LED industry lighting demand rose, chip factory is still at a low ebb

Recently, a number of institutions reported that the high prosperity of the LED industry has been confirmed, and the short-term callback has ushered in a golden opportunity for layout. Or affected by this atmosphere, the LED sector rose sharply today. Industry insiders said that both international first-line lighting giants such as Philips and Osram, and LED industry chain enterprises in South Korea and Taiwan are optimistic about the outbreak of the LED lighting market and continue to increase investment. In the January report, our view on the LED industry is 'Don't worry about demand in the first half of the year, don't worry about supply in the second half of the Year'. Recently, we have investigated the LED industry chain and entered the peak season of the industry in March, the strong orders of lighting manufacturers have verified the first half of our point of view, and the entangled mentality of chip manufacturers for expansion makes us more optimistic about the supply and demand relationship of LED chips this year. [img] /uploads/allimg/140315/105 G13207-0. jpg [/img] Demand for LED lighting is strong: the price of LED lighting products fell further in 2014, and the price of 5WLED bulbs replacing 40W incandescent lamps has reached 10- In the range of 15 yuan, the terminal selling price of 16WT8 lamps has also dropped below 40 yuan. In addition, lighting enterprises are actively competing for market share, and the shipments of LED lighting products have increased significantly, we predict that in 2014, the LED business of several large domestic lighting enterprises will achieve a growth of about 100, and the proportion of income will be close to 50; Investment in upstream chip equipment is still at a low ebb: Although the demand for LED chips has remained strong since the second half of 2013, orders from Veeco and Aixtron are still at the bottom of history, in the fourth quarter, the number of MOCVD shipments further fell to 40 units, reflecting that there are not many chip manufacturers who have real willingness to expand production; The expansion of chip factories is in a tangled stage: the strong demand for LED lighting has driven the demand for chips. In March, the first-and second-tier chip factories have basically entered the stage of full production, due to the expectation that Veeco and Aixtron two major equipment factories will introduce new equipment with higher cost performance, the chip factory is currently hesitating about capacity expansion, we expect this state to continue until the new MOCVD model is finalized, increasing the possibility of tight chip supply when the peak season comes.