The market competition is fierce and the output value of Taiwan's LED is declining

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, the LED wafer and grain industry in Taiwan had an output value of about 17 billion 200 million yuan, a decline of 12%, while the output value of packaging and modules declined by 6% to 41 billion yuan. In the first half of 2016, operating figures of the top ten LED wafers, grain producers, revenue, net profit and capital expenditure were shown in table 1. In the first ten months, revenues declined by 12%, and losses widened from 47 million to 4 billion 287 million yuan, while capital spending also dropped by 26%, to $1 billion 650 million. Through the reduction of production, plant integration and adjustment of product mix, the leading factory has accumulated signs of shrinking monthly revenue, but still lost 3 billion 540 million yuan in the first half of 2016. Only four yuan is the main products of the guanlei and Ding Yuan in profit performance. Prior to the first half of 2016, the top ten LED packaging, module manufacturers revenue, net profit, capital expenditure 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. Million 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.