Following the release of the U.S.’s latest tariff policy, North American lighting manufacturers Acuity Brands and RAB Lighting promptly announced price increases on related lighting products.

On April 2, U.S. President Trump announced a 10% “benchmark tariff” on all imports, effective April 5, and an additional “reciprocal tariff” targeting countries with the largest trade deficits, including up to 34% on Chinese imports, effective April 9.

Acuity Brands Announces Second Round of Lighting Product Price Increases
On April 3, North American lighting manufacturer Acuity Brands issued a second price adjustment letter.

Acuity Brands noted that it had previously announced a price adjustment effective March 31, 2025. However, in response to the evolving tariff policy, the company has implemented a second round of price increases.

Starting April 7, 2025, Acuity Brands will apply additional price increases on selected lighting fixtures and electronic products.

Orders placed by April 4, 2025, and shipped immediately at current prices will be accepted as the final deadline. Orders received and confirmed on or after April 7 will be invoiced at the new prices. Orders that were received and confirmed before April 7 but are scheduled to ship on or after that date will be subject to review and may be repriced based on the updated pricing.

During a recent investor conference call, Acuity Brands CEO Neil Ashe stated that many companies in the industry had already shifted production from China to countries such as Vietnam and Cambodia to mitigate potential tariff risks—Acuity Brands included. He also mentioned that approximately 20% of the company’s products are currently manufactured in the U.S..

Alongside the announcement of the second round of price hikes, Acuity Brands also released its financial results for the second quarter of fiscal year 2025 (ending February 28, 2025).

Neil Ashe stated that the company delivered steady performance in the second quarter, achieving net sales growth, expanding adjusted operating profit and margin, and improving adjusted diluted earnings per share.

Specifically, in the second quarter, Acuity Brands reported net sales of USD 1 billion, an increase of 11.1% year over year. Operating profit was USD 110 million, down 7% from the previous year. Adjusted operating profit reached USD 163 million, up 16% year over year. Adjusted diluted earnings per share increased to USD 3.73, a 10% rise compared to the previous year.

The Lighting and Lighting Controls (ABL) segment saw a slight decline in net sales, reaching USD 840.6 million, down 0.3% year-over-year. Operating profit rose to USD 130.3 million, up 3.4%, while adjusted operating profit increased to USD 141.3 million, a 3.6% year-over-year gain. Adjusted profit margin improved to 16.8%, up 60 basis points.

In addition, the Intelligent Spaces (AIS) segment performed strongly, achieving net sales of USD 171.5 million, representing a 152% year-over-year increase. This growth was largely driven by the company’s acquisition of QSC, which contributed USD 95.1 million in revenue to the AIS segment. The segment’s adjusted operating profit doubled to USD 32 million. However, due to increased amortization and acquisition-related costs, the GAAP profit margin of the AIS segment declined.

RAB Lighting Raises Prices in Response to Tariff Impact
U.S. lighting equipment company RAB Lighting also issued a price adjustment notice. RAB Lighting stated that the U.S. government’s newly announced tariff policy had significantly impacted the company’s supply chain costs. As a result, the company will adjust product prices effective May 3, 2025, with specific increases varying by product and the level of tariff impact.

Orders placed on or before May 3 and scheduled for immediate shipment will be invoiced at current prices. Updated pricing information will be released on April 18 via spreadsheets and the distributor portal.

China is a major global supplier of essential LED lighting components, such as LED chips and drivers. The new U.S. tariffs have increased production costs for American lighting manufacturers that rely on these imports. As a result, in addition to affecting future imports from China, the policy also creates uncertainty and potential risks for the growth of the U.S. lighting industry.

(Photo credit: Acuity Brands)

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