Many enterprises in the LED industry have merged and closed down
Looking back on 2014, many enterprises in the LED industry have merged and closed down. Many manufacturers have taken strategic changes or organizational adjustments in response to the rapidly changing market. Research Institution Jibang technology (Trendforce)
Chu Yuchao, research associate of the green energy business department, said in the LEDforum2014 meeting that the rise of manufacturing plants in Asia, especially in China, has prompted rapid market changes and driven low-cost lighting, bring significant impact and change to the industry.
Yuchao, research associate of Jibang Science and Technology green energy business division, said: LEDinsideLED lighting promotes market growth. Alternative products are the mainstream. Yuchao said that the price competition in the Asian market is quite fierce, and it is difficult to maintain a fast and high growth rate, it is conservatively estimated that the LED packaging market in 2014 will be about 14. 6 billion US dollars, and the annual compound growth rate by 2018 will be only about 3. 5%. 2.
Among them, LED lighting applications are large, with a revenue of about 4. 8 billion US dollars in 2014 and an annual compound growth rate of 12, becoming the key growth momentum of the LED market.
At present, LED lighting applications account for a high proportion of replacement light source products such as bulb lamps and lamps. LED packaging types are in response to demand, and medium power is also the mainstream application.
For the European and American manufacturers that originally focused on high power, they are actively seeking the trend of Asian manufacturers ODM or OEM. Chu Yu believes that the overall situation of the lighting market has been fixed, and manufacturers are developing low-cost solutions.
LED specification standardization scale production attack low-cost low-level market with the advent of low-cost lighting era, manufacturers continue to introduce cheaper solutions.
The reasons why manufacturers are able to adopt low prices, including economies of scale production, fully automated production, and the emergence of new operating modes, have caused the prices of LED lighting products to continue to fall.
Judging from the market of LED package components, high-order lighting applications design different packages for various product types to achieve suitable effects;
The medium and low-level applications are developing towards the standardization of LED specifications, attracting manufacturers from mainland China, Taiwan and Japan and South Korea to follow up and rushing to attack the medium and low-level markets, among which 2835 and 3030 specifications are favored by manufacturers.
Taiwan, Japan and South Korea LED Factory focuses on 3030, with EMC bracket as the main application;
2835 is the main specification of LED manufacturers in mainland China. Through the standardization and scale production of LED components, the cost performance is quite high.
In order to compete with the Chinese mainland 2835, the Taiwan factory will open the 3030 from the original 1W specification.
The 5W specification increases the market quantity of 3030.
Automated production reduces assembly costs by 50%. The new operating model impacts the market. Another market trend is to introduce fully automated production lines.
Since the second half of, some large assembly plants in mainland China have begun to introduce automated production lines, which can reduce assembly costs by 2013.
However, the specifications and solutions of each LED bulb lamp or lamp tube are different and cannot be standardized. In addition, the introduction of automated production lines requires huge funds, which makes automation difficult to implement quickly.
The lighting industry is big, Evergrande, and the number of large factories is getting bigger and bigger, and the cost is getting lower and lower.
In response to the era of low-cost, mainland Chinese manufacturers have actively promoted many new operating models, such as e-commerce channels, which can solve the problem of high price of LED lighting products.
In addition, for example, the operation mode of the LED lighting alliance through the series of components suppliers in mainland China, according to the specifications, will also cause certain lethality to the market.
The various pressures brought about by the rise of Chinese mainland manufacturers have made the LED industry face a severe test.
Next, to gain an advantage in the red sea of price competition, or to find a blue ocean to invest in niche or emerging markets, we must carefully consider and layout.