Eight Characteristics of China's LED Enterprises

http://www.businessisbiz.com/inside-b2b/eight-characteristics-of-chinas-led-enterprises/

According to the latest statistics, more than 140 China enterprises have had over millions of the annual output value in LED industry. From market perspective, China's LED companies have the following eight characteristics.

First, an absolutely leading enterprise does not appear. China has so many LED enterprises but many of which are generally in small sizes. From sales value in 2009, there was no LED enterprise whose annual sales exceeded 10 billion yuan. Only a few enterprises got annual sales that exceeded 500 million yuan. Second, the development of LED display producing industry has become mature. According to the results of LEDinside, in 2009, more than 50 enterprises of over millions annual output value are in the production of LED display, and more than 40 companies are mainly manufacturing LED display. Third, LED lighting industry has developed rapidly. LED lighting has already begun in 2010, with the increased demand in the market compared to in 2009. A lot of enterprises dealing with LED packaging and LED display have entered the field of LED lighting. At present, very few number of companies are only dealing with LED packaging. Most companies have started the development and production of LED lighting products. The boundaries of different LED application industries have become increasingly blurred boundaries and the LED product lines of which have become longer. Fourth, the engineering level has become advanced. Compared to previous years, the level of LED product technology has been greatly improved. Due to fierce market competition, the price war method of most the enterprises will no longer work. LED companies have begun to improve business investment in the research and development to LED products. They tend to develop in the high-tech, high value-added and intelligent product direction. In the package and the application area, the products of some enterprises already can compete against those of the international LED manufacturers. Fifth, the whole LED chip industry is of low profit. Now LED chip companies have invested a lot, but the sales value of LED chip industry in 2009 was only about 2 billion yuan, and most of the LED chip companies were of negative profit or no profit. LED chip companies have counted up to 62 in the end of 2009. However, with a large-scale investment of the LED enterprises and the introduction of technology from Taiwan and other places, China's LED chip industry  will have a very large development in the next few years. Sixth, the profits mainly focus in LED packaging and application area. Chinese LED packaging and application enterprises are in large number, the overall value of which are tens of billions. Currently, LED packaging, LED display, LED lighting and other products are maintaining good profit levels, especially the LED display, whose market has begun to become mature. The growth rate of sales value and profit of some powerful enterprises in LED display remained above 50% in the nearly two or three years. Seventh, exports of the LED products occupied an important position, especially of the enterprises in the Pearl River Delta. Many companies accounted for more than 50% export ratio. It is mainly because the price of LED products is relative high to the Chinese consumers. China's LED products applications are mainly concentrated in the commercial lighting and municipal engineering. The acceptance rate of general consumers is still low. Last, LED market is still immature and is full of competition. Most companies can find their own living space, but for the relative LED industry, the enter and exit companies change frequently. In general, China's LED industry has made great progress after years of development with large numbers of enterprises.

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<a href="http://www.ecvv.com">www.ecvv.com</a> is an innovative and comprehensive business portal in China, dedicated to introduce China qualified products, suppliers and manufacturers to global buyers, and also help global buyers to find much more China qualified products, suppliers and manufacturers.