The development of China's LED industry industry transformation transformation and upgrading

China's LED industry started in the 1970s. Due to the late start, early domestic LED companies were mostly packaged enterprises. Epitaxial wafers and chips were all imported from overseas. LED products are mainly used in low-end fields such as signals, signs and digital displays. After more than 30 years of development, China's LED industry has initially formed a relatively complete industrial chain including epitaxial wafers, chip manufacturing, chip packaging and LED product application, and has become the fastest-growing transformation and upgrading in the global lighting industry. One of the areas.
In 2013, China's LED industry experienced a recovery after the financial crisis in 2012, becoming another rapid development year after 2010. In 2013, the global economic recovery and application demand recovery, as well as domestic energy conservation and environmental protection policies intensively introduced, under the influence of these factors, the domestic LED industry achieved rapid growth. According to the recently published "2014-2017 China LED Industry Market Research and Forecast Analysis Report" by the OFweek Semiconductor Lighting Network Center, the scale of China's LED industry reached more than 250 billion yuan in 2013, an increase of 34.17 compared with 2012. The year with the largest year-on-year increase after the year.
From the perspective of the industrial chain, in 2013, China's LED industry's growth rate of upstream epitaxial chips, midstream packaging, and downstream applications were significantly higher than the 2012 level. In 2013, the scale of upstream epitaxial chips in China reached 10.5 billion yuan, the package size of the middle reaches reached 40.3 billion yuan, and the scale of downstream applications exceeded 200 billion yuan.
According to the “2014-2017 China LED Industry Market Research and Forecast Analysis Report”, the gross profit margin of China's LED industry continued to decline in 2011-2013. The OFweek Industry Research Center believes that there are two main reasons for the decline in profits. First, the law of the industry itself, an industry can not maintain a development trend that is significantly higher than other industries' profitability for a long time; second, the increase in supply. In recent years, many enterprises have invested in the LED industry, which has intensified the competition of the supply side. Reduced the price of LED products, thereby reducing the level of profitability in the industry.
The OFweek Industry Research Center also pointed out that at present, from the perspective of the profitability of different industry chain links, the average gross profit margin of the upstream link is the highest, followed by the downstream application enterprises, and the lowest in the midstream package enterprises.
To learn more about the current status, market segments, trends and prospects of the LED industry, please subscribe to the "2014-2017 China LED Industry Market Research and Forecast Analysis Report" published by OFweek Industry Research Center. "Report" detailed analysis of the global LED industry development status and prospects, China's LED industry development status, MOCVD equipment market, LED epitaxial chip industry market conditions, LED packaging industry market conditions, LED industry segmentation applications (general lighting, landscape lighting, Backlight applications, display applications, etc.) Market conditions, the operation of well-known companies in the LED industry at home and abroad. In addition, in the Report, the OFweek Industry Research Center also forecasts trends and prospects for the LED industry.

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