LED has developed to the present stage, and capital, technology and scale have become important factors in the development of the industry. At present, the scale of China's packaging industry is still expanding. LED has developed to the present stage, and capital, technology and scale have become important factors in the development of the industry. At present, the scale of China's packaging industry is still expanding. According to the latest research data, the scale of China's LED packaging market in 2016 increased from RMB 644 million in 2015 to RMB 737 billion, a year-on-year increase of 14%. In 2017, driven by the LED application market, especially the LED lighting market, and the strong demand in the small-pitch market, China's LED packaging market is expected to reach 87 billion yuan in 2017, up 16% year-on-year. It is expected that the six development trends of the LED packaging market in 2017 are worthy of attention. First, China's LED manufacturers accelerate development, domestic use rate continues to rise According to LEDinside analysis, in 2016 China's LED packaging market, the domestic product utilization rate reached 67%. Nichia is still the main supplier to China's LED packaging market, ranking first among the top 10 manufacturers. In addition to Nichia, there are five other international companies. Of course, Chinese manufacturers are no less impressive, and MLS has developed rapidly, surpassing Lumileds (the Dutch LED manufacturer). The rankings of NationStar and Honglitronic have also improved. Second, China's LED lighting market is growing steadily China's LED lighting market reached 25.9 billion yuan, lower than expected. The main reason is that the global market demand for LED lighting has not increased significantly, resulting in a decline in the overall export of LED lights in China. However, due to the stable domestic market demand, China's LED lighting market grew by 9% in 2016. LEDinside predicts that the scale of China's LED lighting market will grow to 28 billion yuan in 2017, reaching 36.4 billion yuan by 2020, and the compound annual growth rate from 2015 to 2020 is about 9%. Third, international manufacturers hand over many OEM orders to Chinese manufacturers. Because low-power LED lamps dominate the LED lighting market, and China's first-tier manufacturers have high capacity utilization rates, many international brands (Lumileds, Osram, CREE, OEM (substitute processing) orders from Samsung, LG Innotek, etc. are gradually concentrated in China. Fourth, the small-pitch LED display market demand growth stimulates manufacturers to expand Due to the small-pitch LED display market demand is still rising. LEDinside expects that China's LED display market will reach 15.8 billion yuan by 2020. In the early days, Everlight was at the forefront of the small-pitch LED display market. Today, more and more Chinese manufacturers are entering the field, including National Star Optoelectronics, Mulinsen and Kinglight, which has also spurred manufacturers to expand into the field. 5. Chinese companies use MOCVD technology to further reduce LED manufacturing costs. MOCVD equipment manufacturing technology was once in the hands of European and American companies. Veeco (American Instruments) mainly produces EPIK700 MOCVD equipment with larger crystal growth furnaces. Based on the K465i MOCVD introduced by the company in 2010, EPIK700 MOCVD has the largest reaction chamber. The market share of Chinese MOCVD equipment suppliers such as Micro-Semiconductor (AMEC) and Topecsh is also gradually increasing, although in 2016 it only accounted for 11% of the market. Sixth, the market demand for LED filaments is increasing year by year. In the past two years, as LED filaments are popular in Europe, North America and Australia, more and more manufacturers are entering this field, and the market scale will show rapid growth. In 2016, the global LED filament market demand is 150 million. LEDinside estimates that by 2018, the global LED filament market demand will reach 600 million. In terms of packaged products, the main LED filament suppliers are Runlite (Shenzhen Yuanlei Technology Co., Ltd.), MLS (Mullinson), Refond (Ruifeng Optoelectronics) and Hangke Optoelectronics (Hangke Optoelectronics). At present, the LED lighting technology is developing rapidly, the industrial integration speed is obviously accelerated, the industrial concentration will be gradually improved, and the polarization of enterprise development is obvious. On the one hand, large enterprises or enterprises with core competitiveness realize rapid development and further gather with industry giants; On the one hand, under the dual pressure of technology and scale, small enterprises have low profit margins, difficult survival, shutdown and production suspension, and mergers and acquisitions happening occasionally. The global LED competition pattern is gradually changing. It is inevitable that the LED industry will continue to shuffle in the future, but every shuffle will be another sublimation of the LED industry. In the end, some leading enterprises that have mastered core technologies, have more independent intellectual property rights and well-known brands, have strong competitiveness, and have reasonable industrial layout will be retained.
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