Expansion of the LED chip factory in Taiwan to accelerate the westward landing investment

Semiconductor lighting applications look pretty, especially, the rapid growth of market demand, the mainland government actively release resources to support and fund subsidy policies to attract Taiwan LED chip manufacturers in emerging markets for early card, have recently accelerated westward landing investment in the construction of LED chip factory plan. Including EPISTAR, canyuan have announced plans, construction of LED chip factory, AUO's LED factory lextar also recently reduced after application of park investment, plans to base, AUO (Suzhou or Xiamen) to create LED new factory.

Lextar since 2008 after the financial tsunami, the expansion speed is slow, the recent 1-2 years MOCVD machine imported only from the original 2 to 10-20, joggings taiwan. With the vertical integration of the group's LED resources, kaiding and Lunda merger, and the unlisted company continues to Ronda, AUO in LED supply chain layout shift.

Originally in the Taiwan branch of the Lunda in the park LED factory to build a new plant plan, the third quarter of last year, just won approval. It is expected to be in the science in Ronda in the park to build 5 factories, covers an area of 10 hectares were estimated, will be divided into 4 phases, the construction of investment. The total investment is estimated at NT $30 billion, is expected after the new plant will be officially produced in 2011. It is rumored that the scale of this investment plan has shrunk. Is the main cause of the mainland market next will be the key to market the LCD panel and the LED application of the fastest growing, domestic ratio and mainland policy stipulates that in the future the LED chip 70% of hope. Lighting point of view, manufacturers pointed out that there are only 21 pilot cities in the mainland in 2009, the application of 1 million LED municipal lighting tools. Estimated in 2010 the mainland will complete the construction of 50 LED lighting demonstration city, municipal LED lighting tools will reach up to 2 million. Large size LCD panel applications such as LCD TV, the mainland will become the world's largest LCD TV single market in 2011. To sum up the factors, LED vendors are all active in the layout of the west. Although Taiwan high generation LCD panel production line has to be open when landing recently observed, but the current LED chip way many restrictions, and Taiwan technology leading land taking 2-3, is competitive, Wednesday, the government released the land resources support and subsidies policy benefit, has attracted Taiwan LED chip leader crystal electricity, canyuan announced the landing position.

Among them, canyuan with the East Bay, Ruixuan, South Korea LG Yangzhou joint venture to set up a new LED chip factory - Jiangsu lucidity, by canyuan stake of about 51%. The expected production equipment in Jiangsu lucidity future will introduce 50 sets of MOCVD machine. Crystal power is planned to import 30 yuan MOCVD machine, combined with the upper and lower reaches, in Jiangsu, Changzhou to build LED production base. As for the Lunda also intends to follow up landing outside the future Lunda LED new plant location, should fall on the base of Suzhou or Xiamen area, auo.

According to the Beijing Institute of Information Center survey, 2008 global China, LED market, LED billboard proportion is 31%, 18% of the proportion of LED lighting, mobile phone applications accounted for 16%, 14% lights, traffic lights, the proportion of 10%, LCD backlight, automobile and other applications, the proportion is about 4%. Including LED billboards, LED lighting, mobile phones and LCD backlight for the top 4 applications market, accounting for the total mainland LED market in 2008 accounted for more than 80%.

Last year, China's LED billboard market size of 6 billion 700 million yuan, LED lighting market size of $3 billion 900 million, LED car market size of $700 million, compared with 2008 growth. The Institute believes that the most important applications in the next few years, the LED industry, will still be a large size panel backlight and lighting. Estimated 2010 mainland LED industry output value will be more than 20 billion yuan, the annual growth rate will reach 25%, in 2011 more than $26 billion, an annual increase of nearly 30%, in 2012 the output value will be more than $35 billion, an annual increase of 35%.