Inventory 2011: China LED display industry market cold period

Has gone to the end of 2011 this year, looking at the domestic LED industry development, it is chaos.

Individual led business failures. At present, Shenzhen has thousands of small and medium sized enterprises LED, October "junduoli event" seems to be a crisis in the domestic LED industry to detonate the fuse, a time LED has become the focus of domestic major media. LED display large corporate capital investment, a project requires more than ten million, millions, or even tens of millions of investment, and sometimes often need to withdraw funds from time to time. Small and medium enterprises because there is no strong financial support, with the money to do the project, and once the project is not much profit, it can not fill the supplier's debt. Like junduoli, bolunteguang such enterprises are just the tip of the iceberg. Unlike last year's explosive growth in performance, this year's LED display business sales showed an increase - plunged - dull trend.

Led companies are seeking listing. Since last year, the domestic one of the main business of the display of the LED listed companies have 4, while the display device packaging is one of the main business of listed companies also reached 3. At present, the state is very optimistic about the LED industry, queuing and other listed companies are increasing LED display. Insiders admitted that the market is not One finished, all is finished., the key is to see whether the enterprise has the core competitiveness, will remain stable after the listing of the profit growth rate.

Led blind expansion of enterprises, resulting in excess capacity led. The first half of 2011, in order to expand the scale of seeking competitive advantage, several listed companies engaged in LED industry, only listed companies frequently refinance and increase productivity, and in support of local government policy support and industry development prospects, the scenery of the government, LED has highlighted overcapacity.

LED display enterprise investment LED lighting. Out incandescent roadmap has been released, according to the announcement, China will be divided into five stages of phasing out the incandescent lamp: from November 1, 2011 to September 30, 2012 for the transition period; in October 1, 2012 to ban the import and sale of 100 watts and above ordinary incandescent lighting; in October 1, 2014 to ban the import and sale of 60 watts and above ordinary incandescent lighting; from October 1, 2015 to September 30, 2016 the mid-term evaluation period; in October 1, 2016 to ban the import and sale of 15 watts and above ordinary incandescent lighting, or as the mid-term evaluation results are adjusted. Lianchengfa group pointed out that although the incandescent lamp, the relevant details of policy subsidy of LED has not come out, but the LED industry is already simmering, enterprises around the world are eager for a fight, waiting for the previous subsidy policy, to seize a favorable position. So LED display enterprises have invested LED lighting, to seize a favorable position, once again staged a "Ten thousand steeds gallop." phenomenon.

Domestic led enterprises to carry out price war. LED display as one of the earliest and most mature LED application areas, is currently subject to a cold period in the market. Due to the low threshold LED display, the country has thousands of companies with LED display business related. Because of this, the increasingly fierce market competition, some enterprises shoddy, price will be very low. At present, the entire LED display industry is very impetuous, many companies have to grab the list below the cost price, blind expansion of the scale, the last can only wear down their own business. The domestic market competition is relatively chaotic, while foreign to the quality requirements are relatively high, not only is the price, overseas customers for quality, enterprise comprehensive ability and so on will go into consideration, while the domestic basically is to compete on price. Disorderly competition and quality.

LED product homogeneity. LED display products homogenization phenomenon is very serious, almost no features, there is no innovation. Like zero down payment LED display rental business, once set off a wave with the industry, the company did not form their own core competitiveness, there is no clear product line and technical route.

LED product quality but hard. It is easy to make a display, but it is not easy to make a comprehensive performance of the screen, in particular, to make a time to withstand the test of the LED screen is even more difficult. At present, the country can really meet the European and American safety standards and certification of enterprises is very small. At present, most of the domestic LED display is claiming that they have passed all the certification, but there are a lot of hidden interests behind the chain. For example, a company in Jiangsu, a display because of quality problems have been replaced by the situation, may lead to the completion of this year after the completion of the listed company plans to target.

Although the 2011 LED industry highlights a lot of chaos, but because of the rise of market demand; industry exports gradually scale; technical level and international standards; to realize the benign interaction between upstream and downstream industries; industrial development is standardized, intensive characteristics; major activities to drive the development of the industry; government policies to boost the industrial structure; continuous improvement and rationalization. As long as the formation of their own core competitiveness, there is a clear product line and technical route, the enterprise will be able to long-term sustainable development.