LED financial subsidies introduced in early July to the industry reshuffle


A huge cake from the central government is about to be distributed, which will once again help the hot LED industry.
The reporter learned from the China Semiconductor Lighting/LED Industry Alliance that the financial subsidy of 2.2 billion yuan for supporting energy-saving lamps and LED lamps will be officially introduced in early July. This is also one of the measures of the State Council on promoting consumption policies for energy-saving appliances and other products. The key beneficiaries of subsidies are large, competitive LED companies.
The domestic LED industry has developed rapidly over the years. There are still fewer than one hundred manufacturers involved in this field five years ago. Nowadays, there are more than 8,000 companies, and a large amount of hot money has poured in, making the entire industry unprecedentedly prosperous, but it also hides excess risks, and the industry is reshuffled. A number of domestic large LED manufacturers told reporters that at least half of the LED companies in the second half of this year closed down.
Pushing the invisible hand behind the government is an important reason for the rapid development of this industry.
A person in charge of a domestic LED manufacturer told reporters that although at present, China's LED market share in the lighting market is less than 5, but the country's promotion of the technology is unprecedented. Like the photovoltaic industry, in the early stage, the cost of LED is relatively high. Without the government's financial subsidies and support, it is difficult to open the market in the short term. This mainly depends on policies to influence the market.
According to China's "12th Five-Year Special Plan for Semiconductor Lighting Technology Development", by 2015, China's LED lighting industry will reach 500 billion yuan, LED lighting products account for 30% of general lighting; focus on cultivating 20~30 leading enterprises, 20 national-level industrial bases and 50 pilot cities of 10 cities and ten thousand cities will be built to promote China's semiconductor lighting industry to enter the top three in the world.
At present, LED has just entered the indoor lighting industry. In the next three to five years, it will be a large-scale application period of LED commercial lighting. In five to ten years, it will be fully popularized in home lighting. Now the cost of LED lights has been higher than five. Years ago, it has dropped 10 times. With the further decline in cost, by 2020, the global 70 lighting will use LED. Philips R&D director of LED lighting business unit Liu Wei told reporters. He believes that it is precisely because of this that the government and enterprises have taken a fancy to the prospects of LEDs.
A LED company in Yangzhou, Jiangsu Province told reporters that the city has spent hundreds of millions of yuan in financial subsidies to support the development of the LED industry in the past two years. According to the regulations, MOCVD equipment for the production of LED epitaxial wafers will provide 10 million cash subsidies, of which 40 will be subsidized after the machine is in place, 30 will be subsidized for trial production, and the remaining 30 will be paid in full after mass production. .
According to the plan of Yangzhou City, the amount of subsidies for the first phase is 2.5 billion yuan, which is extremely strong. According to the above-mentioned person, because in the photovoltaic industry, Wuxi and Suzhou have a large-scale industrial chain, and Xuzhou, which is located in northern Jiangsu, has also built a photovoltaic upstream industry. Only Yangzhou has no achievements in this hot new energy industry. This makes the leadership very prosperous, and it is bound to require a place in the emerging LED industry.
After Yangzhou, there are many emulators. Jiangmen City, Guangdong Province also subsidized the LED equipment, the amount is equivalent to Yangzhou, not only that, but also the project land, etc., and Anhui Wuhu City first signed an agreement with Xiamen Sanan Optoelectronics to subsidize 12 billion investment projects. Subsequently, it signed a subsidy plan for the chip project of 6 billion yuan with the listed company Dehao Runda.
An industry insider believes that the local government's push behind the performance project has given birth to the industry boom in the early stages, but it has also filled the industry with bubbles at the beginning.
Although the LED is still in its infancy, it has caused fierce competition between Chinese and foreign capitals.
Liang Hanfeng, president of Philips Lighting Division Greater China, told reporters that China has become another global market for the company. In recent years, the company’s business in China has maintained a double-digit growth. Last year, the company’s LED business With an increase of more than 100, we plan to open 1,000 fashion lighting fixtures in China to promote LED products by 2015. By then, LED business will account for 50% of the total business volume.
In order to increase market share, Philips has been providing LED technology and related patents to a number of lighting companies in the form of paid fees. At present, 200 companies worldwide have obtained production licenses from the company, including Chinese companies. Philips believes that providing technology to other companies can further promote and cultivate the market, which can not only set a standard for the industry, but also expand The company sells in chips and other aspects.
Osram, the same lighting giant, has also stepped up its efforts in the Chinese market in the near future. Its LED assembly plant in Wuxi will be put into operation at the end of next year, and Matsushita Electric’s LED light source factory in Hangzhou will also expand its production capacity in the near future. At present, the company's LED light source produced in China has accounted for more than half of the global production capacity.
Compared with traditional lighting giants such as Philips and Osram, the new LED lighting companies in China are roughly divided into two types of enterprises. One is the traditional semiconductor manufacturer, transforming the upstream epitaxial wafers and chips of LEDs. These manufacturers lack experience and can only produce low-power low-end fields. Second, traditional lighting companies have begun to enter the LED industry. These enterprises originally produced traditional ones. Lamps, which are not accumulated in technology, are therefore not stable in quality.
In the LED industry, the upstream is chips, sapphire raw materials, etc.; the middle reaches are packages and modules; the downstream is lamps, lamps, and systems applications, of which upstream accounts for 70% of profits, and the middle and lower reaches only 30, so the upstream manufacturing sector has the highest threshold, mainly The core technology is controlled by Japan's Nichia, Toshiba, American Cree and other companies. The comprehensive technology of Philips is the upstream and downstream, and the whole industry chain, while the domestic enterprises are seriously lack of technology.
However, although domestic enterprises have a lot of difference between technology and foreign capital, they still have a place in the local market by relying on price wars, and they have become big players in local government procurement. At the recent Guangzhou Lighting Show, Philips sold a price of 99 yuan for an LED energy-saving lamp, and then a Shanghai company hit an ultra-low price of 100 yuan and 3 LED lights.
However, a person from the lighting industry association said that there are some cheap LED lamps in China that are based on the premise of sacrificing product quality. Compared with foreign products in terms of service life and stability, many of the LEDs that are advertised are mostly gimmicks and have poor quality. .
Although the outbound subsidy policy is good, it has no connection with SMEs, and their footsteps are close.
A person from Foshan Lighting said that there are currently 8,000 LED manufacturers in the country, more than 90 are small enterprises, without any core technology, the products are also patchwork, and some are only for the purpose of defrauding local government subsidies, currently from the upstream Downstream, there has been a serious excess in production capacity. The first batch of natural disasters were small businesses without a government background.
The source said that the second batch will fall down to enterprises that have local government support but do not have any core technology. He believes that although local governments can give these companies financial and land support, they are even willing to pay in the form of government procurement. However, after all, strength determines everything. In the fierce competition, bankruptcy is inevitable. As far as I know, many companies have government as a backing, but the product inventory is seriously unable to sell at all, and the capital chain has already reached the edge of the break.
Last year, the results of special supervision and spot checks disclosed by Guangdong Province caused an uproar in the LED industry. More than half of the LED street lights and LED street light source controllers were unqualified. According to an analysis by a Shanghai lighting company, there are two reasons. First, in order to reduce costs, a large number of inferior chips are used for production. Second, most of the purchased parties are local enterprises. Even if the quality is very poor, the government takes care of The local industry is still receiving a single receipt.
The above-mentioned people believe that the protectionism of local governments can only make these enterprises gain a brief resilience and deepen the government financial black hole. I have researched some local lighting companies. Their annual research and development expenses are very few hundred million yuan. Most of them are few, some are even zero. How do you get the market with international giants such as Philips and Osram?
Liu Wei told reporters that Philips' annual investment in LED light research and development is hundreds of millions of dollars. Among them, an LED project he participated in last year won the US Department of Energy LPrize competition award, and also received a reward of 10 million US dollars, but this project Philips used 120 engineers, which lasted for several months, so this bonus compared with research and development costs Still microscopically insignificant. In this international competition, it has been difficult for domestic manufacturers to trace.
A large LED manufacturer in Guangdong said that the current surplus is only relative, because the quality of local products is still in short supply, and there are too many poor quality. This must be after a round of reshuffle, a large number of SMEs are eliminated, and the future In the past few years, the mainstream of the market will be foreign giants such as Philips and large domestic LED listed companies.
Last year, in Dongguan and Shenzhen, there were hundreds of lighting companies that closed down due to lack of core technology and shortage of funds. This is just the beginning. At least half of the SMEs are hard to survive this winter. The above said.

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