China's LED industry has a large number of enterprises. After years of development, the overall progress has been made. According to the latest statistics from LEDinside, the annual output value of China's LED industry has exceeded 140. From a market perspective, Chinese LED companies have the following characteristics:
First, there is no absolute leading enterprise. The number of LED companies in China is large, and the scale of each enterprise is generally small. From the sales situation in 2009, there is no LED sales in China's LED industry with annual sales exceeding RMB 1 billion. There are only a few of the annual sales of more than 500 million yuan, and the annual sales of hundreds of millions of enterprises are generally 1-2 billion yuan.
Second, the LED display industry is developing towards maturity. According to the statistics of LEDinside, in 2009, there were more than 50 production displays in enterprises with an annual output value of over 100 million, and more than 40 enterprises mainly produced LED displays.
Third, the LED lighting industry is developing rapidly. In 2010, LED lighting has begun to ferment. Compared with 2009, the market demand has increased greatly. Enterprises that do LED packaging and LED display have also entered the field of LED lighting. At present, the number of companies that only do LED packaging in the Chinese market is very small, and most of the packaging companies have begun to develop and produce LED lighting products. The enterprise boundaries in the field of LED applications have become increasingly blurred, and the LED product lines of various companies have become longer and longer.
LED application enters the home, the picture shows LED color self-generated luminous faucet lamp
Fourth, the technical level continues to improve. Compared with previous years, the technical level of LED products has been greatly improved. Due to the fierce market competition, most enterprises occupy the market at a price, but at the expense of the quality of the products, the profit margin of the products has gradually declined. However, many LED companies have begun to increase their R&D investment and move toward high-tech, high value-added, and intelligent products. In the packaging and application side, some products of individual companies can already compete with international LED manufacturers.
Fifth, the overall profit of LED chip companies is low. LED chip companies are currently investing a lot in the overall, but in 2009 LED chip industry sales of only more than 2 billion yuan, and most LED chip companies are negative profits or no profits. LED chip companies reached 62 at the end of 2009. With the large-scale investment of LED chip companies and the introduction of technology in Taiwan and other places, it is expected that China's LED chips will have a very large development in the next few years.
6. Profits are mainly concentrated in LED packaging and application companies. China's LED packaging and application companies are numerous, with an overall output value of tens of billions. At present, LED packaging, LED display, LED lighting and other products have maintained a good profit level. In particular, the LED display market has begun to mature, and most of the companies with strong LED display performance have maintained sales growth of more than 50% in the past two or three years.
7. Exports occupy an important position. Especially in the LED enterprises in the Pearl River Delta region, many enterprises account for more than 50% of exports. Mainly because the price of LED products is still relatively high compared to Chinese consumers. The sales of LED application products in China are mainly concentrated in commercial lighting and municipal engineering, and the acceptance level of ordinary consumers is still at a low level.
Eight, LED mergers between companies are rare. At present, there are few mergers and acquisitions among LED companies on the market, and each company basically expands its scale by its own strength. Compared to thousands of companies on the market, the proportion of mergers between companies is negligible. The main reason is that the LED market is still immature and fully competitive, and most companies can find their own living space. However, compared with the small number of mergers and acquisitions, there are many companies entering and exiting the LED industry in China every year.
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