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Forecast Of Development Trend Of 2017 LED Industry

Jan 10, 2018

Government subsidies are narrowing. LED industry supply and demand structure will gradually improve


LED lighting as a new industry, since 2009, has been the country's "pet", subsidies are huge, and even some enterprises in a year to obtain government subsidies accounted for half of the performance, so that the profit. Statistics show that the three photoelectric as an example, as the LED industry "subsidized one elder brother", from 2010 to 2015 received various subsidy amount to exceed 3 billion yuan.


2016 LED industry main subsidy situation at a glance

According to the analysis, the expected development trend is, with the LED industry matures and Shuffle, "Thirteen-Five" period, the government gradually adjust subsidy policy, upstream chip subsidy is gradually narrowing. The government to narrow the subsidy, will be from the source of the industrial chain to inhibit the disorderly expansion of LED chip capacity, and is expected to transfer subsidies to LED lighting applications, will be from the demand side pull led industry chain, China led industry chain supply and demand structure will gradually improve.

LED Lighting market penetration accelerated small spacing display will usher in the outbreak

From October 1, 2016 onwards, 15W and above ordinary lighting incandescent lamps are prohibited to sell and import. This is interpreted by the industry as "ban white order" full spread, LED lighting products domestic market penetration will be further accelerated, is expected to 2017 LED lighting products Domestic market penetration rate reached 48%.


China's led penetration rate steadily increased


The substitution rate of the small spacing led to the DLP collage wall

2016 is a small spacing LED screen products flourish one year, and even appeared in the three quarter upstream of the goods, supply situation. 2016 small spacing indoor and outdoor LED total demand for 141.3 billion, and the current small spacing led capacity in about 70 billion, the future remains a large gap in supply and demand. We expect a small pitch display to break out in the next 2-3 years.

2017 small spacing led to DLP replacement rate can reach 40–50% above, to 2020 the replacement rate is expected to 70%-80%.

Led manufacturers of the new Blue Sea 2017 infrared led/laser lighting to meet the unlimited business opportunities

The global inclusion of intelligent mobile phones, tablets and wearable devices, such as imported biometric technology will continue to increase rapidly, due to Iris, face recognition and other applications using irled components, so that the future market growth potential. Estimated to 2020 IR led output value (without sensors) output value will reach 710 million U.S. dollars (about 4.711 billion yuan), the annual composite growth rate of 24%, become led manufacturers of the new blue Sea.

Forecast of development trend of 2017 LED industry

Samsung Note 7 Iris identification phone


Zhong Cun Xiu two laser lighting Laboratory

November 13, 2016, China Village repair two laser lighting laboratory in Shenzhen Jie. The light emitting area of laser illumination is smaller, the luminous efficiency is higher, the sense is easier to focus and the irradiation distance is farther, can be widely used in automobile headlamps and other fields. In automotive lighting applications, the world's leading brands, such as BMW and Audi, are making efforts to apply the technology to new products. However, due to the high cost of laser lighting, resulting in low application rate, I believe the future will be a big trend.

Backward production phased out LED industry from the era of excessive competition into a stable income era

Since the second half of 2016, with the circuit board, gold wire and other raw materials, such as the continuous sharp rise, as well as labor, rent costs increase, LED enterprises also "from the price war" to "value war." From 2016 onwards LED chip and package price increases, the logo led overall industrial chain shuffle basically end, industry from the era of excessive competition into a stable income era. It is expected that in the 2017, in the overall led industry in the cost of rising price cycle, some of the uncompetitive SMEs will gradually be eliminated from the market. Future orders will gradually focus on the major manufacturers, led industry, the large Evergrande phenomenon will become more obvious.


Three safety photoelectric started 2017 price increase first gun, January 10, 2017 up S-30MB/S-32BB series Price 8%


"Supply side reform" to strengthen, and further strengthen the elimination of intensity, the cottage business model will no longer adapt to the future led industry