LED lighting industry overcapacity emerging

In the energy-saving emission reduction and the concept of low-carbon economy, Zhongshan LED lighting industry has risen. On one side, it is a real investment, while on the other side it is the constraints of core technology and equipment.

“The ancient town even had more than a dozen of LED lighting products.” Zhongshan Inspection and Quarantine Bureau believes that the 2010 Zhongshan energy-saving lamps export value of up to 215 million US dollars, while LED lighting is only 42.292 million US dollars. The export of energy-saving light sources in Zhongshan has seen a significant increase in exports. A large number of companies have flooded into the field of LED lighting. Overcapacity caused by overheated investment has attracted attention. A LED industry reshuffle due to technology and cost will be inevitable.

Investment "Great Leap Forward"

In 2009, Guzhen had more than 100 companies such as packaging and accessories, and the LED output value exceeded 3.5 billion yuan. This number was rampant in 2010. Huang Zhitong, director of the Guzhen Economic and Trade Office, introduced that in last year, there were 350 LED packaging and application companies in Guzhen. The output value was between RMB 6 billion and RMB 8 billion. “As well as companies around Xiaolan and Henglan, Estimated at least 500."

According to Liu Zhihong, director of the township office of Zhongshan Inspection and Quarantine Bureau, the growth rate in the past two years is about 50%. In the first quarter of this year, 3063 energy-saving lamps passed inspection and export in Zhongshan area, with a value of 42.282 million US dollars, a year-on-year increase of 4.2%; and 326 batches of LED lighting products with a value of 7,291,000 US dollars, an increase of 48.3% year-on-year.

Commercial civilian promotion difficulties Zhongshan Inspection and Quarantine Bureau believes that the export of energy-saving light sources in Zhongshan has gained momentum. A large number of companies have flooded into the LED lighting industry. Overcapacity caused by overheated investment has attracted attention.

“The ancient town even had more than ten yuan of LED lighting products.” Liu Zhihong said that the ancient town lighting companies have launched LED lighting products, but the high initial investment did not bring huge profits. LED lighting single product at least hundreds of dollars, "the domestic consumer structure also determines the possibility of its popularity in the household sector is not too big." Liu Zhihong believes that the domestic second and third-tier cities have not heard of LED commercial lighting, will not spend more The high cost replaces existing traditional fixtures. Although the township LED industry has at least 6 billion yuan in output value, but the first quarter of this year's exports were only 7.291 million US dollars.

Xiaolan Taiteng Lighting Co., Ltd. is the third largest LED lighting manufacturer in the world. “The product is 100% exported.” Chairman Tong Shiquan said, “The application of LED lighting only exists in large supermarkets, entertainment facilities, and buildings in some developed cities in China. Or road lighting project."

Contained high prices According to industry insiders, 3 years ago, the 40-watt LED lamp factory price was about 300 yuan, most of the products are now priced between 140-160 yuan, basically maintaining the annual decline of 20% -30% .

At present, the largest competitor of incandescent light bulbs sells for only $10. "If the price of LED light is reduced to 40-60 yuan (3 times that of incandescent light bulbs), consumers will be able to accept it." Tang Shiquan thinks that this is not realistic at the moment. "Because of the nature of LED lighting, it cannot completely replace ordinary energy-saving in the home." light".

Looking back at the weakness of technology, many LED companies in Zhongshan have to face an “old” problem—the technology content is not high, the innovation ability is low, and the core competitiveness is lacking.

In the LED industry chain, purification - slicing - encapsulation - application of the four links, the lower the profit down. In fact, Zhongshan LED companies are generally concentrated in the application field, and the packaging is only a few enterprises such as Mulinsen, Shanmu.

Liu Zhihong stated that Zhongshan LED enterprises lack of innovation capability, "long-term dependence on imported core technology, high cost, affecting the development of LED lighting industry." In the application, there are also many problems, "a lot of products have not rushed to the relevant test To the market." Once the new products are sold well, they will be plagiarized immediately and profits will decline rapidly.

Even for large LED companies with some patents, they are not too optimistic. Tang Shiquan said frankly, “We want to reduce costs, we cannot rely on foreign countries, and we have to rely on our own technological breakthroughs. It will take at least a decade before we can see.”

Energy-saving lamps are still the mainstream of light industry should be a reasonable layout "We hope to give this investment hot cold water." Liu Zhihong said that at this stage energy-saving lamps are still the mainstream of energy-saving products, Zhongshan energy-saving lighting industry planning needs a reasonable layout.

The Secretary of the Guzhen Town Chamber of Commerce and District Decheng also admitted that the LED lighting industry has a mixed situation. He also believes that the energy-saving lamps at this stage is the mainstream of the market. “Because of the guidance of the national policy, a large number of enterprises wishing to receive state subsidies will invest funds. In contrast to LED lighting, the investment in compact energy-saving lamps is insufficient.

As the largest energy-saving lamp production base in Guangdong Province, Zhongshan exported a value of up to US$215 million in 2010, while LED lighting was only US$42.292 million. "From the point of view of domestic and foreign market demand and energy-saving emission reduction requirements, energy-saving lamps are still the best choice for replacing high-energy products such as incandescent lamps and halogen lamps."

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