Ministry of finance subsidies for the first time to promote the restart LED Market

After six months of "winter", the market seems to pick up the signs of LED.

Shenzhen LED Industry Association survey shows that in March LED market significantly better, the package, backlight applications, display applications, lighting applications company orders full, the downstream areas of strong demand also led to a substantial increase in the upstream of supporting materials. The person in charge, this is because the steady growth of Europe and the United States and other overseas markets, Japan after the "3.11" earthquake triggered a nuclear crisis, the government and the public on the energy saving and environmental protection of LED products to maintain a great deal of attention, LED lighting demand ushered in a large outbreak. The recent policy side to support the emergence of information, but also to the domestic LED companies to bring hope.

The policy of good news

At the end of March, by the national development and Reform Commission, Ministry of finance, Ministry of science and technology organization of the "2012 semiconductor lighting products subsidies promotion projects for the public tender in Beijing Schloss Schoenbrunn Hotel, determine the promotion of efficient lighting products enterprises, product specifications and price agreement. According to reports, a total of more than and 100 companies participated in the tender.

Promotion of the project is the Ministry of Finance for the first time the financial subsidies for LED product promotion subsidies, before is mainly aimed at the upstream chip companies to buy MOCVD (GaN metal organic chemical vapor deposition machine) subsidies. The tender includes indoor lighting products LED lamp, reflective self ballasted LED lights, and outdoor lighting products, LED lights, LED tunnel lights 4 categories of products.

According to China's phasing out of incandescent road map, from October 1, 2011 onwards, according to the size of the power, the five stages of the ban on the import and sale of incandescent lamps. According to the NDRC data, in 2010 the domestic sales of incandescent lamp 1 billion 70 million. Insiders said that the phasing out of incandescent lamps, alternative products will be the traditional energy-saving light source and LED lighting source two categories.

Development and Reform Commission is likely to invest 8 billion yuan this year to subsidize civilian LED lighting. According to He Zaihua, a senior researcher at the investment adviser, after the gradual ban on the import and sale of incandescent light bulbs, the promotion of energy-saving lamps become the main work of the government. Place on a step ahead, such as Guangdong province in 2012 will be gradually carried out indoor lighting subsidies, and planning to 2015, LED lighting for indoor lighting of Guangdong into 3; in the municipal lighting, the next two years will be more than 600 thousand LED lights for street lighting. Not long ago, the Foshan local LED enterprise nationstar, Wright, FSL, Midea, OSRAM and other 10 had just won the LED lighting engineering orders, the local home Bo, the total size of 100 thousand or more purchases, is expected to exceed 100 million yuan.

Market or after the first suppression

Data show that from 2011 to 1 in July, China's LED industry plans to add up to a total investment of 125 billion 618 million yuan, of which more than 40% of the funds are invested in a number of industrial sectors, and even the whole industry chain investment. More noteworthy is that non LED companies into the LED industry investment has accounted for more than 45% of the total investment projects.

"Many enterprises at home China subsidies related policy support and give the influx of LED upstream industry, resulting in the production scale expansion; on the other hand, the downstream end application market is not fully open, resulting in slow digestion of upstream products. Public Relations Manager Chen Xin said "honyar.

LED industry research firm LEDinside report shows that in 2012, due to the huge production capacity of the MOCVD chip manufacturers have not yet been fully released, the overall industry oversupply situation will continue.

He Zaihua said that in the context of overcapacity, industry consolidation is an inevitable trend. From the analysis of the whole industry chain of LED, the concentration of the upstream enterprises is the highest, the middle reaches is relatively concentrated, and the downstream application market is the most decentralized.

In his view, thanks to the rise in demand for LED backlight and LED lighting demand growth this year, the domestic LED industry will show a low before the high development trend. But overcapacity, especially in this part of the chip overcapacity phenomenon is particularly evident. According to the current development trend, at least until 2013, the domestic LED capacity to fully digest. "

Chen Xin believes that the digestion time is expected to be closely associated with the application of the market started. With the application side of the enterprise to comply with market demand for product development, as well as the gradual decline in the cost of manufacturing, excess capacity is expected to accumulate upstream accumulation. So LED downstream applications open up the market is critical. "

Cost is too high, the lack of core technology has been the bottleneck of troubled enterprises. In order to win from the competition, is the enterprise, The Eight Immortals Crossing the Sea gexianshentong. KingSun launched the "factory incubator" business model, to provide the core lighting module + intensive supply chain + professional solutions to partners, and partners do not need to use the KingSun brand, intended to break local protectionism and further reduce the cost. The more partners, the stronger the bargaining power of the upstream.

Swangoose electrical selection and upstream enterprises of Taiwan Dongbei cooperation intention, through the integration of industrial chain to reduce costs; at the same time, Hongyan in cooperation with the Hangzhou municipal government established the LED Institute of technology, technical innovation, intent on cost reduction. Channels in the market, Hongyan hope to use the traditional sales network to layout LED lighting sales.

Upstream new opportunities

"The overall cost of LED manufacturing is currently too high. A technical research and development personnel and market analysts said, so the upstream Technology