China's LED market is vast, foreign giants want to enter the Chinese market
International Lighting Giant China Increases Production and Expands Production
International lighting giants are stepping up capital increase and production expansion and new factories in China to lay the foundation for the future of the huge automotive LED lighting market.
Recently, Philips announced that it officially joined the China Semiconductor Lighting Research and Development and Industry Alliance. At the same time, it indicated that it will further increase investment in China and expand its R&D and production capabilities. Japan's Nichia Chemical Co., Ltd. executive vice president and chief operating officer Tasaki Denki also said before the day, ready to enter the Chinese automotive LED lighting market, and announced that it will open a new factory in the near future.
According to reports, the China Semiconductor Lighting Research and Development and Industry Alliance represents the highest level in the domestic semiconductor lighting industry and aims to advance the technological progress and industrialization of semiconductor lighting. With the participation of Philips, it became the first non-domestic brand enterprise in the China Semiconductor Lighting Industry Alliance.
Philips has always been a leader in the world semiconductor lighting industry. Through continuous investment and R&D, a complete industrial chain including chip manufacturing, packaging, and lighting applications was constructed, and the layout based on LED core intellectual property was gradually completed.
Tasaki Den said that LED will be the focus of future automotive lighting development. By 2020, China will become a true LED market.
One of the world's top ten LED semiconductor Seoul Semiconductor Co., Ltd. also said that the company's automotive LED market growth, mainly from China.
Car LED sales double in the next 10 years
An LED, a light emitting diode, is a solid state semiconductor device that can directly convert electricity into light. LED light source lighting has the advantages of small size, low power consumption, long service life, and non-toxic environmental protection. These characteristics determine that it is a new generation of ideal light source to replace traditional incandescent lamps.
In recent years, lighting LED technology has developed rapidly, and has begun to be widely used in urban landscape lighting, road lighting and home lighting. The annual output value of LED lighting industry has rapidly expanded and become a key development area for the revitalization of the economy in various countries.
China's “Ten Cities and Ten Thousand Citiesâ€, solid-state lighting programs in the United States and Europe, etc., have incorporated the LED lighting industry into the national development strategic plan. At the same time, with the promotion of LED giants such as Osram, Philips, Nichia, and Seoul Semiconductor and strong support from various governments, the world is about to usher in a round of popularity of LED lighting.
The latest research report from the authority said that the annual sales of automotive LED in the next 10 years will be double that of today. At present, LED has been widely used in automotive interior lighting, LED gradually in the car headlights, taillights and other products in the transition, showing a trend from the inside out, from the back to the front.
In recent years, with the increase in the level of automotive lighting technology and the cost reduction, LED applications have increased. Domestic Honda Accord, Nissan Teana, Crown, Reiz, Cadillac Series, Buick Glory and other models have adopted LED lighting technology.
LED core technology is mostly controlled by foreign countries
The LED core technology is mostly controlled by foreign countries. The US, Japan, and European companies not only occupy most of the market share, but also have 80% to 90% of original invention patents in the upper reaches of the LED industry chain.
The Shanghai Academy of Sciences completed a study on the technical route of semiconductor lighting products. In recent years, transnational companies represented by the three major lighting giants of General Electric of the US, Philips of the Netherlands, and Osram of Germany have cooperated with upstream semiconductor companies to build new semiconductor lighting companies in China. Seize the high point of patents and build a patent encirclement. Currently, local companies account for less than 5% of the entire industry's patents. The "patent predators" of semiconductor lighting from overseas are forming a close relationship with the semiconductor lighting industry in Shanghai and even China.
China's LED industry chain is not balanced. There are nearly 2,000 LED packaging plants in China, and the development of upstream LED chips has obviously lagged behind multinational LED giants. These key technologies will be the main tool for foreign companies to enter the Chinese LED market. In other words, the core technologies of domestic LED chips and packages for automotive use are firmly in the hands of international LED giants.
Faced with the competition of international LED giants, China's domestic LED companies have felt the pressure. One LED manufacturer R&D personnel supporting the self-owned brand car said that the general technical strength of China's LED companies is not strong, and they lack the technology research and development capabilities of international LED lighting giants such as Philips and Osram. To achieve both international standards in technology and brand, there's still a long way to go. Experts suggest that domestic products, universities and research institutes should work together to tackle technological problems that have broad prospects and high technical requirements.