LED industry

Global lighting companies such as philips, osram launched low-priced bulbs, next year’s retail price of LED bulbs is expected to drop into 3, accelerate the popularization of LED lighting. Foreign clsa believes that the LED industry will enter a period of one and a half years of recovery, watch the epitaxial metal crystal electricity and electric ceramic substrate with hin.

Clsa, points out that the international first-class companies 4 watt  LED light bulbs (400 lumens/replace 25 watt incandescent light bulb), the retail price will be from $8 to 9 this year, to $6 for next year, a drop of about 30%. If from the bulb manufacturing cost (BOM) analysis, the largest decline is no longer the LED chips, but the mechanical and electrical heat (institutions, driving IC, heat dissipation) components.

Mainly global overcapacity in the past two years, LED chip prices fell nearly 8, starting next year industry supply and demand is relatively balanced, or isn’t as big as in previous years. In addition, only 35% of the cost of the light bulb LED chip, mechanical and electrical hot proportion is as high as 65% above, compression cost, so international companies can make a priority of mechanical and electrical components such as heat. Lyon estimation, a 400 – lumen LED light bulb, the LED chip next year will fall to $1.4, 2 heat mechanical and electrical components to reduce our price by 36% to $2.1, after add the total cost is $3.5, it’s not difficult to reach a retail price $6.

Lyon, as China’s subsidies for upstream of epitaxial LED the machine at the end of this year, next year’s grain factory capacity expansion will be more rational and healthy. Coupled with the lighting requirements grow steadily, global LED grain demand will grow 35% next year. After eight consecutive quarter of contraction, LED industry is expected to enter for up to 18 months of recovery. Crystal electric machine factory in the supply chain, Lyon roll call, for future lighting requirements in philips, osram and singularity, three international companies have orders and crystal report. Next year’s grain crystal electricity moving rate increased to 9 (85% this year), also will improve the product portfolio, i.e. the low profit backlit, highly profitable lighting. Crystal electricity from the estimated profit margins to 20% next year.