Why can not get out of the LED lighting industry price war vicious circle

In addition to government subsidies, but also thanks to the development of its own technology maturity and continuous innovation and development of domestic independent research and development. As the last link of the price chain of consumers, its price requirements are also contributed to the continuous production of low cost factory power. The government subsidy policy to benefit the LED price fell in June 2009, the national development and Reform Commission, the Ministry of Finance organized the implementation of the "energy-saving products Huimin project, development and Reform Commission six ministries jointly issued the" opinions "the development of semiconductor lighting industry.

2013, the price seems to be the main theme of the development of LED lighting industry, the rapid decline in prices, is conducive to the rapid rise in LED lighting penetration, can also be seen as a necessary process to promote the development of the industry. In fact it is not difficult to find, behind the rapid development of LED and LED the price tide rise, with countries strongly support the important factors of the industry.

As the last link of the price chain of consumers, its price requirements are also contributed to the continuous production of low cost factory power. The government subsidy policy to benefit the LED price fell in June 2009, the national development and Reform Commission, the Ministry of Finance organized the implementation of the "energy-saving products Huimin project, development and Reform Commission six ministries jointly issued the" opinions "the development of semiconductor lighting industry, energy saving and environmental protection industry was designated as one of the seven emerging industries in 12th Five-Year" plan.

In the call of the central policy, local governments to the LED industry actively dished out an olive branch, showing a high degree of enthusiasm. Development of LED lighting products to promote financial subsidies to the development plan of Shenzhen city LED industry; Wuhu municipal government and enterprises signed an agreement to buy LED MOCVD enterprises the main production equipment subsidies; in addition to financial subsidies for equipment, local government procurement contract with LED company signed, in order to solve the problem of the fastest and best selling LED product.

Such subsidies have sprung up. In order to further expand consumer demand, improve energy efficiency, promote industrial upgrading, encourage units and individuals choose energy-efficient LED lighting products in May 16, 2012, the State Council passed the "national basic public service system of" 12th Five-Year "plan", decided to arrange 26 billion 500 million yuan of financial subsidies, start the promotion with energy saving standard household appliances, including 2 billion 200 million yuan to support the promotion of energy-saving lamps and LED lamps.

Policy not only to benefit the home appliance industry, but also to promote the use of LED in the lighting industry. In other words, 2 billion 200 million yuan of government subsidies to accelerate the decline in LED prices.