The way to break through the LED enterprises under the financial crisis

In September this year, Taiwan well-known LED manufacturers Lite Technology Co. Ltd. and Citibank and other 15 banks signed a NT $15 billion loan contract, in this regard, insiders believe that, at a time when global economic growth slowed down, the 15 banks at the joint and LED enterprises signed such a huge amount of loans, the banking sector has seen LED industry as a haven for funds. The banking industry believes that the rapid development of the LED industry in recent years, while being affected by the trend of energy saving and environmental protection, is one of the prospects for development is very optimistic about the industry. This is obviously a very high expectations for the LED industry. In fact, in this round of economic recession, all aspects of the LED industry chain was also affected by different degrees, especially in the domestic industry chain at the end of the small and medium-sized manufacturing enterprises, how to deal with the financial crisis has been placed in front of them a much-needed solution equation.

SMEs are seriously affected

Because the current round of financial crisis is caused by the problems of external economies, and these economies are closely related to the industry will inevitably be affected. A large part of China's LED manufacturing enterprises are export-oriented, so export-oriented enterprises affected is expected. From the sales of domestic products, at present, including Europe and the United States, Japan, Taiwan, mainland manufacturers of various types of LED products in the domestic market have sales, but due to the difference of the product itself, with quality, price, market focus varies, so the influence is also different.

Europe and the United States and several large companies due to the monopoly of the core technology, the control of the domestic high-end chip market, but also to get the maximum profit, but the degree of influence is the lowest. At present, both in the domestic market or export market, an obvious feature is the more low-end products affected by the more serious, high-end products regardless of price or sales are relatively stable. As mentioned earlier, the prospects of large LED production enterprises are still widely optimistic. Obviously, many SMEs do not have the core technology of this round of the greatest impact. The reason for this phenomenon, one is under the influence of the financial crisis, some of the production and processing of low value-added export products mainly by the impact of small and medium enterprises have been closed down or shut down, on the other hand also occupy half of the country LED production in China Taiwan manufacturers in order to survive have dumped goods to return the funds, the market price is suppress. Dealers generally reflect their recent decline in sales, customer orders to reduce, even if the sale of good profit margins are minimal.