Industry News

In 2013, domestic LED packaging industry development

First, an overview of the development of LED packaging industry
 
LED device packaging plays a connecting role in the development of semiconductor lighting industry in China and also has one of the industrial sectors of scale and cost advantages in the global semiconductor lighting industrial chain division. In the years under the national policy guidance environment, coupled with constant innovation and technology development, the domestic LED industry exhibits a high degree of growth in the economy, LED packaging industry is also accompanied by simultaneous growth of the LED industry.
 
LED packaging industry on the pattern of global perspective, China's packaging industry is the world's most concentrated area, but also the global LED packaging industry transfer a major undertaking, Taiwan, China and the United States, Korea, Europe, Japan and other major LED packaging capacity of enterprises is large part in the country to achieve. According to Chinese LED Industry Research Center data show that in 2009 aggregated global LED packaging companies total revenue reached $ 8.1 billion, an increase of 5.02% compared with 2008. 2012 Geographically, Japanese companies income is still ranked first, accounting for 33% of the world, but the share decreased year by year, Taiwan ranked second, accounting for 17% of the world, while South Korean companies income increased from 9% in 2008 to 15% in 2009, the agency is expected to have 2013 LED package market value of $ 13 billion, is expected in 2014 will reach 13.39 billion US dollars, the annual growth rate of 7%.
 
Second, the domestic LED output and yield developments
 
In recent years, China's LED packaging capacity increased rapidly, the package species than the whole, with respect to the extension and chip industry, mainland China LED packaging industry's most competitive, most scale, technical level closest to the international advanced level. Domestic LED packaging industry has matured, LED packaging industry is expanding. LED packaging companies active over will be listed in the capital market and the downstream application industry growing demand for power, the business scale expansion faster productivity growth, domestic, 2009, the domestic LED packaging production value reached 20.4 billion yuan, compared with 2008 18.5 billion yuan increase of 10.3%; production from 94 billion in 2008 to 105.6 billion, the growth rate of 12%, including high brightness LED output value reached 18.6 billion yuan, accounting for 91% LED package of GDP. Products from both domestic and corporate structure, has greatly improved, SMDLED and high-power LED package devices is growing rapidly. With the current strong market for LED, LED packaging market will also enter a rapid growth phase.
 
With the continued strong market of LED, LED packaging market also entered the phase of rapid growth. China LED Industry Research Center aggregated data show that in 2010, China's LED packaging production value reached 25 billion yuan, an increase of 23% over 2009's 20.4 billion yuan; production from 1,056 in 2009, 1,335 one hundred million to one hundred million , of which highlight LED output value reached 23 billion yuan, accounting for more than 90% LED total sales. Since 2012, lighting and backlight boost production also dramatically increased to $ 242.8 billion. Domestic LED packaging industry output growth is mainly because most of the international LED packaging manufacturers optimistic about China because domestic applications market, have set up production bases in the country, has achieved mass production, is becoming the world's major low-end LED packaging base. Industry efforts to increase domestic sales, as well as domestic companies to expand production scale, production can be released due to the investment.
 
Domestic packaging companies in the regional distribution shows a complete industrial chain concentrated advantage, formed a complete industrial chain of LED package. China's economic dependence layout feature, Chinese LED enterprises are mainly concentrated in the Pearl River Delta, Yangtze River Delta, Fujian and Jiangxi region, as well as the Bohai Economic Rim, the line into four major gathering area. Pearl River Delta region is mainland China LED packaging companies most concentrated, the largest regional packaging industry, the number of firms more than two-thirds of the country, accounting for 68% of total business, in addition to the upstream LED epitaxial chips a little lacking, but brought together numerous packaging materials and packaging equipment manufacturers and distributors, matching the most perfect. Followed by the Yangtze River Delta region, the number of firms accounting for about 17% of the country, other regions accounted for 15% of the proportion.
 
Third, the domestic LED market analysis package
 
Domestic LED packaging companies Situation
 
There are currently more than the size of the domestic LED packaging companies, more than 1,000, of which two-thirds located in the Pearl River Delta region. In total main business of listed companies calculate 8, comprising a semiconductor rectangular, wood Linsen, Lehman optoelectronics, Ruifeng power, poly fly photoelectric, Mason Technologies, Hongli Opto-electronic, country star power, Seoul acoustic songs, among GoerTek acoustic, the other seven listed companies occupy five in Guangdong province, Shenzhen area, Foshan and Guangzhou each one. At the same time, some large enterprises to set up downstream applications has its own packaging production line, such as Neo-Neon, Chau Ming Technology, BDO Runda, Kingsun like. In addition, the majority of foreign countries and China Taiwan packaging companies in the country to set up a production base in mainland China has become the world's largest LED packaging production base.
 
After years of development, various domestic LED packaging companies have no much difference in terms of technology, production except that the enterprise scale, product consistency and reliability of the difference of the product between batches. As has financial strength, technical strength of the company continues to expand the scale and increase investment in research and development, between domestic LED packaging companies echelon will gradually forming, small package survival of enterprises subject to certain compression. A number of domestic LED packaging market competitive package of leading enterprises increased their strength, have been expanding in the domestic market competitiveness and independent intellectual property rights is not inferior to foreign and Taiwan LED packaging companies. It simply part of the package, the domestic and international companies already have LED companies comparable strength. Now more than 1,000 packaging companies, with annual sales of over 100 million yuan in the first camp has more than 30 sales between 10 million to 100 million yuan in the second camp, less than 300 enterprises, accounting about 30% of the sales of most companies is less than 10 million yuan.
 
Domestic LED packaging market characteristics
 
Expansion speed production capacity, improve utilization. LED package this year the situation is excellent, most of its production capacity in an emergency. Ruifeng power, BDO Runda, Xindeco other listed companies have announced, the expansion of the LED device production capacity. It is understood, not just listed companies, non-listed companies this year also launched a round of expansion wave. A package of non-listed companies said they booked through the end of the year, production can not keep up. The expansion products are mainly white SMD packaged devices, production capacity more than 30% more than last year. Experts said that last year the LED package of serious excess capacity, capacity utilization rate is only 5-6 percent, while capacity utilization in the first half of this year LED power up to 8 percent. Many listed companies have expansion plans Package: Hongli Opto-electronic half of this year has added 100KK production capacity in the second half may increase 200KK. Jufei Optoelectronics $ 100 million expansion project LED lighting device in this year September 30 completed. Production equipment investment Ruifeng power in the first half of the equity investment "LED lighting products transformation projects" have been completed fully implemented, the annual production capacity 1,350KK, LED lighting products annual capacity 2,470KK. Meanwhile, Ruifeng power will start SMDLED expansion project construction period is 2013 on the 7th 1 - June 30, 2014, the expansion project is finished, the company LED lighting products annual capacity 8388KK.
 
Companies increasing output without increasing white device plunges rapidly. 2012 domestic LED packaging industry since the continuation of the basic prices of the second half of 2010, the decline in gross margin trend, white lighting LED prices fell more than 10% per quarter. 2013 packaging companies benefit most companies, because this year in addition to the LED lighting market launch, the whole industry chain backlight transferred from South Korea and Taiwan enterprises. This year's LED packaging companies undergone significant change, especially packaging companies listed reflects the common characteristic: overall performance steadily increased, but the main business strength and actual profitability is not ideal, falling profits. LED devices domestic prices will continue to follow the downward trend in prices, but because of the large-size backlight and lighting products to enhance penetration, product prices will decline narrowed gross margin gradually stabilized. It is worth mentioning that this white LED device due to pull home lighting and commercial lighting, white patch devices this year especially the rapid growth in the first half, led to the rapid development of the packaging industry, a number of packaging manufacturers appear fully loaded, are also It is because of this reason, white device into a price war with the price of the vortex caused many manufacturers increasing output without increasing. From each package listed companies to publish a report on the first half of 2013, the gross profit margin of each company have white device downward trend. Hongli Opto-electronic white device main revenue grew 20.34 percent white business, but LampLED gross margin fell 9.35%, SMDLED gross margin fell 9.84 percent; Ruifeng power LED lighting device revenue growth of 49.23%, gross margin decreased 4.89% over last year; Jufei photoelectric LED lighting device operating income growth of 42% over last year, gross profit of 20.16%, but profits fell 5.59 percent.
 
Midstream package restructuring and integration acceleration. Intense competition and the huge market potential downstream lighting industry makes most middle enterprises to enter downstream applications, according to statistics more than 90% of packaging companies have entered downstream applications, and the proportion of the output value of applications is rising; part of the LED packaging companies to select the joint venture, etc. way into the LED downstream, providing downstream to the sea for their products. Construction LED lighting applications downstream channels, LED lighting applications market share cake. This market trend in this year's performance is particularly outstanding, the table this year, a representative of the behavior of enterprise integration.