LED enterprises are the cause of the collapse of the storm storm

The mainland LED industry entered a rapid development in recent years, however, various industries are flocking to join the LED market, the hot trend and the huge capital investments, resulting in the second half of the 2011 crisis facing the market stall, the recent LED industry have pointed out that the mainland LED industry is about to enter the playoffs, about 1 enterprises will face after the exit, exit LED, GCL photoelectric Lei crystal industry, Shenzhen's 2010 sales of billions of LED enterprises boss "run away", the more that LED bubble burst in the ominous prospect.

Junduoli won, Shenzhen optoelectronics industry top 10 enterprises in Sichuan, and other places have set up factories in an attempt to attack the LED lighting business, but the head of the company more than 200 employees owed 2 months wages, and tens of millions of debt owed to banks, suppliers, suddenly disappeared in eleven on the eve of the LED industry came, some Taiwan factory may not receive payment, loss will recognize, but including the LED grain crystal power plant, canyuan a thread were pointed out that close ties with junduoli not chugu unaffected. It is understood that the junduoli company in Longhua branch of China Construction Bank loans 30 million yuan in arrears, Sinochem International Leasing Company 17 million 280 thousand yuan in arrears, the supplier has registered funds of $about 12000000, according to media reports, the Guarantee Corporation in 33 million, and even some have not yet surfaced usury.

The industry said that in the official support of the development of LED lighting, LED industry in recent years, the excess of investment, upstream industry, currently has about 90 LED grain plants, but there are also about 9 at a loss, as the number of downstream packaging factory application number, size and uneven, by 2011 the market demand downturn according to statistics, the mainland industry, with 50 LED lighting industry in Guangdong Foshan area for orders in 2011 to reduce the average 10~30, but the production cost is increased by 30, 7 corporate profits decline.

Because since 2011, 12 times the central bank raised the deposit reserve ratio, the 21.5 level is not only a record, at the banks pumping liquidity pressures, many companies have cash flow problems, expected in junduoli incident, fear will collapse one after another exit event.

For now many LED business failures, there are experts to analyze the reasons:

1, the poor economic environment. 2011 the overall economic environment is not good, the global LED industry growth is lower than expected, the main LED annual revenue growth fell sharply, or even negative growth.

2, competition intensifies. Due to the overall economic environment is not good, terminal demand growth is lower than expected, resulting in LED prices accelerated decline, the international manufacturers to accelerate price cuts, vicious price competition.

3, the payback period of investment, capital chain rupture. 2009-2011 since the first quarter of this year, around the world, manufacturers are actively increasing on the investment of LED, especially Chinese area, in the investment of LED is started in 2010, is more in 2011 before mass production, but suffered a downturn in the market, and initial investment recovery period is longer, even it is difficult to recover.

However, the official policy direction unchanged, including LED lighting, LED lighting is expected in 12th Five-Year planning, will account for 20 of the proportion of the overall lighting, will promote the rapid rise of the domestic market, LED lighting, in addition, the official also announced LED lighting is expected before the end of the subsidy policy, including the Ministry of Finance in conjunction with the national development and Reform Commission and other departments is expected to be on LED lighting products subsidies, will give priority to start for indoor lighting and commercial lighting products subsidies, such as lamp, projection lamp, and gradually expand the scope of subsidies.