Bright LED Lighting Industry Development Prospects Conceal Defects

LED lighting

Some people think that LED lighting in the domestic market has not really started , the frenetic development will advance the future production capacity and market . While LED lighting industry usher in rapid development Chunchao like when it appears a lot of controversy about the overheated investment emerged . Is the prospect of unlimited or difficult ? Chinese LED lighting industry, what opportunities and challenges facing exactly ?

"Unlimited prospects ,"Cited Profit-Driven Enterprise

"In the same lighting effects , semiconductor lighting (LED) than traditional energy sources more than 80% , more than 10 times longer than traditional light long ." In Nanchang Hi-tech Industrial Development Zone , LatticePower Lupo , Executive Vice President, took the a semiconductor blue light -emitting told reporters .

As the world watched a new generation of green light , LED with its high brightness, low heat, long life and other advantages , to be known as the 21st century 's most developed green lighting. At present , China has been included in the long-term semiconductor LED lighting technology development plan , has now formed epitaxial wafers , chip preparation , package integration , LED application industry chain.

Vice-Chancellor of Nanchang University Jiang Fengyi that from last year , LED lighting industry began to appear from upstream to downstream trot development of the situation in the first half of this year reached blowout status . According to statistics, in 2009 , China's LED lighting industry , with nearly 60 upstream , midstream device packaging business has more than 1,000 , more than 2,000 enterprises downstream applications , employed more than 800,000 people . 2009 River semiconductor lighting industry output value of 82.7 billion yuan .

Institute of Engineering LED industry research report today , LED lighting has become the LED backlight market beyond the fastest growing application market . By 2015 , LED lighting market value of the domestic penetration will reach 1/4.

Fanaticism Development Exposure Industry Defects

Despite market expectations so high, but at this stage , due to the blind development of China 's LED lighting industry exposes a lack of core technology , lack of innovation, disorderly market competition and other issues.

"For value , the stage LED lighting market penetration in the country is only 5% , core technologies rely on imports , higher overall costs become an obstacle to the further development of the LED industry stumbling block ." Dr. LED Industry Institute of Engineering Xiaofei said.

It is understood , LED upstream chip production technologies are mainly in the hands of foreign companies , technology localization process is slow , affecting the development of the industry . MOCVD epitaxial furnace and its associated supporting technology is the most high-end LED industry chain , mainly dependent on imports, which greatly restricted the cost control LED upstream industry .

" On the whole level , China is still a gap with the world-class level for about two years ." Jiang Fengyi that " many of the world developed and developing countries or regions are accelerating the development of semiconductor lighting technology and industry, the technology on China in the second echelon . "

" If we do not regulate the market , the future will likely be reduced to make the wedding dress for foreign lighting giant proportions ." Jiang Fengyi said.

The Industry Appealed to Industry Standards

With the continued growth in production and daily life , such as a city street lighting , lighting electricity consumption in the power position in the increasingly prominent. According to statistics , China's lighting electricity consumption accounts for more than 12% of the country's total electricity consumption , and an average annual increase rate of 15% . As alternatives to incandescent energy saving lighting products market is ushering good opportunity.

For the healthy and orderly development of LED lighting industry , many experts recommend strengthening the overall guidance of national planning for local LED industry , the introduction of enforceable national industry standards as soon as possible , especially in industry standard demonstration project related products , such as street lamps, tunnel lights, display , landscape , so that local governments and businesses purchase standard products are based.

Meanwhile, as soon as the introduction of relevant supporting policies , strengthen and standardize the testing agencies to establish , to avoid some of the test results do not match the actual improve the overall level of detection and credibility.

Many experts believe that the core of the early realization of semiconductor lighting localization of MOCVD equipment , high-end equipment to fundamentally change the subject of the human situation, China's semiconductor lighting to promote strategic emerging industries , rapid and healthy and sustainable development. Meanwhile, the increasingly fierce market competition , strengthening the next generation of semiconductor lighting technology research and development work without delay.

LED Industry:The Beginning of A New Period of Rapid Growth

LED lighting will really started in 2014, entered a period of 2-3 years of rapid
upward cycle.

LED lighting

LED lighting will really started in 2014, entered a period of 2-3 years of rapid upward cycle. Demand mainly by lower prices start driving. The main factor in the chip maker's profitability in 2014 will be better maintained, light sources and lighting manufacturers downstream growth comes mainly from the growth in demand, the middle reaches of the larger package of changes, led to this change in technology and changes in the upstream and downstream extrusion. We believe that LED industry, especially the integration of upstream and midstream will further accelerate, light sources and luminaires downstream market may diversified pattern. Channels and patterns of changes in the growth of the LED lighting industry to become a new element, whether it is electricity supplier or other patterns are likely to be cured of terminal manufacturers to break the traditional way of lighting channels. We recommend investors to "heavy ends in the middle merit", which focused on the subject and lighting configuration chip in the package section focus on risk and selective investments.

Flowers are not afraid late. We believe LED lighting industry in 2014 will begin a new growth cycle. The main factors driving the growth of the lighting that prices fell. Bulb prices LEDinside observation shows that in the past 12 months, prices fell terminal light bulbs more than 20%, and our research shows channel, 3.5W-5W bulb has been with more than a dozen W CFL is very close to the Chinese market.

LEDinside forecast 2014 output of LED lighting will reach $ 17.8 billion, the overall number of LED lighting products shipments reached 1.32 billion, an increase of 68%.

Diversification of sources and lighting manufacturers. We judge the structure of the light source and lighting manufacturers will present diverse features. We believe that the price of the end product will still continue to fall, light sources and lighting manufacturers on the one hand the cost pressures transmitted to packaging manufacturers; hand in terms of product design to further enhance digestion and margin pressure to some extent brought lower prices.

Variables large packaging manufacturers. We believe that, due to the short factors affect product prices fell and industrial chain, packaging manufacturers vulnerable to the upstream and downstream margins squeezed. And looking to extend the industrial chain, to become a new growth breakthrough 2014 -2015 packaging manufacturers imperative. Mergers and acquisitions, integration of external expansion will also become frequent in this area.

LED high-end electronics manufacturing industry attributes crescendo. We believe that the properties of electronic manufacturing LED lighting industry is growing. On the one hand, advances in technology to drive the cost of the chip industry's declining downstream end; the other hand, as the market demand amplification, the effectiveness of capital investment, cost control, management capacity in the market competition the role played by the more be bigger.

In addition to traditional semiconductor manufacturers in terms of channels to compete with traditional lighting manufacturers, but also the increasing emphasis on traditional lighting manufacturers in terms of production cost advantage and process control advantages.

Capital expenditures listed companies the ability to support long-term growth. LED lighting industry as electronics manufacturing, capital strength is an important guarantee for expansion. Listed companies have a greater advantage in terms of financing and capital expenditures. We statistics, beginning in 2010 -2014 A-share listed companies in the major LED through the IPO and additional financing of 17.6 billion, 9.6 billion are currently carrying amounts of cash, compared to non-listed companies with a significant capital advantage.

Who is The Hind Legs Dragging LED Lighting Industry

LED lighting

" Wall Street Journal " article entitled "Who in the Chinese economy dragged thehind legs ? " The article pointed out that China has about 150,000 state-owned enterprises, which controls about 50% of the country 's industrial assets , absorbed about 20% of the national workforce.

Chinese state-owned enterprises contributed about one-third of the country 's economic value added . However, China's two stock exchanges in 1,500 companies , it may be only about 50 are truly private enterprises. State-owned enterprises have been strong government support , but still can not keep up the profitability of private enterprises . Will provide jobs , pay taxes and outputs , the private enterprises are much more important than state-owned enterprises . Private enterprises to provide about 80 percent of urban jobs , 90 percent of net new jobs , as well as two-thirds of investment in fixed assets . Article Conclusion: SOE drag on the Chinese economy.

Temporarily above the neutral point of talking about sex or biased . But it became evident that there must be some in the Chinese economy dragged the hind legs of factors exist , then the LED lighting industry , and what factors hinder it ?

First of LED Standards are Likely to Lag .

At present , China has LED lighting standards promulgated a total 111 levels , including a total of 36 LED national standards , has been approved and is being drafted by a total of eight LED national standards , national standards for the proposed project of LED 20 . LED industry standards that have been issued a total of 56 , LED local standards that have been issued a total of 19 .

But deep LED industry colleagues still clearly felt the standard lags behind the development of products, which is mainly due to the development of LED technology, rapid product replacement and product development from initial LED lighting alternative to manufacturing in line with the characteristics of the LED itself restructuring and other factors.

Overall, the international standardization organizations have developed many types of standard , reflecting the full attention of standardized situation, but some standards, norms duplication and contradictions , especially in traditional industries affected by some applications and standards technical focal bondage and blind spots caused by the presence of a technical standard scientific problems.

In addition , the industry standard is not standardized, industry, product quality is also likely to cause uneven .

With the improvement of people's sense of safety and environmental protection , in particular to strengthen the construction of ecological civilization , social security, environmental protection put forward higher requirements to be as energy-efficient LED almost synonymous with environmental protection , how to make people feel safe environmentally friendly products have become competitive an important indicator.

Therefore, rational planning of LED standardization work content and processes suitable for China to develop national standards for LED , so standardization work in close contact with the market to make LED industry standards are not dragging hind legs , so that product quality is not dragging the industry back.

Having A Standard LED ,Let us Talk about Innovation.

CPC Central Committee and State Council recently issued a "national new urbanization plan ( 2014-2020 ) " ( hereinafter referred to as the "Plan" ) . As a future period to guide the healthy development of urbanization in the country 's macro , strategic and basic planning , "plan" for including the LED industry, including many industry will have a positive effect.

Accelerate technological progress and industrial upgrading , after a sharp decline in costs , LED product applications continues to increase, the growing size of the market , three to five years , LED lighting needs scale compound growth rate of 30 % to 40 %. And policies to promote demand-driven , LED backlight applications from industry driving force applied to the lighting changes from 2013 to 2016 LED lighting penetration rate from 10 % to about 50 %.

Faced with such great prospects , business expansion is mustering the strength of the grip orders.

However, the current lack of industry innovation capacity problems which exist in many companies , market competitiveness and risk-resisting ability of these enterprises is not as strong as they inevitably sink like a stone in the LED lighting market competition.

Reflect The Current Lack of Innovation Capability in Three Areas:

First, inadequate investment in research and development , technological innovation capability is weak , the transformation rate is not high second , original innovation and integrated innovation capability is not strong , the field of science and technology of high-tech pilot weak, slow development of strategic new industries , high-end dependence on imported products . Third, innovation efficient allocation of resources and comprehensive integration capability is weak.

It seems that the market prospects , companies do have a trip from the city in innovation .

Inevitability LED Lighting Business for Sustainable Development

LED strip light

LED strip light and LED lighting industry came one after another enterprise " fail" message , although uncommon and surprising everyone , but alarm bells ringing , can take a lesson and avoid making the same mistakes , or have its positive effect. Some people say that happiness is a template , unfortunately there is their misfortune, resulting in LED business failures are equally diverse reasons , regardless of what the error through the middle of the development decisions and choices , the results are basically appear directly urging funding strand breaks embark on the road to ruin . And when companies embark on the road to ruin , business owners often choose to run away . Unimpeded capital chain is the largest enterprise to protect the long-term development. As the saying goes , " flow of goods " , originally interlocking chain of funds between the various joints , but also as a river of living water so as not to stink . Enterprise development path already need at every step, excluding the impact of the economic environment , the other hand the problem is caused by their own controllable factors , more worthy of attention.

Companies must follow the product from the market price of the law , and product quality of checks do work , in order to ensure the healthy development of enterprises to competition in the industry . Enterprises also need to avoid blind expansion incurred due to the triangular debt-ridden and other ills. In addition, business failures , foot rampant, is undoubtedly a social phenomenon extremely irresponsible behavior . Problems arise, as the responsible person should hesitate bear the relevant responsibility actively to solve them , rather than run away will be able to trouble. You can also make a comeback after bankruptcy , bankruptcy can be the credibility of hatred . The more chaotic the more the industry needs more positive energy , and the revitalization of the LED industry in this sunrise industry , as insiders are duty-bound. Regardless , " shopkeeper ", " salesmen " build channel money to see consumers " emotional intelligence" so-called shopkeeper sitting place of business to do business , and " salesmen " is to go out

LED flexible strip business, and the " shopkeeper " The biggest difference is that the " salesmen " with active business sense . So for LED lights , the sales problem is that "shopkeeper " or " salesmen " do? Good product if you do not have a viable ancillary channel model to promote sales, it's easy to go down the drain . Intense competition in the market , has given way to more and more enterprises to "channel " of the building in a more important special location. In fact , there are two LED lights , " employer" , one government energy saving obligations required works with lights , the other is the market 's God - the consumer. Selling LED lights, such as whether it is sitting in the shop while the cumulative consumer spending customers or go out to run the business , we always need to consider why consumers buy our lights , why accept us, otherwise can only sit and wait for the air , only run to reject others .

Now the channel LED industry , in engineering , there are dealers , as well as network and so on , say, the current electricity supplier channels, it is also the root cause of the rise of the edge due to the changes in consumer attitudes, so the ultimate goal of building enterprise channels all consumers. Whether stores , factories, or Lamps , lighting market are good , factors to consider when building channels not sit sell lights, or run a business , and so on the way , trying to make money , money comes from consumers , build channels to take into account their own consumer -oriented , consumer group "emotional intelligence ." Lighting becomes a fool export quality without committing all the hate bottom line in recent months across the country have quality supervision carried out spot checks on lighting products , many companies frequently "caught ." Quality of products falling instead of rising , the passing rate is not the lighting industry as early as a common problem , and this " disease" and even spread to foreign countries. From the EU in the near future

State the number of LED strip lighting products quality communications point of view, each country in Europe to monitor China 's lighting never soft. Some companies do not understand the law of family workshops , do not even know the existence of standards , this part of the business for the time being can " forgive ", but those who have been wallowing in the lighting industry over ten years of business still committed " heinous crimes " , it is pathetic. Of course, you can not wake up Zhuangshui who knowingly, without the bottom line incorrigible behavior will commit all the hate . Many domestic lighting companies for the quality of their products are " knowingly violate the law ," serious warning from the International Quality of Chinese lighting products can be seen , the quality of those companies even exported to other countries, it is difficult to guarantee the fixtures , so what ensure domestic product standards ? Therefore, export enterprises in establishing a sense of crisis , we should make full preparations for the prevention , understanding and accurate tracking of foreign standards, strict compliance with the provisions of the exporting country for the development of quality products , strict implementation of the testing requirements and procedures to enhance the competitiveness of their products in the fierce competition.

Dealers from selling gorgeous turn lights to the tree brand twenty -year-old battles Jinan Wenzhou Jin Qingwei northward , through their own efforts, from an initial sell facade lights people , and later six continued across the country, including Shenyang, Dalian , Qingdao, Tianjin, Wuxi and other places to build their own branches , his success comes from his efforts and opportunities. The single greatest key to his success , he sold light pattern into a tree brand. Jin Qingwei once their business model is defined as " brand chain stores ." Since this model has not yet lesson , he is currently still trying to explore. First-class brand companies do , second-rate companies do market three products to do business . One can imagine how important it is for a brand enterprise . Traditional single sales just let

LED soft light stays on product promotion enterprise level, and a good brand , but can bring a good reputation in the industry . Build brands that shape a company's image , and let this image deeply engraved in the minds of users . Once the deepening of competition or market growth bottlenecks, those who have been deeply authorized users , keep in mind the strong "brand " can be successfully achieved breakthrough in them.Like Qingwei Jin such dealers in the industry have, and when the branding , but also how companies continue to develop? This is many companies need to get to the bottom of the problem before continuing . LED lighting the traditional channels of dispute over the development of the industry seeking longing for change , driven lighting channels diversify marketing channels, becoming the protagonist , heroes ultimate PK, who is more came out on top ? Currently, the lighting industry more competitive to the more intense , sluggish growth of large companies , small companies performance decline, especially in the channel at the provincial level , each LED lighting brand competition, excess channel resources , building lighting sales channel diversification has become inevitable. How should enterprises to actively confront this trend? After entering the LED lighting market , traditional lighting with LED lighting distribution channels of distribution channels are positive contest , but as an industry rookie , the most important issue facing businesses is to establish multiple channels . On the other hand , with the Chinese LED lighting market suddenly heating up, the dealer turned the traditional lighting LED lighting, a large backlog of many traditional lighting , to put pressure on the channel . To solve the serious challenges faced by the LED lighting channels , companies strengthen their brand building and quality assurance at the same time , to seek a breakthrough and innovation, is imminent. According to prices for the moment , the channel seems to be quite important. Channel change issues go , the enterprise and channel LED flexible strip operators should have a clear understanding.

Export Prospects Bright LED Lighting Industry Preoccupied Immature

LED lamp

2014 China's foreign trade situation, both factors of production costs continue to rise, as well as the weakening of the traditional comparative advantage "WTO dividend" tends to subside and other more serious side, there are also constantly improve the level of trade facilitation, the rapid development of cross-border e-commerce and other new trade the state has adopted a series of policies and measures to promote the development of foreign trade and other positive side. Therefore, the combination of the status quo of China's LED industry development, comprehensive judgments, our 2014 LED lamps export trade situation facing slightly better, both favorable factors, there are also disadvantages.

LED Industry Perilous

LED industry

Deng always told the author, LED lighting industry is rapidly expanding, but also there are many negative factors. The existence of industry overcapacity, lack of standards, lack of core technology, product quality has been good and bad for the industry criticized the credibility of the industry also suffered an unprecedented crisis.

Since the 2013 collapse of SMEs in the industry, integration, news of the shuffle came undoubtedly another winter LED lighting. 2014 will usher in what LED lighting development, companies will seek to develop a way of how thinking changed? Rectangular LED lighting in 2014 a comprehensive strategy to upgrade the brand, maybe give us some enlightenment.

Northern Lighting Market Continues to Bang, three Million Square Meters Will Be Built in Changchun LED Industrial Park

As the market continues to bang the north, beginning this year, LED has to pick

up the scene, pioneering companies have stepped up the layout. In strong support of the policy, the North Hi-tech Park,LED Industrial Park has become a rising star, has attracted the attention of many well-known enterprises.

September 14, 2013 in the afternoon, by the China Illuminating Engineering Society sponsored the "2013 China Lighting Forum" was held in Zhongshan Xiaolan, compared sponsored by the Changchun National High-tech Industrial Development Zone Management Committee, Changchun National High-tech Zone in association with China Illuminating Engineering Society Semiconductor industry base project promotion was held in Zhongshan Xiaolan. Conference Secretary-General Chengzhang Chen Jilin Illuminating Engineering Society, chaired the meeting during a full analysis of the current situation and development of the industry, the Changchun municipal development advantages of LED lighting industry, and deputy director of the Changchun High-tech Industrial Development Zone Management Committee Chengfu Liu speech at the meeting, cordially invite entrepreneurs, field trips, invest.

Northern market size advantage is huge. Expected to "second five" late, Changchun City will achieve an annual output of 3 million automobile, rail passenger 3000, high-speed rail EMU target 2000, which led not only to accelerate the development of upstream and downstream businesses, but also for new materials, New Energy and optoelectronic information industry (LED lighting, display products) provide a huge market space. Overall, Jilin Province, the LED market size, including lights, street lighting, landscape lighting will reach 100 billion yuan, the total market size of the Northeast region will reach 500 billion yuan; five countries of Northeast Asia LED lighting, midstream products huge demand, LED industry development space is very broad.

Policy support is obvious. Changchun municipal government issued the "Opinions on Accelerating the development of strategic emerging industries", Changchun High-tech Zone to develop a "Several Opinions on Accelerating the development of LED industry," for high-quality LED industry projects, the implementation of a proposed, in the land be, financing, tax incentives and other aspects of key support; tech Zone and Provincial Investment Group co-founded the EMC contract energy management company, has been approved by the Changchun municipal government agreed to give high-tech zones settled LED outdoor lighting manufacturers to support market areas; tech Zone 100 million yuan to set up a strategic emerging industry development fund to support the development of LED industry; first started in the Northeast, "SAR personnel" building, took 100 million yuan of funds each year, focusing on the LED industry leading talent tilt.