LED industry pattern shows polarization trend1

The LED industry is a mature industry. After the formation of the upstream chip giant pattern in 2017, the competition will shift from the pure production capacity to the situation of equal emphasis on technology and scale; In 2017, there is still room for the price of chips and packaged devices to rise, and there is little room for the price of LED application products to fall. It is expected that the growth rate of the market scale of the LED industry will increase from about 10 in 2016. After experiencing the fierce commercial war in the past two years, the prices of some chips and lamp beads in the LED industry have risen recently. According to the prediction of Luo Huanta, a person in the LED industry, LED price increases may be difficult to sustain, and industry concentration may increase in the future. The LED industry is a mature industry. After the formation of the upstream chip giant pattern in 2017, the competition will shift from the pure production capacity to the situation of equal emphasis on technology and scale; In 2017, there is still room for the price of chips and packaged devices to rise, and there is little room for the price of LED application products to fall. It is estimated that the growth rate of the LED industry market scale will drop from about 10 in 2016 to less than 5 in 2020. In addition, LED's future industry scale advantages and brand advantages will become increasingly obvious, and industry concentration will increase rapidly, which provides broad growth space for leading enterprises. Judging from the performance of the three quarterly reports that have been published, the LED industry has seen a trend of differentiation between Chinese and foreign companies. In the LED epitaxial chip link, the performance of Chinese enterprises represented by Sanan Optoelectronics and Huacan Optoelectronics has maintained steady growth. In the LED packaging process, the packaging companies represented by mulinsen, Hongli Zhihui and Guoxing Optoelectronics all showed a situation of increasing revenue and profits in the first three quarters. However, at the lighting application end, domestic large factories represented by sunshine lighting and Foshan Lighting have not been affected by market competition. Through automatic production line introduction, supply chain and management cost control, both revenue and net profit show a two-way growth trend. However, in contrast, international companies including CREE and Philips have experienced weak revenue and net profit growth, and even negative growth.