Luxsky Lighting Co.,Limited

Tel:0086-755-82590839
Contact US
Address: C&H Building, Wanda Industrial Park, Shiyan Town, Bao'an district, Shenzhen City, China
TEL: +86-755-82590839
+86-755-33654459
FAX : +86-755-33654451
Home > Exhibition > Content
LED industry supply and demand improvement 2017 chip will be in short supply
- Jun 03, 2017 -

Sanyo Optoelectronics recently released price increases, raised S-30MB / S-32BB series of product prices 8%, started the first shot in 2017 LED chip prices. Industry sources said that due to the decline in supply side capacity, while the steady increase in demand, LED chip in 2017 will be in short supply situation.

 San An photoelectric recently released price increases, raised S-30MB / S-32BB series of product prices 8%, started the first shot in 2017 LED chip prices. Industry sources said that due to the decline in supply side capacity, while the steady increase in demand, LED chip in 2017 will be in short supply situation.

Supply and demand improvement

2016 years ago, LED chip manufacturers have to expand their business, resulting in significant excess capacity, prices continued to decline rapidly, making the LED industry drastic changes. Many poor management of small businesses due to technical backwardness and other reasons, have cut or transformation, a large number of LED companies out of the market; the same time, the state MOCVD equipment subsidies to reduce the lack of funds for small businesses unable to expand production. Overseas LED chip manufacturers are also a substantial decline in profits, product gross margin is low.

However, since 2016, with the steady growth in demand, LED industry supply and demand gradually improved, the recent emergence of product-intensive price increases. Insiders told the China Securities Journal reporter, not only is the LED chip prices, the screen is also up. Prior to the manufacturers demand forecast is too conservative, resulting in lack of capacity preparation; the same time, intelligent products to expand rapidly, the chip screen and other products, a substantial increase in demand. These factors are superimposed, making the supply and demand intensified.

San'an photoelectric prices on the one hand is the cost of the reasons; the other hand, with the withdrawal of small and medium manufacturers, LED chip industry is mainly concentrated in the hands of several large manufacturers, the seller position more powerful.

Increased concentration

Experts said that LED industry after deep shuffling, the supply side of the reform more fully.

From the LED upstream, the concentration to accelerate the upgrade, the formation of higher barriers to the industry, to curb the expansion of unordered capacity; at the same time downstream application innovation to drive the development of industrial chain. From the current situation, LED lighting to accelerate penetration, LED lighting intelligent, network-driven small-interval display market to accelerate the outbreak, a new round of LED industry, the main driving force for growth.

It is estimated that by the end of 2017, LED chip effective capacity of about 83.28 million, the demand for about 92.35 million. Among them, the demand for lighting chip 47.04 million, an increase of 20%; outdoor full color display demand 26.02 million, an increase of 5%; indoor small demand for 102 million, an increase of 50%; mobile phone backlight demand 1.39 million, Tablet PC backlight demand 44 million, computer and television backlight demand 699 million, automotive lighting demand 1.06 million.

The industry believes that LED chip production capacity is still lower than demand. Taking into account the steady growth in demand in 2017, LED chips will be in a state of short supply.

San'an photoelectric as a link in the chip, is the only engaged in full-color LED chip production enterprises. The company actively expand production capacity, by the end of 2017 is expected to have 400 MOCVD equipment. Philips, Seoul Semiconductor, LG, Samsung, CREE and other overseas LED giants have been basically discontinued, the new demand outsourcing to San An, the company overseas customers orders are expected to further enhance.

 LED Linear lights.jpg

http://www.luxsky-light.com

 

Hot products:Recessed profile lighting bar,LED linear sensor lamp,IP65 tri-proof light,Linear pendant high bay,linear pendant lights,LED linear module lighting system