LED director sacked behind the industry chaos

The Guangdong provincial science and technology department director Li Xinghua under investigation, the Guangdong provincial government website and local party newspaper published a sentence headline: "in July 26th, a reporter from the Guangdong Provincial Discipline Inspection Commission was informed that, according to the Provincial Discipline Inspection Commission confirmed that the provincial science and technology department director Li Xing Hua alleged serious disciplinary problems, is being organized survey. "

Li Xinghua has been known as the "LED of" with the Guangdong LED lighting (semiconductor lighting) industrial development closely, this short sentence news for the whole Guangdong LED industry was shocked, insiders also speculated that the Guangdong and the country's LED industry will be affected. People's eyes again in the hope, but also the chaos of the industry.

Guangdong LED stride forward singing militant songs.

For Li Xinghua sacked issue, the majority of LED companies are also keep from talking about turning to Li Xinghua, "we are not evasive, Guangdong enterprises are not familiar with him, but when the Guangdong International Lighting Fair can see him doing report". Sichuan, a large LED manufacturers responsible person told reporters.

In fact, as a LED enterprise whether or not in Guangdong, will not be unfamiliar with the name of Li Xinghua. As director of the office of science and technology in Guangdong Province, the development of Li Xinghua's LED industry, whether it is for the use of the production side or end, have given great support.

Indeed, in recent years, the LED industry in Guangdong has been in the forefront of the country, its output value and application of the scale of the first in the country, the national market share of over 70%. According to the announcement of the Guangdong provincial science and Technology Department data show that: in 2012, the Guangdong LED industry output value of 217 billion yuan, LED R & D and production of about 4000 enterprises, of which 30 listed companies, a total of more than 800 thousand to promote the use of LED street lamp, indoor lamp more than 2 million 100 thousand lamps. As of 2012, Guangdong LED has maintained a growth rate of 30% over the past 3 years.

Meanwhile, Guangdong plans to promote the use of LED products in the province. According to the May 2012 release of "Guangdong province to promote the use of LED lighting products plan", Guangdong will take the lead in the field of public lighting that road, public places, government agencies, state-owned enterprises or state-owned financial capital investment in the construction of lighting engineering, the comprehensive application of LED lighting products. According to the plan, the size of the province's LED industry in the end of 12th Five-Year will reach 500 billion yuan in Guangdong. These policies will undoubtedly play a positive role in promoting the development of LED industry.

In addition, in 12th Five-Year, the Guangdong provincial government invested 450 million yuan a year to set up special funds for the development of LED industry. The Guangdong Provincial Department of science and technology on the decentralization of funds, has the right to choose. During the Li Xinghua administration, it gave some LED companies issued a huge amount of grant funds.

Low technical content of small workshops prevalent

The LED is not in stride forward singing militant songs behind, is a healthy and sustainable development of the industry.

An unnamed industry source told reporters that the current LED industry, there are two kinds of deformities of the type of enterprise, a kind of large enterprises do not have the core technology, but it has a soft power - wide network and government resources, can get subsidies or project.

A veteran of the LED industry, told reporters that Guangdong has more than 4000 LED companies, probably only 2%~3% can get subsidies, including those who have soft power of the enterprise.

"In fact, some seemingly solid financial strength of large enterprises with technology has already been eliminated, but with a good relationship with the government or some officials, these companies will be able to get high subsidies, or obtain the streetlight renovation of large municipal engineering. The person said.

And the other is a small workshop, with the eye, hand, making fast money in the field of downstream packaging technology, capital threshold is very low.

As an emerging high-tech industry, although LED in the upstream chip production is a technology and capital intensive industries, but in the field of downstream of the lamp assembly is almost no money, what the technical threshold, is a labor-intensive industry. So it led to a large number of small workshops into the field, eventually leading to uneven product quality, industry is not standardized. National semiconductor lighting engineering research and Industry Alliance Deputy Secretary General Geng Bo explained to reporters.

It is understood that the entire LED industry, most of the small and medium enterprises are doing downstream application of LED lighting products. Due to the low end of the company's capital, technical requirements, low barriers to entry, making the field of fierce competition. Therefore, the collapse of the LED, the collapse of the most is the LED terminal applications.

KingSun Au Optronics Co general manager assistant section cast told the media that many small workshops, only 100 thousand ~20 million yuan will be able to start, and then go to the city to buy accessories on the radiator, the chip, then hire a dozen workers, before the two row of the table, put it in welding, assembled, is a LED lamp.

Geng Bo admitted that the technical content of the LED lighting industry focused on the chip side rather than assembly aspects. The chip technology is basically monopolized by foreign companies, domestic enterprises are mostly concentrated in the downstream packaging. Currently in the downstream production of LED, has not yet formed a self regulatory atmosphere. A lot of product assembly companies to see here profitable, would like to come in and get a pen, hundreds of thousands or even tens of millions of investment can produce LED products.

At the same time, Geng Bo also pointed out that this situation is also