LED lighting to replace the market into a sprint stage or low price war ""

Market competition to eliminate backward production capacity, technological innovation, quality improvement, resource integration as the representative of a new round of industrial restructuring gradually into the deep water area". High engineering LED Research Institute (GGII) latest data show: the first half of China's LED lighting market output value of 212 billion 700 million yuan, is expected to reach 457 billion 600 million in 2016, an increase of 15.35%. LED rapid penetration of lighting, traditional lighting manufacturers LED revenue accounted for more than 50%. GGII is expected, by 2018 LED penetration will be close to 90%, LED the whole industry chain pattern will be basically settled. Means that from the beginning of this year to 2018, LED lighting market will replace the final sprint stage. In this context, LED lighting replacement market will enter a new round of growth peak. The bulb bulb, lamp tube as the representative of the replacement light source market size will show rapid growth trend. The United States Department of energy (DOE) released the latest edition of the general lighting application of solid-state lighting energy biennial edition forecast. The report focuses on the general lighting market in the United States, the report is expected in 2035, North America LED lamps and lamps are expected to account for 86% of the lamp installation, in contrast, in 2015 only 6%. After several years of price war, the first half of the LED industry ushered in the upstream prices surge, facing rising labor costs by external factors such as the price of the most competitive LED light source to replace the market is undergoing subtle changes. "Price war had to fight last year who do not fight price war?" Wood wood (002745) executive general manager Lin Jiliang talked about last year was set off a storm in the LED industry price, but last year you do not play the price war, you will be out of direct, and even the market share is gone." He admitted that the price war is to consolidate the market, increase R & D investment is to technical reserves, expanding production capacity in order to have a strong production base. The effect of these strategic layout, may be confirmed in the next few years. The price decline narrowed into 2016, the market reversed, LED industry "price wind" as one falls, another rises from May this year the global LED chip, some products up to the end of August, Chinese LED chip and packaging companies have raised 5%-15%. Behind the overall market rebound, the cost of all sectors of the industry chain is almost close to the life and death line". From the beginning of the birth of LED lights, accompanied by a 30% annual price decline. Over the past two years, the price of the replacement light source is mainly due to the rapid increase in chip light efficiency and rapid decline in the cost of supply. "After the cost of the chip hit the bottom, due to the continuous innovation of technology, heat dissipation materials and processing costs once again trigger a decline in prices, this year, the decline in the space is very small." Sunshine lighting (600261), said Chen Yiping, general manager of china. Decline in the cost of space almost zero behind, as well as raw materials prices rose. In addition to chips, devices and other core components of the price callback, including aluminum substrates, including some raw materials have also been the trend of price increases. Insiders said that the price of raw materials in the board of raw materials prices in June has already begun to rise, so far has gone up 3 round, or up to 10% - 30%. At present, the application of PCB in the LED industry is the main package, power supply, lighting and other fields, especially the LED display since this year the rapid growth of demand, COB packaging market size growth, growth in the birth of PCB market demand. Plate prices will not have much impact on downstream lighting companies, because the proportion of the cost of the entire lighting products in the plate is not too large, probably between 5%-8%. Mitsuo Aurora deputy general manager Lin Yan said, "as the lighting manufacturers, we not because of price sheet and follow the price, we will reasonably control the cost according to their own situation." But for small businesses, the upstream raw material prices will undoubtedly have no small impact. The price of LED industry reshuffle has a certain role in promoting. It's like a catalyst, but it doesn't make a big difference." Lin Yan said. Whether there is room for price cuts in the future, Chen Yiping said, if the enterprise itself can reasonably control the efficiency of labor, logistics and other costs, by taking the difference of the route, the price is possible." The only way to reduce the scale of production is the only way to reduce the cost is to reduce the cost of production, reduce the unnecessary cost by large-scale production." Leedarson responsible person stressed. LED engineering production and Research Institute (GGII) data show that Yankon, OPPLE lighting (603515), FSL (000541), NVC and other traditional lighting companies generally LED revenue growth of 30% over the previous year, while gross profit margins generally has increased over the previous year. In the LED revenue growth at the same time, for the second half of the industry trend, the listed companies in the semi annual report referred to the upgrade, through self transformation of the introduction of purchases, the production line automation transformation and trial production, to improve production efficiency, save human resource, improve the quality of the products. Feedback from the current situation of the industry, the second half of these lighting manufacturers will gradually promote the transformation of the mature automation program, and more automated transformation of production lines. Yankon mentioned in the semi annual report, expanding the scale of the increase in the number of personnel is not simple, in order to strengthen the Yankon per capita output promotion oriented and effective promotion, are the introduction of the implementation of automation in many types of products and a variety of processes. The mature automation program to promote the appropriate reproduction, thereby