Future LED trends: small enterprises facing the trend of the elimination of the market boutique

The eighteenth Guangzhou International Lighting Fair has just come to an end. Beijing Chinese commercial news reporters learned from the exhibition, compared with last year, this year's LED lighting industry situation has improved, but the problem of excess capacity still exists. Industry experts predict that the next eight years will be the rapid development of the LED lighting industry, is expected to have a small and medium enterprises are facing out of the production of 70%.

Low-end products

Overcapacity serious

Beijing Daily reporter from the eighteenth Guangzhou International Lighting Exhibition learned that last year the Chinese lighting industry scale is close to 300 billion yuan, this year will increase to 300 billion -4000 billion yuan, is expected to 2015 will increase to 500 billion yuan, the future LED production and market demand will be higher.

Growth in the market also allows LED to experience a brief winter after last year, ushered in a recovery this year. Beijing Chinese commercial news reporters learned from the exhibition site, most of the LED companies in the first two quarters of this year, the revenue is good, the development trend of growth, many companies have good prospects for the LED market, and the development of the expansion plan. Hubei Noah group relevant responsible person told the Beijing Business Daily reporter, the company plans to build an industrial park covering an area of 600 acres in Hubei, engaged in services to the field of packaging and other fields.

Although the market is good, but the problem of excess capacity still exists. According to the Guangzhou International Lighting Exhibition founder Pan Wenbo introduction, the current threshold of LED lighting industry is relatively low, and the government have high subsidies and preferential tax policies, making a large number of enterprises to enter the low-end products, which leads to severe overcapacity.

Domestic LED Enterprises

Over 7000

An industry source told the Beijing Business Daily reporter, LED overcapacity is mainly due to excessive business. Domestic optical registration of LED companies up to more than 7 thousand, coupled with a number of small workshops did not register and some people hiding in the back of the registered company 3-5 small working group, engaged in the LED lighting industry enterprises can be described as numerous.

The existence of many small and medium enterprises and small workshops, so that a serious excess capacity of low-end products, resulting in vicious price competition. It is understood that, LED lighting products in just two years, the price of the product has experienced a roller coaster, the market price from the original 180 yuan has been as low as 20-30 yuan. At the same time, there are still a large number of low-priced products in the market price of 10-15 yuan.

Pan Rurong, vice president of science and technology seems to run million, LED now prices are getting lower and lower, but the quality is getting worse, do LED companies themselves did not agree with the root of its value. He believes that only businesses and consumers agree with the value of LED, naturally accepted the price, can not rely on low prices to win the market.

future market

Will be fine

"The future of the market must belong to a brand, there is a scale, there are channels, product innovation, sales innovation of enterprises. Pan Wenbo said, LED is a revolution in the light source technology, in the next eight years, China's industrial lighting products will be replaced by LED products, lighting products have been replaced. At the same time, there will be 30%-70% LED small and medium enterprises will be eliminated by the market.

According to Pan Wenbo introduction, Guangzhou International Lighting Exhibition is to guide the industry toward healthy and sustainable development. Compared with last year's show, this year the size of the exhibitors have a 5%-8% growth, but exhibitors have reduced 10%-12%. In the case of the healthy development of this market, the future of the number of production enterprises will be less and less, the scale is growing, the profits will be higher and higher.