China's LED industry upstream development speed

Chinese LED industry to maintain rapid and stable growth

Since the implementation of national semiconductor lighting project, China's LED industry has made considerable progress. 2008, the global financial crisis led to weak demand in the downstream market, to some extent, slowed down the pace of development of China's LED industry. Into 2009, with the introduction of relevant policies continue to support the country, China's LED industry growth picked up. In 2010, LED full color display, LED backlight, LED lighting and other downstream applications of rapid development driven by Chinese LED industrial scale rapid growth, including substrate epitaxy, chip, package, to 29 billion 460 million yuan, compared to 2009 growth of 33.8%. 2006-2010, China's LED industry CAGR of 18.7%.

Figure 1 2006-2010 China LED industry size

Substrate link is still dominated by low-end products, the sapphire industry began a large-scale layout

In recent years, due to factors such as technology and market competition, the development of domestic substrate industry has been relatively slow compared with the extension, chip and packaging. In 2010, many sapphire project is still in the investment construction or commissioning stage, large-scale production capacity has not been released, so China LED substrate industry is still mainly in the low-end products, the sapphire industry scale. 2010 China substrate industry reached 3 million 525 thousand square inches, an increase of 34.4%, the output value of $140 million, an increase of 50.8% over 2009.

Figure 2 2006-2010 China's LED substrate industry size

From the development of China substrate industries, in the national semiconductor lighting project, 863 major projects such as the support, China preparation of red light, green light LED with GaAs/InP/GaP substrate material technology has made significant progress. In the enterprise distribution, Zhongke Jiaying, Guorui electronic, Shanghai has been in Kejiapu, Chinese Electronic Technology Group forty-sixth Research Institute and other enterprises realize the bulk supply of products. These companies LED substrate production has accounted for about 30% of China's overall LED substrate production, thus ensuring the basic realization of the type of substrate supply. In 2010, for the growth of blue and white LED sapphire substrate, SiC substrate and GaN substrate by the downstream LED backlight and the rapid development of LED lighting market driven, GaN epitaxial chip / substrate makes the rapid expansion of production capacity, upstream supply shortages, pushing prices continue to rise. Although the domestic enterprises of the type of substrate properties and rate of finished products is still low, the substrate material growth professionals also lack more, but to drive high profits, many enterprises have already started in 2010 Chinese intervention or announced the intervention of sapphire substrate, and gradually expand the capital investment and the related key technology introduction. In addition to hit red Photoelectric Technology Co. Ltd., Shaanxi SG Anrui Photoelectric Technology Co., Ltd. is located in other areas outside the mainland, enterprises are mainly located in the eastern coastal area and southwest. Related enterprises in the east coast of Tianjin sapphire wafer Technology Co. Ltd., Qingdao Jiaxing crystal electric Polytron Technologies Inc, GCL photoelectric technology (Jiangsu) Co., Ltd., Jiangsu Eurasian Blaupunkt Photoelectric Technology Co. Ltd., Zhejiang crystal photoelectric Polytron Technologies Inc, Zhejiang East crystal electronic Limited by Share Ltd, Zhejiang Tian Tong Limited by Share Ltd, Shenzhen Audemars Pigeut Stone semiconductor materials Co. ltd.. Is located in the southwest of the line pipe enterprises Silan Instrument Group Co Ltd (four group), Yunnan langene Polytron Technologies Inc (Yunnan langene), Guiyang city of Guizhou Province Investment Company (Guiyang industry investment). Among them, Tianjin match method, Qingdao Jiaxing crystal power, Shenzhen Ai Pi Stone and other companies have begun to supply the sapphire substrate, four group in 2008 through the acquisition of Honeywell international well-known manufacturers in Canada sapphire factory and related technology into the sapphire substrate field. In order to further expand the layout, industrial base four group is Chongqing established the sapphire substrate by the end of 2010, four group of sapphire substrate chip project goes smoothly, the first phase of the project has entered the equipment commissioning phase, part of the production capacity has been released. Yunnan langene, Harbin Institute of technology red photoelectric technology enterprises grasp the independent growth of crystal, has small scale production of sapphire substrate. Xin photoelectric, photoelectric, tiantonggufen Eurasian Blaupunkt also started to enter the sapphire crystal rod and the substrate area in 2010. Zhejiang optical crystal, Xi'an SG Anrui photoelectric is ready in 2011 to start the layout, Zhejiang East crystal electronic "an annual output of 7 million 500 thousand LED with a sapphire wafer project plans to mass production at the end of 2012. Overall, in accordance with the capacity expansion rate of downstream industries, at least the next three years will continue to supply the sapphire substrate tension, China sapphire substrate industry began to absorb investment, expansion of production capacity in 2011, sapphire industry in the LED substrate proportion will rapidly expand, and more than four yuan of products. [1] [2] next page