LED market structure will change after the buffer period

The upsurge of LED industrial layout China Taiwan enterprises in mainland China has continued to. Taiwan LED leading canyuan photoelectric investment in Yangzhou in the photoelectric lucidity formally put into production this month 18 days. This is the second semiconductor foundry giant UMC landing project in Tianjin in Shandong Jining, the panel giant AUO, two months to third investment action.

Investment adviser senior researcher He Zaihua pointed out that the domestic semiconductor policy is the direct cause of the semiconductor market to start. With the advance of the tide of LED, Chinese market once again become the points of battle, Chinese is the application of LED lights power, LED lighting is the largest consumer, the potential market size is quite prominent. Apart from the demand pull, the Chinese market has the unique advantages of manufacturing, such as labor costs, raw material prices, etc..

In many places in Yangzhou and Wuhu support policies, subsidies are more prominent, basically is given directly to the imported MOCVD equipment subsidies, subsidies to direct and guide enterprises in the layout and planning of large-scale production capacity. According to statistics, the mainland manufacturers plan to import about 1466 MOCVD devices, equal to the sum of the total number of global MOCVD in 2006, and as of the end of 2009, the world has been put into operation only 1200 MOCVD devices.

In the mainland manufacturers competition, Taiwan enterprises and Korean companies have entered the mainland of China, opened the strategic layout of the local wave, not only the upstream industry chain layout, the front has been extended to include LED applications. In some areas, although the current domestic brands still occupy the dominant position in the market, but with the diversion of other manufacturers, the market structure will change or will occur. In the local preferential policies gradually cooling down, a new round will rely on the strength of take cities and seize territory.

According to the investment adviser released "2010-2015 China semiconductor lighting (LED) industry investment analysis and prospect forecast report" shows that MOCVD is a kind of key production equipment, the mainland local governments usually give high subsidies. Downstream applications, lighting companies actively involved, the traditional lighting companies are also closely followed the pace of LED industry, stepping into. The first half of 2011 belongs to the LED lighting publicity and import period, the large-scale rise of LED lighting applications is not far away.

Investment advisor research director Zhang Yanlin pointed out that the first half of 2011 will be the equipment delivery and buffer period, so the LED market will not appear more prominent phenomenon, with the continuous breakthrough of new technology, the cost is expected to exceed the expected decline. That is to say, after a period of rest and keeping a low profile, LED industry will usher in large-scale outbreak of capacity and competition.