By the three sides of the Strait to deepen cooperation in the Royal financial crisis

December 15th across the Taiwan Strait "three links" in full swing, which not only shorten the distance between the two sides in time and space, but also for the two LED companies to deepen cooperation to create the conditions. As analysts believe that in the short term, three links will help reduce transportation costs, and in the medium and long term, will create a deeper level of cooperation between the two sides to create conditions.

The financial crisis makes the LED enterprises face difficulties

LED because of the broad application prospect and become in recent years the world's most promising sunrise industry, according to market research firm i-supply Japan, the global LED market continues to expand, from between 2006 to 2012 of the average growth rate will reach 14.6%, to 2010, the market scale will reach $12 billion 300 million. But as the subprime mortgage crisis in the United States opened Pandora's box, a global financial crisis began to spread havoc, from financial institutions to the real economy, from the United States to Asia and Europe, now has no industry independently of the other, no area is not the shadow. Even the very influential LED industry also failed to escape the disaster. As the world's second largest LED production in China's Taiwan region bear the brunt of the financial crisis, one of the hardest hit, with the cold weather, the entire region of the LED industry has entered a severe winter in Taiwan.

At the beginning of the subprime crisis in the US has not evolved into a global financial crisis, impact on economic entities has not revealed, LED is in short supply, many manufacturers including EPISTAR, have released the expansion plan, the market was estimated in Taiwan in 2008 will increase the MOCVD machine 100 taiwan. But in the second half as the evolution of the subprime crisis, global consumer demand shrinking LED eventually lead to overcapacity, shrinking market order, from the beginning of the "daily order running" has become a "run" chasing orders every day. At the same time, LED listed company shares also tumbled, EPISTAR, canyuan, new century, Taigu and spared, the market value has shrunk dramatically, while profit also fell sharply. According to statistics, in October 2008 in Taiwan listed LED vendor revenue total of NT $5 billion 847 million, compared to September fell slightly, but compared with the same period last year is a sharp recession, and peak level is far more.

The reduction of demand, orders, indirectly makes the original plans to push into the upstream of LED epitaxial industry investment plans for the capacity utilization rate is low and the increasingly serious problem of emergency stop. Where the new 1100KK-1200KK Crystal 20 MOCVD have been installed, although the blue chip capacity can reach 1300KK-1400KK, but due to poor demand, capacity utilization is not full, had to maintain production capacity at. While canyuan photoelectric will be more comprehensive spending capacity expansion stopped, billion light is also due to the demand as expected SMD second phase expansion plan postponed.

In addition, various other financial crisis derived from the symptoms in the Taiwan LED industry also emerged, many enterprises had low clearance to return the funds, which came to light, crystal electric billion lead layoffs news, which makes Taiwan LED industry Aihong everywhere.

In recent years, the rapid development of China's LED industry, coupled with the large-scale demonstration of the 2008 Beijing Olympic Games, in the country set off the climax of LED applications. But the impact off the effects of the financial crisis on the industry can not be overlooked. In the national semiconductor lighting engineering research and Industry Alliance recently held industry development fund "to expand the meeting, participants on behalf of the enterprise also reflects the decline in demand, various industrial orders shrink cold symptoms.

Mainland domestic demand is a big investment in the recovery and development of LED industry long-term positive

The face of the roaring of the financial crisis, our country in order to maintain economic growth, the central government has issued a number of measures to boost domestic demand, become fragile industry confidence in the strong arm of the global financial crisis, the central government 4 trillion big investment will bring nearly 18 trillion to investment, which will bring huge pull effect to slump the industrial economy, the development of high-tech industry as a national priority, LED industry hopes to benefit first. In particular, the central government recently approved a number of investment projects, including railways, highways and airports and other infrastructure projects. Along with the large-scale construction of fixed investment, LED traffic lights, lights, lights, display, building decoration and landscape lamp demand will rise sharply, which led to the leading role of the entire LED industry chain will be immeasurable. Therefore, the measures to stimulate domestic demand and investment in the recovery and development of the LED industry is undoubtedly a good day, and this positive effect will exist for a long time.

In the meantime, the Ministry of science and technology and other regions have issued a specific demonstration project to foster domestic demand for LED emerging industries. The Guangdong province "Trinidad one hundred thousand" high power LED street lamp demonstration project has been officially launched in December 11th, in Guangzhou, Dongguan, Foshan, Zhongshan, Zhaoqing, Shantou City, the construction of the total mileage of 1500 kilometers, LED street lamp demonstration project size of about 100 thousand lights. The Ministry of science and technology, ten city million LED street lamp demonstration program has also been proposed and implemented. The demonstration project will start to expand LED application market, increased demand play a leading role.

In addition, from the 2008 Beijing Olympics unveiled the new LED application continues to have a fever, and the 2010 Shanghai World Expo and Guangzhou Asian Games and 2011 Shenzhen World University Games coming soon, LED application of large billboards, driven by the construction of landscape lighting is also huge opportunities eggs