In the meantime, Mulinsen started the first round of price increases after the Spring Festival this year. Yesterday, Mulinsen insiders revealed that the price of some lighting lamps for Mulinsen will be raised by 15% and will be implemented immediately to reduce the pressure from rising raw material prices. In the meantime, Mulinsen started the first round of price increases after the Spring Festival this year. Yesterday, Mulinsen insiders revealed that the price of some lighting lamps for Mulinsen will be raised by 15% and will be implemented immediately to reduce the pressure from rising raw material prices. Earlier, in early January of this year, Xiamen Sanan Semiconductor Technology Co., Ltd. issued a price adjustment letter stating that the company decided to raise the S-30MB/S-32BB series of products from January 10, 2017, the increase is 8%. This is the re-price increase of Sanan Optoelectronics after raising the price of some small and medium-sized products by 10% on August 25 last year. At the beginning of last year, the LED industry started a wave of price hikes. First, Taiwan’s Jingdian raised the price. Then the domestic chip makers such as Sanan Optoelectronics and Huacan Optoelectronics followed the price increase. The reason for this round of price increases comes from the industry's many years of losses, and it is urgent to raise prices to return to reasonable profit margins; on the other hand, the small-pitch display and the rapid growth of the LED lighting market have digested the existing production capacity, the industry supply and demand have reversed, and the supply is slightly less than demand. Affected by the upstream chip, packaging companies have also proposed different levels of product price increases. The price wave has spread from the initial chip price increase to RGB lamp beads and lighting bead. Recently, it has spread to lighting manufacturers. Zhengtai Electric and Shilin Lighting have raised the price of lighting products by about 10%. Op Lighting has raised the price of all its lighting products by 15%. The LED industry has officially entered the full price increase period. As LED downstream applications continue to expand and market penetration gradually increases, emerging markets such as high value-added lighting, small-pitch displays, and automotive LEDs will bring incremental space to the industry, while at the current price level there is only one LED. Chip makers have entered a profitable state, second-tier chip companies are still below the break-even line, and the power of capacity expansion is still insufficient. In the future, LED prices will still have room for further small increases.
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