Chongqing LED industry: introduction, smashing out

[Text / "High-tech LED - Lighting Market" September issue Qiu Zuling]

Recently, the reporter learned from the management committee of Liangjiang New District that through the cooperation and matching of well-known domestic high-tech enterprises and Taiwan's old-fashioned enterprises, Liangjiang New District will build a complete LED industrial chain. It is expected that by the end of next year, citizens will be able to buy "Chongqing made" LED lamps that are one-third cheaper than the current price.

In today's market where high-end LED brand prices are high and low-priced inferior products are rampant, the LED lamps on the market are expected to be half cheaper. This is undoubtedly good news for promoting the development of Chongqing LED industry.

The development of the LED industry is mainly concentrated in the Sichuan-Yunnan region, forming a cluster of LED lights industry focusing on Chengdu, Mianyang and Chongqing, and has formed a three-legged trend.

Small and scattered industry

However, the reporter learned that even in the economic and industrial structure of these three regions, the LED industry has a small share. The small and scattered characteristics of the overall enterprise are very obvious in the LED lighting industry in Chongqing.

Except for some companies with a background of state-owned enterprises, the majority are small and medium-sized enterprises, and their scale, technology and product level, and automation of production still have a lot of room for promotion.

Under specification needs to be integrated

The development of any emerging industry will go through the process of chaos to regulation, and today's LED industry is no exception. The lack of uniform norms and standards and the disorder of the market order have become a drawback of the Chongqing market.

At the 16th Sichuan Advertising Equipment and LED Lighting Exhibition, a Chongqing-based manufacturer who has been engaged in the LED industry for many years said that in the current environment, many laymen believe that there are many LED industries under the temptation of various interest factors. Well, how big the profit margin is, and they are eager to invest in this industry.

"In fact, the insider knows how deep the LED 'water' is. The layman enters the industry to make money, causing the current industry to be chaotic, the standard is missing, and the threshold is low." Mr. Li complained to the reporter: "Buy a machine to do it." Production, please a few workers to set up factories to assemble, let this group of people to dominate the market, the industry talks about development? The pain is the old company, the layman engaged in price wars, rich and oily, we are hungry belly."

Then, in the inland Chongqing production area, in the face of the small and scattered industry in the regional market, and the market chaos, what efforts and improvements should be made to make a breakthrough in the local LED industry? The high-tech LED reporter summarized the following aspects by querying data, visiting surveys, and telephone interviews:

Introduced to enhance the market's "immunity"

The reporter was informed that the main project of the 200-mu LED production base constructed by Shanghai Super Silicon Photovoltaic Technology Co., Ltd., a wholly-owned subsidiary of Shanghai Super Silicon, has been completed and will be officially put into operation in September. 1.5 billion yuan. The trial production is a combination of LED production and independent research and development in Liangjiang New District. After initial production, the monthly output will be around 300,000 pieces, which will eventually form a monthly output of 600,000 pieces.

The example of Chongqing Super Silicon Photovoltaic is a successful case of the “introduction” of the LED industry in the region. Shi Yu, general manager of the company, told reporters that at present, almost all LED chips in the domestic market are provided by Taiwanese companies, as well as foreign companies such as South Korea and Japan. There are very few domestic chip companies and there is no advantage in performance. The lack of core technology is the main reason why domestic LED lighting is difficult to reduce in cost.

Mr. Zhu, a distributor of Chengdu Glorious Lighting City, told reporters that Chongqing, in fact, is like the enterprises in Chengdu. If you want to develop local enterprises and compete with the LED factories in Shenzhen and Zhongshan, you must build a brand and grab the market. Introduce advanced technology to enhance the technical level of local chip manufacturers.

"Only having its own core technology can reduce the cost of LEDs and truly realize the desire to enter the ordinary consumer family." Mr. Zhu said, "If the enterprise technology of Sichuan and Chongqing does not keep up, our dealers are more willing. Acting for LED products in Shenzhen and other places, there is not much risk."

Shi Yu said that Super Silicon Optoelectronics will introduce Taiwan's Zhoulei Technology to solve technical problems. As technological innovation has greatly reduced the cost of LED production, it is expected that after the LED lights are launched in Chongqing next year, the price of LEDs is expected to be about one-third cheaper and the brightness will increase by 30%. In the next three to five years, the cost price can be reduced by about 50% to create a green lighting industry that saves energy and reduces consumption. The introduction of technology, for a company, enhances the market's resistance to immunity; for an industry, it is also a standard reshuffle.

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