Accelerate The Integration of LED Lighting

Billion market is about to break , and went through a consolidation , but the LED

LED lighting

lighting industry, " income does not increase profits ," the dilemma still exists. Engineering research in emerging industries producing investment strategy meeting held recently , Zhang Institute of Engineering LED industry standard that this year the LED lighting industry will enter a new round of golden period . Zhang standard is expected to accelerate the survival of the fittest upstream and downstream lighting needs expansion, industry mergers and acquisitions will accelerate the LED lighting industry in 2014 three Aspect.

Indoor Lighting Demand Continues to Expand

As prices fall , quality improvement , LED lighting has begun to enter the homes of ordinary people ." Cost-effective LED lighting , has been accepted by the market , resulting in actual demand , do not rely on the government to promote . Incandescent eliminated played a catalytic role ." Zhang standard that reached a critical point last year , this year is more obvious , the market will develop rapidly.

Over the past two years , the price of LED lighting fell by 60 %-80 %, prices will continue to fall this year , but the decline will be narrowed. Currently on the market , low-end LED lights cheaper than energy-saving lamps .

Engineering LED research data show that last year the domestic LED application market reached 208.1 billion yuan , which accounted for 30% of indoor lighting ; to 2015 , accounting for indoor lighting will be further raised to 41%. Indoor lighting thrust China one of the largest LED application market growth.

The mass gradually phase out incandescent countries , and promote the application of LED lighting in the room . Research Institute of Industrial Engineering Xiaofei estimated that the global demand for 500 million this year, there are alternative -10 one hundred million incandescent bulb with an LED U.S. 3-5 count, it is not a small market .

Therefore , China's exports of LED lighting is also growing rapidly . Zhang standard revealed that Chinese exports to over 10 billion LED lighting business for the first time last year ; LED lighting exports last year of $ 100 million over 50 Chinese companies this year is expected to more than 100 .

More Ferocious Wave of Industry Consolidation

Currently there are LED packaging companies 1500 , LED applications, enterprise 13000 . Due to intense competition , prices fell last year, LED industry on a " no increase in interest income " phenomenon . Usher in the golden period of the year, this situation changed?

" This year there will be the case, but will get better ." Zhang marked believes that while industry consolidation to accelerate : the market gets hot , not enough time to increase their supply , it will go to acquire ; some of the negotiation of the project last year , this year will fall .

Before the Spring Festival , Tongfang announcement , the proposed $ 700 million acquisition of 51% stake in Neo-Neon . This merger with BDO Runda similar to NVC . Xiaofei think , BDO Runda see is NVC channels in the country , and shares the same side see is really bright in the overseas channels.

Neo-Neon is headquartered in Jiangmen City, Guangdong Province, is a big exporter of LED lighting , has accounted for 50 % of the global LED lighting market share. Zhang Xiaofei , said on the same side in the past invested in a large LED chip , and now the acquisition of Neo-Neon is to open up the downstream " to the sea ."

The three optical successfully completed before the Spring Festival this year, a new round of additional financing 3.3 billion yuan , and now intends to expand the LED chip production capacity of approximately doubled. Xiaofei think , one is market demand , on the other hand Sanan also like squeezed small businesses.

Zhang standard expects LED upper, middle and lower reaches , there will be mergers and acquisitions of listed companies , state-owned enterprises will be subject.

The LED chip survival of the fittest was evident. Currently there are more than 50 LED chip companies , due to the large companies continue to expand , small enterprises are facing operating pressure. Last year, the Dalian Road America , Blaupunkt , etc., have quit LED chip industry .