Forecast of China LED industry in 2012

In 2011, Chinese LED industry is undoubtedly the scenery, from the beginning of Lehman photoelectric landing gem, honglitronic, alto electronics, Chau Ming technology, Ruifeng photoelectric, photoelectric, KingSun also listed, more and more enterprises unwilling to remain out of the limelight in the IPO Road, tempted, and some even have been half a year, is expected to in 2012, there will be four LED enterprises successfully listed. With the listing of the scenery, more of a number of small and medium enterprises keep going by painstaking effort, even have closed or on the verge of bankruptcy, the media tentacles in the bright behind more sensitive.

In the industrial structure, China's LED industry after 30 years of development, has achieved the independent production package, chip and epitaxial materials, but the domestic LED chip, and the epitaxial material production is limited to low grade based, most of the high performance LED and high power LED chips are dependent on imports; the main power package is still the domestic LED industry, but part of the package of low profits, accounted for only about 10% of the entire LED industry chain profit; with the government's promotion and global industry echelon transfer, China LED market has become the industry's most enticing big cake.

Back in 2011, with the upsurge of panic LED, bring us more thinking, what 2012 LED industry is what kind of pattern, how to locate the enterprise, who are still struggling in the cheap and low quality foundry enterprises in the package and decide on what path to follow?

Favorable policies to accelerate the opening of the lighting market

"12th Five-Year" "National Science and technology development plan", plan targets for 2015 LED lighting, semiconductor lighting occupy the domestic more than 30% of general lighting market share, the output value is expected to reach 500 billion yuan, to promote China's semiconductor lighting industry to enter the world top three. In the recent introduction of China's incandescent lamp out of the road map clearly stipulates that from October 1, 2012 onwards, according to the size of the power gradually ban the import and sale of incandescent lamps. Ten City million lights, the two phase is also officially launched, a series of policies introduced, will greatly facilitate the popularization and application of LED lighting in the country.

Backlight demand steadily

LED backlight demand exploded once let the sapphire substrate prices skyrocketing, while at the same time, the backlight demand excessive optimism, also makes the second half of the LED chip factory days this year than in any previous period. According to statistics, in 2011 the LED chip demand of about 129 billion, while the yield was as high as 174 billion, higher than the market demand of 35%, behind the embarrassing results, is on the market expectations are too high, is the inevitable result of blind expansion. Chip overcapacity and decline in profits is undoubtedly the investment boom of the LED chip industry poured cold water, and so much of the surplus in the short term can not be completely released.

But it can be expected that 2012 LED backlight is still in rapid development, TV manufacturers revealed years after the launch of low-priced LED TV to stimulate consumer demand, the development of the 2012 part of the inventory pressure LED backlight will share LED chip, LED chip, there is still room for growth, the total amount of more than this year, enterprises need to be cautious to the market forecast in order to prevent the continued low price caused by the loss and slow-moving.

Display demand decreased slightly

With the Olympics, Asian Games, Universiade, LED display more and more into the people's vision, the brilliant achievements of sports event LED display today, but also to feed a large number of small and medium enterprises mainly display package. However, with the end of the big event, the display market will go back to normal levels from the previous hot, Ruifeng photoelectric also reduce the proportion of fierce competition in the display business this year to ensure gross margin. 2012 display market will decline slightly compared to this year, companies should do a good job in industrial restructuring.

Lighting market gradually opened, the market for the first brand

With the introduction of various policies and the promotion of the concept of world energy conservation and environmental protection, the lighting market gradually opened. Europe and the United States and Japan and other LED market is more mature countries for the brand is very important, and a variety of testing and certification requirements are very high. For example, CE, ROHS, REACH, ERP certification is mandatory, with Germany's GS logo, and Germany (PAHS+Phthalate+NP) '' '' '' '' Sambo products can be recognized by consumers and sold at a higher price.

Many excellent domestic LED manufacturers, including non - listed companies, their products in the market in Europe and America and are more visible to OEM, the strength of the brand, even the same goods sold at a low price, is still difficult to replace brand benchmarking.

2012 enterprises in the domestic and global lighting market competition, the brand is placed in the most important position. Because the brand represents the quality, represents the trust, represents a reliable after-sale protection.

European Economic ice continues to increase domestic competition

Affected by the debt crisis, the European market LED demand tightening, the European debt crisis for the negative impact of China exports has emerged, for municipal engineering, commercial lighting orders greatly reduced, while the domestic LED lighting business opportunities due to favorable policies frequent, numerous domestic LED enterprises to export to Europe mainly to domestic sales. After this year, the European economy is still no clear signs of improvement in the ice, LED products in Europe, the recession will continue to indirectly increase the domestic LED lighting market competition.

Coupled with the international giants to seize the Chinese market, Taiwan enterprises to deepen penetration, in 2012 China will be the largest LED market competition in the country. After the Spring Festival is expected to occur in 2012 small