LED industry is over-investment in Guangdong Province

The 2011 Guangdong Province China LED lighting industry output value of 150 billion RMB, compared to 2010, there has been increased dramatically. However, this upgrade is a large number of enterprises, a lot of money into the results from the operation of the enterprise itself, the situation is not optimistic. LED industry listed companies reported 2011 third quarterly, revenue and profit growth of listed companies of the third quarter, LED almost across the board on the downward trend. Many LED listed companies from the government heavily subsidized, otherwise, the quarterly reports will be more ugly.

Shenzhen LED Industry Association data show that the closure of LED manufacturers in Shenzhen last year, more than 80. One time, "LED overcapacity on the" hanging over the entire LED industry.

At this stage, China's LED lighting products, the main market is still concentrated in developed markets in Europe and America, especially in Europe. Europe and the United States the economic downturn, wholesale LED watch export is blocked, leading to the more difficult of the entire industry. Guangdong as a national leader in the LED industry, the impact is more obvious. This stage is far from talking about the LED lighting industry excess capacity. The early stages of development of any new industry will get together investment when there are 250-300 home enterprises launched the production of TV, now only six. Hand of the market will play a role. "

LED industry outlook for all to see, can not judge the capacity of excess short-term market performance. Guangdong Province and the country on the LED industry, the middle and lower reaches of the existence of a certain lack of coordination, but the overall demand, the capacity not to mention the excess. Compared to concerns about overcapacity, more should pay more attention to the LED industry to improve the quality and innovation capacity building, as well as how to substantially reduce costs. Reliable quality, independent intellectual property rights, there is no decline in the cost of LED lighting industry, it is difficult to achieve a breakthrough.

Statistics show that the present, the LED in the field of patent applications in Guangdong amounted to 9121, LED license number of patents for 1270, first in the country, which indicates that Guangdong Province LED enterprises in independent innovation, to produce a good report card. LED business in the core area of ​​intellectual property have a bigger breakthrough in order to avoid the patent wars and transnational giants.

Russian lighting industry market overview

   Energy-saving products classification. Russia energy-efficient wholesale LED lighting bulbs products are the following:
First, improved incandescent lamp (points A and B, two), or halogen. Products can save 20-45%, 2-3 years of life, the prices of 2.5-6.5 U.S. $ / only. The other is the compact fluorescent lamps. Product energy-saving of 65-80%, 6-20 years of life, the price of 6.5-26 USD / only. Finally, there is the light-emitting diodes, also known as LED lights. Can be saving 80-90%, the price is 13-52 dollars /.

    2, the institutional arrangements. The Russian government enacted in 2009: "to the 2030 Energy Strategy Platform, which provides for January 1, 2011 ban on the sale of incandescent lamps of 100 watts and above the 2013 ban incandescent lamp of 75 watts and above, 2014 25 watt incandescent lamp from the shelf scored. Sentence of the "Sentences" of incandescent lamps.

    3, the market situation. The statistics show that in the past few years, the Russian market incandescent consumption remains at 800 million / year scale. Incandescent lamp sales have fallen sharply last year, only sales of 500 million. Fluorescent light sales continued their upward annual sales of $ 200 million. LED lighting products market share of only 4% ($ 180,000,000), but the growth is obvious.

Philips forecast: Russian lighting market demand in the next few years will be 48% annual growth rate of LED and updating traditional incandescent.Wholesale cheap LED flashlight products in 2015 is expected to reach one billion U.S. dollars in market size, share of international markets will also be positioned at around 5%.

China spend 8 billion financial subsidies to the LED lighting industry

In the "12th Five-Year" period, China will arrange 80 billion yuan of central extra budgetary funds to purchase 4 million China LED lighting products, which will bring not less than 30 billion local matching funds.

Due to high prices, the desire for a huge demand for LED lighting industry, the policy of subsidies. Procurement plans at the national level, will greatly boost industry confidence is expected to accelerate the recovery of the LED industry.

Statistics, the stock of Chinese street lights at 28 million -3000, 10000. In recent years, the annual number of new street lights from 15% to 20%, about 3 million -600, 10000.

LED street and tunnel light installation is about more than 500,000 lights in 2010, 2011 installed capacity of less than 1 million annual increase in more than 50%. Expected that the 2012 China LED gadgets will last a higher growth rate of installed capacity up to more than 1.5 million.

The assumption that the annual new street lights are all LED lamps, the price of 1000-2000RMB calculation, the annual increment in the three billion -60 billion RMB.

How to deal with the strong challenge of the traditional lighting giants

The traditional lighting giants did not stop the pace of integration in the field of new light source LED. In the past year, OSRAM on the acquisition of three companies in SITECO, Encelium, TRAXON. The acquisition last year enhanced its strength in the field of control systems, lighting management systems, lighting design, it has a downstream customers and team of designers and other valuable resources in these enterprises, and sales network will also be further improved.

Philips acquired LUMILEDS company, completed the layout of the upper and middle reaches, within the next few years, it acquired more than 10 enterprises to focus on the LED segments. GE acquisition of LED electronic drive pioneer Lightech company's message also attracted industry wide attention.

In any case, in China LED lighting applications market, the domestic LED lighting applications enterprises directly facing the strong challenge these traditional lighting giants.

First, the traditional lighting giants giants has substantial capital, even through the acquisition of means of access to technology sources, can also be heavily Careers. In fact, in the laboratories of these companies, the more advanced LED lighting products have been forming, they just do not want to push the market as soon as possible, otherwise it will shorten the cycle of the profits of the energy saving lamps.

Secondly, the traditional lighting giants fairly thorough understanding of the lighting. LED lighting, LED only source of technology, the lighting is the end-result. Domestic enterprises it comes to LED lighting will think of the light efficiency and conservation, in fact, this is the surface is more important is the insight of the lighting itself. This includes the color temperature, color rendering, light failure, cooling, installation environment, the understanding of a range of parameters, after all, is the greatest reward of the lighting is comfortable.

Finally, the traditional lighting giants have a strong brand and channel resources, which is a short board with a huge LED domestic enterprises. The influence of the brand not tired out, energy saving lamps, for example, many consumers only look for Philips, Osram brand. Channels, on the one hand, sales outlets, on the other hand, including after-sales service network, the former to provide consumers with the convenience of purchase, which provide consumers with the convenience of maintenance. Both are indispensable, especially the latter, shape plays an important role on corporate brand.

LED lighting profile as a global battlefield, market competition will become more intense. Currently, LED commercial lighting still in the early civil lighting has not been activated, lighting applications such as LED wrist watch is in the lactation, and the traditional lighting giants are still trying to achieve transformation. Therefore, China's LED lighting applications enterprises to seize the strategic opportunity, filled the short board, seek to gain advantage in the traditional lighting giants before the transition, so as to grasp the initiative in future competition.

2012 China LED street lights output will reach 1.22 million

China LED street lamp output reached 680 000 in 2011, an increase of 58%, including domestic LED lights installed capacity of 530,000, an increase of 51%. Expected that the 2012 wholesale cheap LED lights total output will reach 1.22 million, an increase of 79 percent, domestic installed capacity will reach 850,000, an increase of 60%.

Compared to previous years, the acceptance of LED street lamp has been greatly improved, promotion model has gradually demonstration and extension of the evolution for the popularization. LED SMPS has been an important factor for LED street lights to promote speed. 2011 LED street lights to promote the situation, LED lights is the public recognition, one of the main LED SMPS has been greatly improved in performance.

2012 China LED street lamp output will reach 1.22 million, an increase of 79%. Most critical part of the LED street lamp, LED street lamp drive power in 2012 also with the rapid adoption of LED lights has been the rapid development of technology, financial strength as a support LED SMPS enterprises, will be an opportunity .

2012, with the pressure of energy saving increases, the government began to use LED lights. Local governments to speed up to promote the LED lights and cheap China LED flashlight. Chongqing plan within two years to install 50,000 LED lights; Zhengzhou in 2015 to promote the installation of 78,000 LED street; Yangzhou, Jiangsu Province plans to 2015, 100 percent of the roads lighting, residential lighting use LED lighting products, 30 percent of the city main road lighting, using LED lighting products, LED street lamp demand for $ 50,000; the end of 2012, Hainan plans to the province's 210,000 street lamps to replace LED street; Zhongshan, Guangdong closing in 2011 the towns to install LED street lamp has reached 16 000 light, planning to the end of 2012, the total LED lights up to 50000; the Foshan strive to LED street lights use 120 000 in 2012.

Not only China, in 2012, many foreign countries have already started the energy saving plan, the promotion of LED lights is one of the main measures of the energy saving plan.

China LED lights market has great potential

China is in a period of rapid development of urbanization, the urban population annual net increase of more than 10 million street lights each year will grow by 1.2 million to 1.5 million. If the city's new street lights using cheap LED lights, some of the old street lamps and landscape lighting to LED lighting, the potential and prospects for the development of which can be imagined.

The first is to promote the construction of residential LED lighting. As a big country of the construction industry, new construction is two billion square meters per year, equivalent to half of the world of new buildings in China, each building unit must be at least 20 lights. "12th Five-Year" period, the government should cover the protection of housing to 36 million units, which will have 600 million potential applications of the LED lights.

According to expert estimates, if 30% of the lamps use LED lighting, you can save more than 1000 billion kWh. Compared with other energy-saving projects, the potential of LED lights is even more impressive, such as 50% of the national motor to high efficiency motors can be energy-saving 3.4 billion kWh of electricity.

Application of the vast rural market potential. The most pressing is nearly more than 20 million rural households lack of electricity, less electricity, if farmers use solar energy and LED integration to replace the large power grid, the annual savings will reach over 500 billion kWh of electricity. Household solar and LED lighting integration combined, only 1600 yuan per household can solve the lighting problem, and relatively low maintenance costs. Plus 20,000 small towns accounted for nearly half of the urban population, the wholesale LED Gadgets market capacity is enormous.

LED industry slowdown in the application field of the fastest growing

According to the National Semiconductor Lighting Project R & D and Industry Alliance (CSA) data show that, in 2011 the total scale of China's LED industry reached 156 billion RMB, an increase of 30%, a slight slowdown in growth. ChinaVenture Investment Group and other emerging industries, the LED industry is currently experiencing a stage of overcapacity pains. Temporary predicament conceal a bright future, the backdrop of the energy saving, low energy, low-emission model, cheap LED lights industry, investment opportunities highlighted.

2011 was a year of ups and downs of the development of LED industry, despite the international macroeconomic situation continued turmoil in the domestic industrial investment situation is still grim, China's LED industry still maintained a certain growth rate. According to the National Semiconductor Lighting Project R & D and Industry Alliance (CSA) data show that, in 2011 the total scale of China's LED industry reached 156 billion yuan, an increase of 30 percent, a slight slowdown in growth. Epitaxial silicon in which the upstream, midstream package, the size of downstream applications were 6.5 billion yuan, 28.5 billion yuan and 121 billion yuan (see Figure 1).
  
Figure 1 2006-2011 China's LED industry, all sectors of industrial scale

In recent years, China's LED industry is developing rapidly, forming a complete LED industrial chain system in support of national policy and downstream applications, driven by demand. The LED industry chain, including upstream of the substrate, epitaxial wafers and chips, package of midstream and downstream of the lighting, display backlighting and other applications. LED industry focus on listed companies, such as shown in Table 1. From the industrial chain, the overall size of the 2011 LED applications for the 121 billion yuan, with an overall growth rate of 34.44%, which is the fastest growing aspects of the LED industry chain.

Related enterprises should increase investment in research, to break through the core technology, and continue to reduce production costs, improve product value for money, popularity of the application of China LED Flashlight in more areas. The same time, relevant departments of the State as soon as possible to industry standards and related support policies, and policies to guide the LED industry towards a more healthy and orderly development.