Special recommendation: China LED Street business opportunities

Objective: crystal electric general manager Li Bingjie pointed out in the shareholders, Chinese LED lights for action is energy saving, green lighting is positive, the next year will be crystal electric as an important engine of growth. Day front photo exhibition, various manufacturers have shouted, Chinese LED Street big business opportunities, the reason is China government announced the "national long-term science and technology development plan (2006~2020)" in February 9, 2006, the semiconductor lighting energy efficient, long life (LED) in the first area of focus, caused widespread concern after fermentation, the past year, has been slowly emerging opportunities. Due to Chinese, lighting energy consumption is extremely alarming, but if the outdoor lighting to LED lighting, lighting electricity will be reduced by 60%, significant effect. Due to the great potential of LED lighting power saving, the focus of China's energy conservation work, so China in the use of LED lighting products to replace the traditional high-pressure sodium lamp development, is starting. The LED  2008 saving 6 big business China current energy mainly from coal-fired thermal power, and the use of petroleum and coal, because of rising oil prices caused by the increased power generation cost, and coal will produce large amounts of carbon dioxide caused by the greenhouse effect. In order to solve the energy problem, China is mainly in two directions to proceed: the development of new energy and energy conservation, target to 2010~2012 alternative energy will provide 15~30% energy demand. According to the Waterland securities research pointed out that, due to the lack of China power, the two  LED street lamp has the advantages of energy saving and environmental protection, so the demand for LED lamp, LED street lamp is a good chance in 2007 year. At present, the relevant laws and regulations are still in the development of the situation, is expected to rural roads or park lighting for early introduction, this part will be 60W following products, expected in the second half of 2007 will begin to see a part of the business. As for the main road 10 0W lighting, 2007 belongs to the test stage, at present there are more than 30 thousand Shanghai street lamp will be changed to LED as the light source to be tested after by the level of the city gradually spread outward, expected in 2008 to start a shipment of relatively large, the potential for strong. Taiwan LED supply chain is complete, with optics, cooling, control circuit and other related industries also have quite good technical advantages in the development of LED street, in addition to the Chinese market compared with other foreign manufacturers is expected to get familiar, most of the China LED road lamp orders. At present, manufacturers have announced orders received mainly has four modes: grain, grain, provide packaging system assembly and LED module (see table), the system is assembled by the highest gross margin, but the competition is also greater, while the other three low profit margins, but relatively high operating stability. Because currently using the LED lamp High Power LED is at an early stage of development, the price is quite high, with a 60W lamp, LED light source will be  12000 yuan, the whole group of lamps, the price is about 20000 yuan, while the traditional high pressure sodium lamp is only about  6000 yuan, at first glance there is a very big difference, but with the progress of technology, the LED grain every year will be about 20% of the price cut, plus new LED lamps integrated manufacturing, cost reduction, 1 years after the LED with the traditional high pressure sodium lamp cost gap will be reduced to less than 2 times, if plus considering subsequent electricity costs and maintenance costs, the advantages of LED that show out. As for the China eager to develop industrial areas, to replace the existing lighting to LED lighting, will solve the energy supply situation tight, business opportunities can be expected. The received Chinese orders detonated early at LED street lamp demand detonated early, LED lights, have large orders to force the Hon Hai group, Foxconn actively entered the LED industry, including Foxconn and unlisted Eltete, are the main force in LED business. In addition, canyuan photoelectric has been at the end of March and the 24 Bureau of China Railway Company in Shanghai and Changzhou municipal government signed a letter of intent, the future will be laying nearly 20 thousand LED lights for the light. It is understood that canyuan photoelectric products have developed high-power LED lighting system, compared with the traditional lamp, energy saving 50%, in order to attack the mainland LED street market, canyuan also set up LED lighting systems division, the design patent unique energy-saving LED street lamp system, LED lighting technology can be in conformity with the international standard of road lighting (IESNA), to replace the traditional high pressure sodium lamp mercury lamp or indicator of significance for LED. LED package also successfully entered the mainland Dachang Baihong LED street market, has the largest local equipment industry orders for about 3 years, is part of the street light will contribute at least 800 million yuan, is expected from July onwards after shipment, can drive the monthly revenue showing strong growth. The Olympic LED lighting Wang Qi technology is focused on the LED lighting business opportunities, Olympic sports venues, sports venues as the LED brightness is much higher than the street, a good package LED price is about 30 times more than the use of lights, such as the baseball field received the  LED lighting, a price of up to LED 3 dollars, a lamp with 1 00 about LED, the price will be NT $10 thousand, gross profit is higher than the LED lights, lighting in order to inject, Wang Qi had the opportunity to record high revenue.