Disorderly competition to disrupt the LED industry subsidies to encourage industrial chaos

A LED chip production machine can obtain millions of subsidies, rely on subsidies to survive a few into the industry unspoken rule, the LED market has not opened have excess production capacity.

The fluorescent lamp is still the current mainstream products, LED light despite the concern, but the market potential outbreak time. "Chinese Lighting Association Wang Jinsui yesterday in the" bright new century green lighting forum "said the Yangcheng Evening News reporter.

But manufacturers seem to have been unable to wait, generous investment, large-scale expansion of common, rapid expansion of production capacity led to the upper reaches of the industry chain are signs of excess capacity. The price war smoke is strong. On the eve of the outbreak of the domestic LED market, the fanatical LED industry did not because of the collapse of individual companies have cooled, disorderly competition intensified.

The actual demand is less than the actual production capacity of 1/10

1 MOVCD (LED chip production machine) can get tens of millions of subsidies, the purchase of hundreds of Taiwan's domestic enterprises MOVCD, but in the warehouse to sleep. Yesterday, a person in charge of the industry, who declined to be named to the Yangcheng Evening News reporter revealed LED. On this basis, the manufacturer can obtain government subsidies of up to 1 billion, more than the largest chip maker Sanan optoelectronics 719 million in the first half of the revenue was up nearly 3 hundred million. But Sanan optoelectronics 2011 semi annual report, the company achieved net profit of 459 million 13 thousand and 700 yuan. Its wholly-owned subsidiary of Anhui Sanan optoelectronics Co., Ltd. income 201 million 159 thousand and 400 yuan, a single government subsidy income reached 103 million 764 thousand and 700 yuan, accounting for more than 50%.

"White is the government money. Insiders said that the survival of the industry has become a potential rule of subsidies.

Most of the enterprise LED project is a loss. These people believe that the market has not yet fully opened, there have been overcapacity situation. As far as I know, many traditional lighting companies to enter the LED industry, LED projects are basically relying on other projects to feed. "

It is understood that the investment planning and LED around the introduction of competing capacity under construction has far exceeded the actual demand of the market, with the heat of the sapphire substrate LED investment in the construction of the project as an example, the production capacity of 101 million pieces per year, and Chinese current actual demand is only 6 million 850 thousand, less than the capacity of 1/10. And that's not counting the number of imports.

In fact, not only the upper reaches of the chip industry chain, the status of the downstream lighting companies overcapacity is also very common.

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