The 2018LED chip market wants to develop and restore the balance between supply and demand!

The sharp drop in China's LED chip prices in 2015 accelerated the transfer of LED chip orders to China, resulting in a sharp increase in orders from Chinese manufacturers in 2016, and capital expenditures were expanded in response. Compared with the trend that manufacturers in other regions gradually reduce their investment and even withdraw from the LED industry, Chinese manufacturers are still actively investing in the LED industry. In 2017, Sanan Optoelectronics and Huacan Optoelectronics, the leading LED chip manufacturers in China, recently lowered the prices of some LED chips one after another, announcing the official end of the one-and-a-half-year LED chip price increase cycle. Jibang Consulting LED Research Center (LEDinside) It is believed that the loosening of LED chip prices this time indicates that the supply of LED chips in the whole industry has reversed, and the LED chip market will resume the balance between supply and demand in 2018, however, as the new production capacity of LED chip manufacturers continues to be launched, the next two years will not rule out another staged oversupply. The sharp drop in China's LED chip prices in 2015 accelerated the transfer of LED chip orders to China, resulting in a sharp increase in orders from Chinese manufacturers in 2016, and capital expenditures were expanded in response. Compared with the trend that manufacturers in other regions gradually reduce their investment and even withdraw from the LED industry, Chinese manufacturers are still actively investing in the LED industry. In 2017, the main expansion of MOCVD equipment came from Chinese manufacturers Sanan Optoelectronics, Huacan optoelectronics and Aoyang Shunchang. Based on the capacity of 2-inch epitaxial wafers, Sanan, Huacan and Aoyang Shunchang have increased by 1. 3 million, 1 million and 830 thousand respectively, becoming China's top three LED chip factories. With the gradual opening of new production capacity at the end of 2017, the supply and demand of LED chip market gradually recovered to balance, therefore, Sanan, Huacan and other manufacturers have chosen to make strategic price adjustments for the more competitive lighting and display chips in the near future. Prior to this, chip prices have remained high for a year and a half. After this round of adjustment, LED chip prices are expected to enter a stable or slightly adjusted platform period.