China's LED chip industry is moving into the era of high brightness

China's LED industry chain is becoming more and more perfect, the enterprises are all over the substrate, epitaxy, chip, packaging, application of various sectors. But throughout the industrial chain, due to the upstream industry for higher technology and capital requirements, resulting in domestic enterprises rarely involved, so there is a small number of enterprises in the industry, the characteristics of small scale. In contrast, because the downstream packaging and application to business of financial and technical requirements are relatively low, which is precisely the domestic enterprises and less money, technology weak match, therefore, a large number of domestic enterprises engaged in the two sectors. This uneven distribution of enterprise structure led to China's LED industry is dominated by low-end products, enterprises face severe price pressure for a long time.

Along with the national semiconductor lighting project started, the development of the LED industry "Chinese state a quotyitouchenquotthe is changing, China upstream of the LED industry has been rapid development, the chip industry is most noticeable. But only from the industrial scale, packaging is still China's LED industry's largest industrial chain links. In 2006, the total output value of China's LED industry reached 10 billion 550 million yuan, including the substrate, epitaxy, chip, packaging, China's industry, of which the output value reached 8 billion 750 million yuan.

LED industry chain, including the production of LED epitaxial wafer, LED chip production, LED chip packaging and LED products, such as the application of the four links. The epitaxial film has the highest technical content and the second chip. After years of development, China has gradually formed a relatively complete industrial chain of LED, however, domestic enterprises are mainly concentrated in the downstream packaging technology content is not very high, and the upper and middle reaches of the field only in recent years began to develop gradually, the current domestic LED chip supply capacity can not meet the need, but also must import large quantities of. At present, China's LED industry has initially formed the Pearl River Delta, Yangtze River Delta, Southeast, Beijing and Dalian and other northern regions of the four regions, each region has formed a relatively complete industrial chain. Overall, China's LED industry pattern of high degree of industrialization in the south, while the north relies on many universities and research institutions strong R & D strength.

The next 5 years, China will also take the semiconductor lighting as a major project to promote Shanghai, Dalian, Nanchang; Xiamen, Shenzhen, as the 5 LED industrial base, according to the 5 industrial base is expected to target, we estimate that by 2010, the China LED industry output value will exceed 150 billion yuan.

China has a certain technical and industrial base in the field of semiconductor lighting. Has formed a production, from wafer and chip fabrication, integrated device packaging applications relatively complete industrial chain, now the country engaged in the semiconductor lighting system LED device and production scale of more than more than and 400 enterprises, and the product packaging in the international market has occupied a certain share. In addition, China is rich in nonferrous metal resources, gallium and indium reserves, accounting for 70%-80% of the world's reserves, which makes China's development of semiconductor lighting industry has the advantage of resources.

From the perspective of the industrial chain, China in the LED substrate, epitaxial, chip link is still relatively weak, packaging and application links due to the technical requirements are not high, the industry is developing rapidly. With the continuous strengthening of the state and enterprises in the upper reaches of the input, the domestic high brightness chip production capacity quickly. 2006 Chinese high brightness chip production in 2005 increased by more than 1 times, Xiamen three, Dalian road beauty is the main production enterprises of high brightness chip. Optimistic about the potential market of domestic LED, foreign companies have also entered the China set up factories, and from the early to the packaging plant to the higher technical content of the chip. In the next few years, China will become the next LED, Japan, Taiwan, another industrial base.

In recent years, the display, landscape lighting, traffic lights, automotive applications, such as the rapid rise of backlight LED application market. These emerging applications market for LED luminous efficiency requirements continue to improve the birth of the demand for high-end products. With the increase in market demand, the pace of China's LED chip industry to accelerate the pace of product upgrades, China's LED chip products will be the overall high-end. On the other hand, the rapid development of China's LED packaging industry, but also for the LED chip provides a broad market demand. The expanding market demand provides a good external environment for the development of China's LED industry.

In 2006, according to the development status of China's semiconductor lighting, the state has formulated the development plan of semiconductor lighting industry in line with its own development and the roadmap of technology development in 2006. In 2006 the technology roadmap, for investment will account for LED chip including material, substrate, extension, encapsulation, application and equipment, the overall LED industry investment 20%, R & D and production research will focus on the GaN chip and chip power on.

Although has broad market demand and national support, but at this stage Chinese LED chip industry still exist the lack of core technology, the lack of professionals, product quality is not high, the ability of independent production equipment and weak development dilemma, how to solve the above problems is the key to China's LED chip industry can be sustained, healthy and rapid development.

In the development process of China's LED chip industry, the early products are mainly based on the general brightness, manufacturers are only a few, such as Nanchang Xin lei. After entering 2003, several chip production enterprises in Xiamen, Dalian three road have established the United States as the representative. In response to the needs of the chip market, these manufacturers have focused their products on high brightness chips, which directly led to the rapid growth of China's high brightness chip production. For a time, in