LED export price has touched the bottom line Buddha enterprises are forced to reoccurrence of price war

Foshan daily news, 17 am, in the city of Canton, Foshan import and Export Co., Ltd. Canton Fair Exhibition, a India businessman pointed to a LED outdoor lighting will be significantly lower opening, so sales staff shook his head again and again. In recent days, the reporter learned at the Canton Fair this year, the global LED industry price diving, Foshan LED enterprise export prices also fell sharply. In the fall, the price competition is fierce, overcapacity in the winter, companies are forced into a new round of price war.

Continuous price: LED export prices have hit the bottom line

Canton Fair this year, the organizers deliberately scattered all kinds of LED companies in the original building materials Museum integration, the establishment of a special LED lighting exhibition. However, 17 reporters saw in the lighting exhibition, in recent years, the scene is no longer appear crowded, many booths deserted.

Foshan Zhaoxin Imp. & Exp. Co. Ltd overseas sales manager Li Yi Zhao manage these days records, on-site turnover rarely. Canton Fair this year, he received only a handful of European and American customers, mostly Southeast Asian market customers. He remembered last year's exhibition, many customers, especially in Europe and the United States will first ask the product technical parameters, quality indicators. And this year, buyers come up with an opening on the price down. The price will not go away. Li Yizhao said that the current price of finished products LED almost bottomed out, very meager profit margins.

National Star photoelectric Foreign Trade Department of the sea of great grievances, a tube of foreign trade prices fell three times in 3 years. The year before last year to sell $30 last year to sell $20, only $10 this year. According to the report released in the first half of 2015, the company's overseas market revenue fell 10% over the same period last year. Huo Hai said that in the third quarter, although the overseas export quotas tend to smooth, but the product prices fell again and again. "The downstream product price compared to the same period last year more than 30% Diaojia, midstream package prices also fell. "

Profit decline: Buddha enterprises expect emerging markets

Decline in export prices, so that the white hot competition, overcapacity in the plight of the LED industry more cold, a new round of price war quietly started. A Russian buyer to chat with you for a long time, and finally said to go to Zhongshan to understand the situation, the price is more favorable to see who. Foshan Ascot Industrial Co., responsible person Mr. Tan said that other companies are price, do not drop it down. Therefore, the company can only be forced to choose price. He explained that, as a small and medium enterprises, the company's profit margins have been very small, but this year's product prices are still down about 5%.

According to customs data show that in the first half of this year, China's LED industry in Russia, Brazil, India, as well as the rapid development of Asian and African pull emerging market share. Huo Hai said that in the continuous decline in export prices, profit compression environment, this year, the company vigorously expand the market scope, deep in Southeast Asia market. Among them, the India market in the first three quarters of sales growth of around 300%. India government in recent years to boost energy conservation, demand surge. In addition, there is no LED packaging enterprises in India, and soon entered the local market. "

Zhao also vigorously expand the Southeast Asian market this year. Li Yizhao introduction, the company's first three quarters of this year, Thailand, Philippines, the two sales increased by 15%. First, because of the rapid development of Southeast Asian countries, Daxing infrastructure, the surge in demand for LED products. Furthermore, the price of each production enterprises, but also to open up more markets in order to win. "

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