China LED industry melee intensified staged wolf?

Domestic LED industry is facing overcapacity, shuffle constantly embarrassing situation, a well-known Japanese LED lighting companies have announced a high profile to enter the Chinese market. Yesterday, Wang Howard (Fujian) Photoelectric Technology Co., Ltd. signed a cooperation agreement with Japan's MITSUBISHI Verbatim, MITSUBISHI officially became Verbatim DS Hong photoelectric general agent Chinese district. The industry believes that MITSUBISHI Verbatim's route through Fujian enterprises to enter the Chinese, to snatch China LED welfare industry "".

The wolf is coming

Now enter the Chinese market, really need courage. ", MITSUBISHI, a head of marketing, told reporters.

Over the past period of time, LED companies listed on the financing and investment boom led to excess capacity, resulting in the collapse of LED business turmoil. Xiamen Optoelectronics Industry Association stakeholders told reporters, while the impact of the European debt crisis, China's LED enterprises export orders fell sharply. At the same time, with the slowdown in the LED market demand, technology, price bottlenecks did not break, LED industry is constantly shuffling.

In this context, MITSUBISHI Verbatim has announced to enter the Chinese market. It is reported that Japan's MITSUBISHI group and its subsidiaries MITSUBISHI chemical are the world's top 500. MITSUBISHI Verbatim is a subsidiary of MITSUBISHI chemicals. With the MITSUBISHI group's brand advantage, MITSUBISHI's LED lighting products, has been in Europe, the Australian market to occupy a larger share of the international line brand.

MITSUBISHI Verbatim to enter the Chinese market by virtue of ethics, was interpreted as the industry wolf". MITSUBISHI overwhelmed this time to enter China, is bound to share with the Chinese food market LED, which is a great threat. Xiamen Topstar lighting stakeholders told reporters.

Snatch "welfare"

In the industry view, the domestic LED lighting downturn background, MITSUBISHI Verbatim's "counter" raid, is China industry "welfare disarray snatch".

It is reported that last year, the state issued out incandescent roadmap, decided in October 1st this year, to prohibit the sale and import of 100 watts and above ordinary incandescent lighting; by October 1, 2016, banning the sale and import of 15 watts and above ordinary incandescent lighting.

"Incandescent exit, how much space for the LED market space? More than one hundred billion yuan! "De Hong (Fujian) Photoelectric Technology Co., Ltd. chairman Shen Qingquan told reporters that this good news, into a stimulant for many LED enterprises. As for the LED lighting, there are positive factors, the domestic electricity prices in the upgrade, and LED lighting can save electricity 80%, while the price of LED lights continue to decline, which means that its consumer demand will become increasingly strong.

Mitsubishi Chemical Holdings Corp has a large number of independent intellectual property rights in the field of LED raw materials, chip packaging, with a complete industrial chain structure. There is such a strong backing of the brand support, coupled with the German channel more than 3 thousand national channel sales advantages, I believe MITSUBISHI Verbatim in the Chinese market will develop smoothly. MITSUBISHI Verbatim stakeholders told reporters.

Infighting intensified

In fact, in some people's view, MITSUBISHI's involvement in Verbatim, will lead to increased industry infighting. A status quo is now the lack of standards in the LED industry, which led to the entire industry entry threshold is very low. According to the National Semiconductor Industry Alliance related sources, at present, the domestic LED production enterprises are about 8000, but the majority are in small and scattered state, "and many others". At the same time, many companies want to seize the market with low price strategy, forcing other companies to fight a price war, resulting in low quality products are rampant, affecting the healthy development of the industry as a whole.

It is reported that MITSUBISHI Verbatim's current price positioning for the midrange. However, according to the company official said, after entering the Chinese market, the company will be adjusted or the industry, and gradually lowered the price of some products. This will undoubtedly once again set off a 'price war', more companies will continue to be 'wash' off. "Xiamen Fu Neng lighting company stakeholders told reporters.