Yangzhou municipal government MOCVD subsidy policy will end in July 2011

First launched by the Yangzhou municipal government MOCVD subsidy policy, China for other local governments caused by follow up effect, resulting in the whole Chinese set off a wave of investment boom LED epitaxial plant. However, when such financial subsidies boom subsided, the reporter interviewed Yangzhou merchants Bureau, Sun Xiaojun. Sun said the financial subsidy policy can not have been indefinitely, Yangzhou's fiscal subsidy policy will come to an end in July 2011, the majority of local governments are also looking at whether to follow up.

Yangzhou economic development zone was established in 1992, in recent years the development of green energy industry. And solar photovoltaic, smart grid, as well as the semiconductor lighting industry for the development of spindle. And successfully attract leading companies in various industries. For example, in the field of solar energy, such as GCL, Suntech, Wuxi representative. And smart grid in the field of smart grid demonstration park.

In 2007, the Ministry of science and technology Chinese identified Yangzhou as one of the national semiconductor lighting industry base. At present, LED enterprises including canyuan, Kerry, Ai Disen, East Bay, WOOREE, Ford and other companies in the history of Yangzhou factory investment. From the top of the sapphire substrate, epitaxial wafer, packaging to display backlight and lighting applications, has formed a complete industrial supply chain.

In addition, Yangzhou municipal government initially provided a MOCVD machine RMB ten million yuan of financial subsidies policy. Especially in other local governments use tax subsidies in different ways of Yangzhou municipal government, but by the cash payment, the machine in place after the 50% of the amount of subsidies, subsidies of 30% during the trial period, the testing phase of mass production to provide the last 20% retainage. It attracts canyuan photoelectric photoelectric, Blaupunkt, neon, Longyao photoelectric and many other manufacturers in LED epitaxial wafer.

However in the local governments have followed suit to the investment situation, from the overflow of equipment investment to deepen the LED industry concerns pile up in excess of requirement. The central government has not only China observe this phenomenon, the local government financial resources will gradually be depleted, so Yangzhou has informed the various manufacturers of MOCVD financial subsidy policy will end on July 2011, manufacturers must before July will be moved into the machine to get subsidies. Other local governments are also considering follow-up.

Although most of the 2010 China LED factory equipment into rapid progress as expected, in addition to the deferred construction schedule, the second half of 2010, the industry also makes the pile up in excess of requirement of most LED manufacturers to take a wait-and-see attitude. So that the local government is bound to end the financial subsidies as a means to require LED manufacturers to accelerate investment.

So in 2011 the gates will close the fiscal subsidy on the eve of the LED factory is bound before the end of subsidies into the machine, will probably be in the first half of 2011 set off another wave of panic buying boom machine MOCVD.