LED street lamp industry tends to pick up after the winter

The LED industry pointed out that in 2016, the LED terminal lighting market will pull the goods back and the mainland LED packaging factory will continue to release the expansion plan. It is estimated that the output value of the mainland LED packaging will grow by 7-8% in 2016. Among them, at the end of 2015, the monthly production capacity of China's leading LED packaging company mullinson reached 35 billion. After the production of Ji'an SMDLED packaging plant, the monthly production capacity in 2016 will move towards 50 billion.

After Hongli optoelectronics expanded its LED packaging capacity and acquired smed, its monthly LED packaging capacity in the first quarter was about 2.2 billion, and its subsidiaries are expected to increase their capacity by another billion in 2016. Guoxing optoelectronics also announced the expansion plan, which will increase the LED packaging capacity by 20-30% from the original 4 billion.

Due to the slowing growth of global LED packaging market, the revenue of many international large-scale factories has declined significantly. Among them, lginnotek and Cree are affected by the adjustment of inventory. In 2015, the revenue has declined by 25% and 20% respectively. The market share of International LED large-scale factories in the mainland market has declined significantly. In 2015, the market share has been less than 40%. As for the mainland LED packaging factories, with the improvement of technology and strong expansion of production, the overall packaging output value and market share are both Grow up.

The global demand for LED lighting has gradually increased. Recently, the price of LED lighting and components has slowed down. The price of the mainstream medium power 2835 LED products in the market has dropped by about 1-2% in a single month. As for the medium power 5630 LED products, the price of the single month has dropped by 5% after Lumileds and other large international manufacturers joined the war. Although the price of medium power LED is close to the cost line and some small packaging factories have exited one after another, in 2016, in order to pursue the advantage of production capacity and scale, the mainland led factory actively launched the merger and acquisition offensive and expanded the price war.

In recent years, the capacity expansion of Taiwan LED packaging plant has slowed down significantly due to the erosion of profits. Only the new factory of Yiguang Miaoli Causeway was put into operation in the second quarter, but the market of automotive LED was locked, and the new factory of Dongbei Wugu was put into operation in the third quarter. The Taiwan LED industry pointed out that under the trend of low price in the consumer LED lighting market, the competition in the LED market is severe, the price drop in the second half of 2016 may expand, and the pressure on manufacturers to make profits may increase significantly.