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After The Shuffle LED Lighting Enterprises Show Considerable

Jan 10, 2018

2014 LED enterprises in the number of more than 20,000, but only after a year to reduce 20%, 4,000 enterprises to exit the market. 2015 China in the "social transformation period", focus and difficulties increased, boiling point and ignition drop, GDP growth below 7%, the emergence of the 25-year minimum growth rate. In such a large environment, led industry experienced overcapacity, price warfare and product homogeneity and other fierce competition, the industry polarization is obvious: large enterprises through mergers and acquisitions scale further bigger, and small and medium-sized enterprises are difficult to survive. 2016, led industry appears a little warmer signs, many enterprises to increase product prices. March, Mulinsen, Crystal Taiwan and other packaging enterprises for some products to increase prices. May, the crystal power in the case of 25% reduction in output, the price rose 15%. August, three-an photoelectric small and medium-sized product price floating 10%, Huazan photoelectric also on the lower profit price of the product adjusted up 5%. Mulinsen, the state Starlight and the letter Tatsu photoelectric screen with RGB lamp beads to raise prices, the increase is around 5%. For a time, led industry staged a "price binge", let people excited. OP Lighting released 2016 annual performance letters, the company 2016 total operating income growth of 22.55% per cent, Foshan lighting 2016 revenue over 3.3 billion, net profit significantly increased more than 19 times times. In terms of the LED industry cycle, after 2015 years and 2016 of industry depth integration, supply side reform has been relatively full, into the 2017 led will usher in a boom inflection point.

After the shuffle LED lighting Enterprises show considerable

From the upstream supply of the LED, industry capacity concentration accelerated, and the formation of higher industry barriers, to curb disorderly capacity expansion, the mid-end packaging technology innovation, reduce costs and improve efficiency; At the same time, the industry downstream in the automotive, lighting, small spacing LED display and the new application of the Internet and so on to flourish, The entire industry chain industry is expected to open a new round of growth. Entering the 2017 New year, with the further deepening of the supply side reform, after the merger of the LED enterprise optimization upgrade, the relationship between supply and demand will be further improved, low-end backward production capacity will be further eliminated. Recently, led enterprises have frequently heard positive news, Osram Ledvance sale case or will be approved by the Government of Germany, Mulinsen to build "Xinyu LED lighting supporting components project", million run technology set up a wholly-owned subsidiary. In the early stage of the deep shuffle, led industry upstream (Chip), midstream (encapsulation), downstream (application) is ready to be issued, New Year or usher in an increase in the performance of the inflection point.

After the shuffle LED lighting Enterprises show considerable

Upstream: LED Chip

Industry concentration increase higher barriers curb capacity nothingness expansion

2015, led whole industry chain mergers and acquisitions integration case has more than 40, involving a large amount. Jinsha Venture Group acquired the Royal Dutch Philips Company's Lumileds, the development of the crystal acquisition of the Liard, the United States, the acquisition of flat-Tatsu electronics ... After the acquisition of the LED industry concentration increased significantly. 2016 LED chip market size of 13.9 billion yuan, the year-on-year growth of 9%, 2015 is a year-on-year decline of 7%.

After the shuffle LED lighting Enterprises show considerable

From the supply side, the mainland enterprises 2016 years YoY 13%, Taiwan is-2%, indicating a rapid increase in domestic rate. Localization rate of 2014 is 66%, 2015 is 73%, 2016 is 76%, domestic rate is always in the growth state. 2017 mainstream manufacturers will continue to expand capacity, in the next period of time the chip domestic rate will be further enhanced.

LED industry chain supply side reform has been relatively full, 2016 years ago, the top ten manufacturers accounted for 77%, the first three were three (29%), Crystal Electricity (13%), Huazan (8%). Higher concentration of industry can effectively curb capacity expansion, enterprises have a strong bargaining power, while promoting professional production efficiency. At the beginning of the new year, the domestic led chip leader three photoelectric to the downstream release price notice, on January 10, 2017, the increase in some product prices, the increase of 8%. The price increase of three-an photoelectric is due to the cost, on the other hand, with the promotion of market concentration. LED chip industry concentration in the future is expected to continue to enhance the formation of oligopoly, forming a strong and constant market.

Full of "political" energy four enterprises have been awarded more than 144 million

The advent of the new Year, 4 led companies issued a notice that received government subsidies, 4 companies announced the amount of government subsidy of more than 140 million yuan. Among them, the upstream led Chip Enterprise Huaneng photoelectric wholly-owned subsidiary Yunnan Crystaland Technology Co., Ltd. recently received Yuxi HONGTA District Finance Bureau 20 million yuan subsidy , the orchid Micro-holding subsidiary of Hangzhou Orchid Integrated Circuit Co., Ltd. received a transfer of the financial Bureau of Hangzhou Economic and technological development zone 8-inch integrated circuit chip production line equipment funding 60 million yuan. Since 2009, a number of LED enterprises have been subsidized by the Government, as of January 22, 2017, three security photoelectric cumulative subsidy of 358.5 million yuan, Huazan photoelectric received 222.56 million yuan, BDO run up to 14,201.460,000 Yuan. In fact, after a round of shuffling, the government subsidy has changed: the current only for those who can become a leading enterprise subsidies, subsidies have narrowed, some small and medium-sized enterprises are less likely to take subsidies, the trend of the fittest.

After the shuffle LED lighting Enterprises show considerable

2017 LED chips in short supply, leading stability benefits

From a global perspective, with the 16 to the basic completion of inventory, the 17 Apple led the strong demand for smart phone stock, coupled with automotive electronics, industrial terminals and other emerging markets led, chip sales continued to heat up. With the help of the strong national will, the rapid development of the mainland semiconductor industry, the trend of global capacity to transfer to the mainland is obvious. At present, our country has formed a complete IC industry chain from design, manufacture and seal to terminal, under the support of National industry fund and Capital Market platform, usher in the best development opportunity. The market characteristics of 2017 industry demand is obvious. It is expected that the future of chip enterprises ' bargaining power will be improved, leading enterprises stable income, which will help to enhance the chip industry market concentration.