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Challenges and future trends in the development of the LED

Writer: admin Time:2021-08-13 21:20 Browse:

1, the industry development trend


The world has initially formed in North America, Europe, Asia, three regions as the center of the industrial pattern, each in different areas has substantial advantages. The United States, Japan, Germany, represented by the LED lighting industry chain manufacturing capacity of developed economies in the high-end market dominance, with advanced equipment levels and a complete industrial chain system, but trapped in the labor, logistics, supply chain costs are high limitations, did not form the scale effect. In the Asian emerging market countries, India, Vietnam and other countries represented by the late development of the LED lighting industry, although with specific product manufacturing capabilities, but its industrial chain supporting imperfect, and also facing the country's political and economic situation is complex, social inefficiency and other problems, it is difficult to form a competitive short-term.
China, as the world's LED lighting industry, is the world's largest LED lighting products production and exporting country, with the LED lighting industry, the whole industry chain production and manufacturing capacity, in the LED lighting products production, research and development, sales has a solid competitive edge.
In addition, the rapid expansion of production capacity in the LED lighting industry in recent years has resulted in a low degree of industry concentration and more intense market competition. International first-tier brands such as Xinofei and OSRAM, as well as domestic first-tier brands such as Apple Lightning, with their strong brand, channel, management and technology development advantages, occupy most of the market share of mid-to-high-end products. Some of the new LED lighting enterprises with their own technical characteristics and product development capabilities have also seized the industry development opportunities to proliferate, successfully cut into the high-end segment of the market and occupy a particular market share. Many small and medium-sized LED lighting manufacturers, due to the limitations of their product technology, quality, brand and channels, mainly in the low-end market price competition.
 

2, industry characteristics

(1) Cyclicality
With the gradual maturity of LED lighting technology, and the world's attention to energy saving and environmental protection issues and policy guidance, the LED lighting industry has ushered in a massive opportunity for development, so the cyclical characteristics are not prominent.
(2) Regional
At present, the global LED lighting industry has initially formed an industry distribution and competition pattern centered on three regions: Asia, Europe and North America. China is a substantial global production base and export base of LED lighting products, Asia, Europe and North America is the world's most important product consumer market.
(3) Seasonality
LED lighting products have a wide range of applications in daily life, business, production, engineering, transportation, and other areas that have long-term stable application demand, so the overall market seasonality characteristics are not prominent. However, market segments LED commercial lighting products are mainly for commercial customers, subject to the influence of traditional consumer habits, holiday periods are often the peak sales season, brand customers will increase the promotion and sales of commercial lighting products, so the second half of the commercial lighting industry is the peak sales season, in the first half of the year after the New Year holidays, sales are relatively uneventful. Therefore, the commercial lighting industry has specific seasonal characteristics.
 

3 industry profit level trends and reasons for change

The LED lighting industry has a wide range of downstream market applications and strong market demand. LED light sources face more intense market competition, and the profitability of products is low. General lighting is the largest application market for LED lighting products; its segmentation development varies greatly, the home lighting field is gradually entering a mature period, the market competition pattern is basically formed, while by the rising labor costs, product competition and other factors, the profit space has been squeezed to a certain extent. Commercial lighting and industrial lighting and other market segments are in a rapid development stage, with commercial lighting customer personalization and customization needs continue to enrich, as well as industrial lighting scenes on safety, comfort, wisdom and other requirements, commercial lighting and industrial lighting and other market segments will remain rapid development, and differentiated, personalized products often have higher value-added products, greater profitability.

 

4.Analysis of the opportunities and challenges facing the industry


(1) The opportunities faced
 
A. Countries around the world to promote the popularity of LED lighting products and national policy support
To improve energy efficiency, environmental protection, and cope with global climate change, the United States, the European Union, Japan, and other developed countries have introduced a ban on traditional incandescent lamps and support promoting the development of LED lighting industry policies.
 
B. LED lighting technology continues to develop, prices continue to fall
The progress of technology has determined the rapid growth of the LED lighting industry; LED lighting products to replace energy-saving lamps are the trend of the development of the lighting industry.LED lighting technology progress is mainly reflected in two aspects: continued improvement of light efficiency. According to relevant data, in 2018, industrialized high-power white LED luminous efficacy exceeded 180lm/W, LED indoor lighting luminous efficacy exceeded 100lm/W, outdoor lighting luminous efficacy exceeded 130lm/W; second is the continuous decline of cost price. Affected by the upstream chip technology improvement, production capacity growth and luminaire production process optimization, the cost of primary raw materials gradually declined, reducing the production cost of LED lamps and lanterns.
According to statistics, the price of an LED bulb is equivalent to 60 watts, its price in January 2011 about 45-50 U.S. dollars/piece, while in July 2018, the price slipped to less than 10 U.S. dollars/piece, to May 2019 further down to 7 U.S. dollars/piece, the price of LED lighting products has gradually approached the price of traditional energy-saving lamps.
 
C. LED lighting product applications to continue to broaden
With the rapid development of LED lighting technology, LED lighting products, such as stability, service life, intelligence, apparent finger, luminous efficiency and other performance indicators, are becoming increasingly mature. To meet the state of market demand, LED lighting products are not only to meet the needs of general lighting, but according to the different application scenarios derived from various applications, the market scope continues to expand and extend.
Before the 1990s, the LED lighting industry was in the early stages of development, the product color range was single, the price was high, and the application market was mainly driven by the demand for signal lights and indicators; from the mid to late 1990s, the LED lighting industry entered a rapid development stage, the development of blue and green light technology and the decline in product prices made LED lighting in the commercial sector was rapidly promoted, and became the main driver of the LED With the continuous maturity of technology and the further reduction of prices, LED lighting products have gradually penetrated in many fields such as home lighting and industrial lighting in recent years, forming an application market with huge potential. In the future, with the development of landscape lighting, automotive lighting and other niche industries, LED lighting market demand will continue to maintain rapid growth.
 
D. China has a complete LED lighting industry chain, the industry into the development of a mature period
China's LED lighting industry started in the late 1960s. After nearly 50 years of development, China's LED lighting industry has made remarkable achievements. It has formed a complete industrial chain, including the production of LED epitaxial wafers, preparation of LED chips, packaging and LED product applications.
At the same time, China attaches great importance to LED lighting technology research and development, has launched the green lighting project, semiconductor lighting project, in the ten key energy-saving projects, high-tech industrialization demonstration projects, enterprise technology upgrading and structural adjustment special, 863 plan in the field of new materials have supported the LED lighting technology research and development and industrialization projects, which has a good foundation for research and development and has certain advantages in the downstream LED lighting integrated applications.
 
E. China's industry standards continue to improve; standardized development has become the direction
In recent years, under the guidance of the National Development and Reform Commission, the National Standards Committee, the Ministry of Science and Technology, the Ministry of Industry and other government departments, and with the promotion of relevant industry organizations and institutions, China's LED lighting standards testing and certification has made progress. According to the National Standards Information Public Service Platform statistics, as of May 31, 2021, China has issued 187 national standards, 174 industry standards, 247 local standards related to LED lighting, and actively carry out group standard pilot work, and actively participate in the international organization ISO/TC274 standardization work.
In addition, the application of LED lighting products is becoming more and more extensive; its downstream applications, such as outdoor places, stadiums, etc., have gradually established the relevant management norms. In addition, the Ministry of Railways, Ministry of Transport, Ministry of Public Security, etc., have also established the relevant standards for LED lighting applications. The establishment of the above industry standards and norms will help promote the orderly and standardized development of the LED lighting industry.
 
(2) Challenges faced
 
A. Relatively weak core technology
At present, a large part of China's LED lighting products for export, and developed countries/regions in Europe and the United States market is different from the domestic market, with strict access thresholds, developed trust management mechanism. Through high technical regulations, high safety standards and other ways to LED lighting products set the market access conditions. And China's LED lighting enterprises in high-end materials, optical design, power management, heat dissipation technology and other areas of core technology has long been in a relatively weak state, LED lighting enterprises in technology without a competitive advantage, which has become a major obstacle to China's LED lighting products exported to Europe and the United States and other developed countries/regions of the market.
 
B. the domestic LED lighting enterprise brand influence is weak
From the global development of each region, the global LED lighting industry has formed to the United States, Asia, Europe, the three regions as the leading industry distribution and competition pattern, and presents Japan, the United States, Germany as the industry leader, followed by Taiwan, South Korea, mainland China, Malaysia and other countries/regions to actively follow the echelon of distribution.
Internationally, international giants such as Xinofei and OSRAM occupy a large market share in the high-end product market, each with its characteristics in terms of products and markets, forming a complete industrial chain for LED lighting, and taking advantage of their innovation in the field of new products and technologies, mainly engaged in the production of high value-added products, mastering key core technologies such as high-end materials, optical design, power management and heat dissipation technology. The domestic LED lighting enterprises brand to enhance the value-added capacity is weak, or the pursuit of sales scale and ignore brand building, with less internationally competitive brand enterprises.
 
C, homogeneous competition phenomenon is serious
Product homogeneity has been one of the problems plaguing China's LED lighting enterprises, due to the LED lighting market in the rapid growth stage, the industry in some small and medium-sized enterprises in the product, technology research and development investment less, mainly through the lower price to seize the market, resulting in the LED lighting industry presents a certain disorderly competition, product homogeneity phenomenon, these problems not only affect the LED These problems not only affect the profitability of LED lighting enterprises but also are not conducive to the healthy and sustainable development of the LED lighting industry.

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