Fierce market competition in Taiwan LED production decline

LED market after two years ago, the current situation is still grim a sudden turn for the worse. To judge from the operating conditions in the first half of this year, Taiwan LED EPI wafer grain, and encapsulation, module production decline is inevitable, industry is through the cut, and the whole plant, and adjust the product line, as well as the development of high brightness products four yuan, not visible UV/IR, vehicle niche application strategy narrow, revenue decline and loss rate, through the transformation process. In the first half of 2016, Taiwan LED Lei wafer, grain industry in the output value of about 17 billion 200 million yuan, a decline of 12%, while packaging, module output decline of up to $6%. In the first half of 2016, the top ten LED Lei chip, crystal manufacturers revenue, net profit, capital expenditures and other operating figures, as shown in table 1. The top ten total revenue decline in the first half of 12%, a loss of up to $4 billion 287 million from $47 million, while the capital expenditure is also significantly reduced by $1 billion 650 million to $26%. Leading plant through the reduction of crystal electricity, the integration and adjustment of product portfolio, etc., the cumulative decline in revenue decline has slowed down signs of the month, but in the first half of 2016 is still a loss of $3 billion 540 million. Only four yuan is the main products of the guanlei and Ding Yuan in profit performance. 2016 first half of the top ten LED packaging, module vendors revenue, net profit, capital expenditures and other operating figures. The top ten of total revenues in the first half of the 5% recession, profit from NT $1 billion 80 million cut to NT $540 million, capital spending significantly reduced 31% amounted to 1 billion 360 million yuan. Leading light camp flat, net profit growth of 4%, the best performance. The first half of 2016 Taiwan LED manufacturers operating figures, the majority continued to decline, one of the long-term development of indicators of capital spending projects, compared to the first half of 2015 decreased by 30%, showing the whole industry is still in the doldrums. Only EPISTAR, Everlight, Lite, Lunda, rongchuang and other manufacturers have made new energy technology and equipment and other capital expenditure investment, most of the rest of the industry was shrinking sharply, is not conducive to the long-term development of business.