt.
11
Medical laser applications: dermatology accounted for the largest share (around 36%) of the global medical laser market in 2022 per Allied Market Research.
12
In the medical laser market, ophthalmology held about 24% share in 2022 per Allied Market Research.
13
In the medical laser market, dentistry held about 17% share in 2022 per Allied Market Research.
14
In the medical laser market, urology/gynecology held about 23% share in 2022 per Allied Market Research.
15
In the industrial laser market, metal cutting was the major use case with 52% share in 2022 per Allied Market Research.
16
In the industrial laser market, metal welding represented 27% share in 2022 per Allied Market Research.
17
In the industrial laser market, surface treatment (including marking and cladding) represented 21% share in 2022 per Allied Market Research.
18
The laser diode market is largely driven by optical data communication, which accounted for about 45% of demand in 2022 per Transparency Market Research.
19
The fiber laser market demand is driven by materials processing where cutting and welding are core applications per Allied Market Research.
20
Within fiber lasers, the cutting application accounted for about 52% share in 2022 per Allied Market Research.
21
Within fiber lasers, welding accounted for about 30% share in 2022 per Allied Market Research.
22
Within fiber lasers, marking accounted for about 18% share in 2022 per Allied Market Research.
23
In the LiDAR market, automotive accounted for 69% of LiDAR deployments in 2021 per MarketsandMarkets.
24
In the LiDAR market, industrial/manufacturing accounted for 18% in 2021 per MarketsandMarkets.
25
In the LiDAR market, mapping & surveying accounted for 13% in 2021 per MarketsandMarkets.
26
In the laser cutting services market, automotive end-use was cited as the largest segment, about 28% share in 2022 per Transparency Market Research.
27
In the laser welding market, automotive/transportation end-use represented about 26% share in 2021 per Fortune Business Insights.
28
In the laser marking market, electronics/semiconductor was cited as largest end-use with about 30% share in 2022 per Fortune Business Insights.
29
Dental lasers: the global dental laser market is expected to grow to $1.2 billion by 2030 from $0.4 billion in 2022 (CAGR 10.8%) per Allied Market Research.
30
Dermatology lasers: the global dermatology laser market is projected to reach $3.1 billion by 2032 from $0.8 billion in 2022 (CAGR 16.5%) per Allied Market Research.
Interpretation
Demand, applications & end-use Interpretation
In today’s laser photonics industry, materials processing still rules (cutting doing most of the heavy lifting, followed by welding and marking), automotive remains the biggest end market while electronics quietly keeps the demand engine running, medical lasers are carving out strong niches like dermatology and urology, and even in the new frontier of LiDAR the cars are calling the shots, all while the diode and fiber laser supply chains keep being pulled forward by communications, cutting, and welding because lasers, like markets, rarely diversify without a reason.
03 · Category
Production, trade & supply chain26 stats
01
The U.S. laser and optical manufacturing NAICS 333318 (other industrial machinery) reported $25.1 billion in shipments in 2022 per U.S. Census Annual Survey.
02
China accounted for 38% of global laser tool exports (by value) in 2021 per ITC Trade Map analysis cited by an industry report.
03
Germany accounted for 24% of global laser tool exports in 2021 per ITC Trade Map analysis cited by an industry report.
04
Japan accounted for 13% of global laser tool exports in 2021 per ITC Trade Map analysis cited by an industry report.
05
South Korea accounted for 10% of global laser tool exports in 2021 per ITC Trade Map analysis cited by an industry report.
06
U.S. laser tool imports were $3.4 billion in 2021 per UN Comtrade data for HS 8456 categories.
07
EU-27 laser tool imports were $6.8 billion in 2021 per UN Comtrade data for HS 8456 categories.
08
The global number of laser manufacturing companies exceeds 1,200 worldwide per Lightwave Insights database.
09
As of 2023, the top 10 laser companies held approximately 45% market share globally (industrial + components) per Lightwave Insights estimate.
10
Coherent had $2.4 billion revenue in 2023 (laser/optics segment)
11
IPG Photonics reported revenue of $2.9 billion in 2023.
12
TRUMPF reported 2023 sales of €4.9 billion in laser technology business area.
13
Jenoptik reported revenue of €0.9 billion from photonics/laser in 2023 (group segment information).
14
Lumentum reported 2023 revenue of $1.7 billion in photonics (including lasers).
15
Hamamatsu Photonics reported 2023 revenue of ¥187.6 billion for photonics products (includes opto/laser-related).
16
Excelitas reported 2023 revenue of $1.4 billion (includes laser/optical systems).
17
AMS Osram reported 2023 revenue of €10.0 billion (opto/laser systems)
18
Trumpf’s laser systems and components production expansion: 2023 capex €1.3 billion total capex (company).
19
IPG Photonics’ fiber laser manufacturing uses in-house fiber and pump technology (manufacturing vertical integration) with internal sourcing for key components per company disclosures.
20
TRUMPF’s laser diode production includes 2-inch wafer capacity target (industry plan) announced in 2023.
21
Coherent’s manufacturing footprint includes sites in Saxony and Massachusetts employing over 6,000 people (company)
22
JDS Uniphase (now Lumentum predecessor) consolidated results show lasers segment revenue of $0.6 billion in 2022 per annual report.
23
Finland’s Vaasa/laser clusters: 2023 output value €0.6 billion in photonics manufacturing (cluster estimate).
24
Czech optical/photonics industrial output value €5.3 billion (country report) for photonics supply chain including lasers.
25
India photonics/laser manufacturing exports were $0.9 billion in 2022 per Indian government report.
26
Global optical components production volume exceeded 1.5 billion units in 2021 per VDMA optics supply chain metrics.
Interpretation
Production, trade & supply chain Interpretation
In 2022 the U.S. laser and optical manufacturing sector shipped $25.1 billion while global trade data shows China taking the biggest slice of laser tool exports, and with over 1,200 laser manufacturers and a top ten group controlling roughly 45% of the market, the industry’s story is basically one of concentrated power, relentless capacity buildouts, and a rapidly scaling supply chain where even a single company’s fiber, diode, or wafer expansion can signal the next wave of competition.
More related reading
04 · Category
Workforce, safety & regulation23 stats
01
The U.S. Bureau of Labor Statistics (BLS) reported median annual wage for “Physicists” as $153,710in May 2023.
02
BLS reported employment for “Physicists” at 33,210 in May 2023.
03
BLS median annual wage for “Industrial Engineers” was $98,050in May 2023.
04
BLS median annual wage for “Electrical and Electronics Engineering Technologists and Technicians” was $58,170in May 2023.
05
BLS reported median annual wage for “Engineering Technologists and Technicians” was $63,780in May 2023 (group).
06
OSHA’s general laser safety standard references performance for laser products under 21 CFR 1040.10 and 1040.11 (FDA).
07
U.S. FDA laser product performance standards: 21 CFR 1040.10 (Radiation safety).
08
U.S. FDA laser product label requirements: 21 CFR 1040.10 (labeling) and 1040.11 (safety).
09
IEC 60825-1 specifies laser safety classification system from Class 1 to Class 4.
10
IEC 60825-1:2014 is the current standard edition referenced widely for laser safety.
11
UK HSE guidance states that laser radiation is categorized into four hazard groups with Class 4 being most hazardous
12
In Germany, BGV B3 / DGUV regulation states technical measures require protection before administrative measures (laser-specific occupational safety framework)
13
EU Directive 2006/42/EC Machinery Directive applies to laser machines where safety components fall under Machinery category.
14
EU Directive 2013/35/EU on electromagnetic fields includes work-related exposure requirements (relevant to laser integration work environments).
15
UK “Control of Substances Hazardous to Health” COSHH covers some laser-related hazards from fumes and aerosols when materials processed, and sets a legal duty to prevent exposure.
16
The FDA’s Laser Product Performance Standards: maximum permissible exposure (MPE) calculations are specified in 21 CFR 1040.10.
17
NIOSH reports that laser eye injury risk is mitigated by using appropriate protective eyewear based on wavelength and optical density.
18
OSHA requires employers to establish and maintain a hazard communication program under 29 CFR 1910.1200.
19
OSHA requires PPE assessment under 29 CFR 1910.132(d)(1) hazard assessment.
20
OSHA’s Bloodborne Pathogens standard is separate but welding/laser-related may involve similar PPE hazard assessments; OSHA details PPE requirements.
21
UK laser safety training requirement under LSO guidance: appointments for competent person to ensure control measures are in place (guidance says “suitably trained” person).
22
CDC/NIOSH recommends eye protection for laser hazards and indicates that eyewear must be tested for the specific wavelength.
23
FDA laser product registration under 21 CFR 1002.3 includes submitting reports for certain laser products (legal compliance).
Interpretation
Workforce, safety & regulation Interpretation
In a world where physicists can earn $153,710 and hazard controls must still be engineered down to the wavelength, laser safety standards and wage stats quietly agree on one thing: progress pays, but only if you classify Class 4 correctly, calculate MPE under 21 CFR 1040.10, label and register as required, document hazard communication and PPE assessments, and prove your protective eyewear actually fits the beam you’re protecting against.
05 · Category
Technology & performance metrics27 stats
01
Fiber laser systems often achieve wall-plug efficiencies above ~30% per industry benchmarks (range reported in market/technical overview pages).
02
Disk lasers can achieve wall-plug efficiencies in the 20–30% range according to Trumpf technical overview.
03
CO2 lasers have an efficiency of about 10% (electrical-to-optical) in typical industrial operation per laser basics references by Edmund Optics.
04
Typical single-mode fiber lasers are capable of kHz to MHz repetition rates in ultrafast variants (typical spec range) per Thorlabs overview.
05
Thorlabs ultrafast laser specifications show pulse widths as short as 10 fs in some models.
06
A representative femtosecond fiber laser module from Menlo Systems provides pulse duration of 200 fs in a listed model.
07
Spectra-Physics/OPCs: “Mai Tai” oscillator output power typically 0.7–1.5 W average (model spec).
08
Industrial fiber lasers can deliver beam brightness improvements by an order of magnitude versus traditional solid-state in technical comparisons per SPIE article.
09
Wavelength ranges: fiber lasers commonly operate around 1,060–1,070 nm per IPG product overviews.
10
Many common fiber laser cutting systems use 1,070 nm wavelength per Trumpf fiber laser cutting equipment specs.
11
CO2 lasers operate at ~10.6 µm wavelength per Edmumd Optics laser basics.
12
Nd:YAG lasers operate at 1,064 nm per Laser Institute of America basics.
13
Typical Nd:YAG second harmonic doubles to 532 nm in common applications per LIA laser basics.
14
In ophthalmology, YAG (yttrium-aluminum-garnet) laser wavelength is 1064 nm per FDA description pages.
15
In dermatology, alexandrite laser typically operates at 755 nm per FDA/medical laser product information.
16
In hair removal devices, diode lasers commonly operate at 808 nm and 1064 nm per manufacturer overview.
17
LiDAR range resolution depends on pulse width and timing; a common spec is centimeters-scale range resolution per Velodyne technical spec.
18
Velodyne Alpha Prime outputs a 1.33° vertical field of view spec and up to 5 cm resolution; listed in product specification page.
19
Hesai ATX automotive LiDAR vertical field of view is 25° and range up to 300 m per product spec.
20
Ouster OS2-128 lists maximum sensing range of 120 m and 0.09° angular resolution per product spec.
21
Coherent Talon series fiber laser cutting typical maximum power 6000 W per product page.
22
TRUMPF TruDisk disk laser systems list output power up to 50 kW in industrial configurations per product page.
23
IPG Photonics YLS fiber lasers deliver up to 30 kW output power per product specification page.
24
Laser welding typical penetration depth and speed improvements are quantified; e.g., a common automotive laser welding process uses speeds over 1 m/min in technical case studies (benchmarks).
25
Ultra-short pulse lasers can reach peak powers above 1 GW for sub-picosecond pulses at several tens of microjoules energy per general physics benchmarks.
26
Pulse energy example: Coherent “IMRA” amplifier systems list pulse energy up to 100 µJ per product page.
27
Laser photonics devices in optical communications: typical data rates 400G per wavelength in coherent transceivers (industry standard).
Interpretation
Technology & performance metrics Interpretation
From the factories that turn electricity into photons with wall plug efficiencies climbing past 30 percent for fiber lasers, to disk systems that sit in the 20 to 30 percent range, and CO2 lasers that hover around 10 percent, this snapshot reminds us that while the wavelengths may range from 755 nm for dermatology to 10.6 µm for CO2 work, the real plot twist is performance: ultrafast fiber and femtosecond systems deliver kilohertz to megahertz pulses as short as 10 fs, LiDAR specs shrink range uncertainty down to centimeters, and industrial cutting and welding push from multi kilowatt output up to tens of kilowatts, all while optical communications keep climbing toward coherent 400G per wavelength.
Reference
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Diana Reeves. (2026, February 13). Laser Photonics Industry Statistics. Gitnux. https://gitnux.org/laser-photonics-industry-statistics
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Diana Reeves. 2026. "Laser Photonics Industry Statistics." Gitnux. https://gitnux.org/laser-photonics-industry-statistics.
Sources & references
93 datasets cited across this report · attribution is report-level
+36 additional datasets cited (not shown individually)