In the second half of the year, the LED lighting market does not exclude price increases? Listen to what they say!

The first half of 2017 has become a thing of the past. In the context of the global economic recovery, the LED lighting market continued to increase in the first half of the year. Judging from the "high school entrance examination results" of the lighting companies listed on the A-share market, the revenue of the lighting manufacturers has been continuously improved, among which Feile Audio won the championship with 3.372 billion. This not only reflects the improvement of the LED lighting market boom, but also reflects from another aspect that with the scale effect of large enterprises, the situation of SMEs will become more and more difficult.

In the first half of this year, thanks to the implementation of the policy and the “ban”, the LED lighting market has shown a warming momentum. In the first half of the year, the status of international lighting manufacturers was further weakened, and the global status of Chinese LED companies was further enhanced. This is also a major driving force for corporate revenue growth. In the first half of the year, Mulinsen completed the acquisition of Land Vans, GE announced that it will sell some of its lighting business, and Samsung once reported the sale of LED business in China... This kind of shows that in the past, it was dominated by international companies. The lighting market will change, and the influence of Chinese companies will become more apparent.

With the advent of the LED era, the technology and product iteration cycle is accelerating, the integration trend of light source lamps, product form and diversification of demand have increased the technology, manufacturing and competition barriers of the lighting industry, and thus promoted the reshuffle of the industry pattern. The speed of integration is accelerating and the concentration is gradually increasing. According to the "2016 China LED Lighting Industry Top 100" statistics, the total sales performance of the top 100 companies in the LED lighting industry has exceeded 118 billion, accounting for more than 20% of the entire industry.

Market sentiment increased, overall strong growth in the second half

Under the situation that the concentration of the industry has further increased, coupled with the successive withdrawal of international giants, the oligopoly effect of the Chinese lighting industry has become more apparent. In the first half of this year, most of the LED lighting application companies' revenues were double-income. What factors caused the lighting market to grow so strong?

In this regard, the relevant person in charge of NVC Group said to Gaogong LED: First of all, the current development of LED lighting technology is very mature, the quality is stable, LED products can replace most traditional lighting products; Secondly, LED prices have dropped significantly, and traditional lighting products The price difference is not big, which directly leads consumers to prefer LED lighting products when purchasing products; in addition, the production of traditional lighting has greatly transformed and upgraded the production of LED lighting products; in addition, the global economic climate and policy promotion are also LEDs in the first half of the year. The driving force for the rapid growth of the lighting market.

The head of Sanxiong Aurora added: "This year's two-party policy has brought far-reaching influence to the LED industry. First, under the influence of the 'One Belt, One Road' strategy and international cooperation, the export growth of LED products; secondly, the China Manufacturing 2025 policy has opened up a broad spectrum for the semiconductor lighting industry. Once again, the construction of smart cities accelerated the formation of new kinetic energy, which in turn led to new supply; finally, the LED product features continued to improve and the cost gradually declined.” All of the above stimulated the strong growth of the LED lighting market in the first half of the year. Sanxiong Aurora stressed that the increase in LED penetration and market concentration will be more conducive to the growth of first-line brands.

As the heads of NVC and Sanxiong Aurora said, in the first half of the year, under the promotion of the “13th Five-Year Plan” and other related policies of the semiconductor lighting industry and the awareness of energy conservation and environmental protection, the first-line brands are full of LED lighting market, which is listed from the market. The company's interim results can be reflected.

In the second half of the year, the LED lighting market will be further improved by inertia, but in some markets, such as real estate buildings, it may be affected by policy adjustments. For the trend of the market in the second half of the year, Sanxiong Aurora believes that the industry will face greater cost pressure in the second half of the year, but the overall market will maintain rapid growth.

"On the technical level, the LED chip technology is further developed, the energy efficiency of the whole lamp is further improved, and the product price will continue to decline. There are more developments in the intelligent application level and non-visual application fields (agricultural plant lighting, medical lighting, etc.). The person in charge told Gaogong LED.

Home lighting and outdoor lighting or ushered in big growth

LED lighting segmentation applications are increasingly diversified. From indoors to outdoors, LED products are infiltrating into every corner of the living space with the potential of “fast lightning”; from decorative lighting to practical scene lighting, LED lighting is creating more intersections with human life.

As expected, intelligent lighting has become more and more popular among consumers as the convenience of operation has increased; plant lighting is being combined with new agricultural production models to present in a new perspective in the industry; with the development of technical problems and intelligence The evolution of the trend, LED headlights evolved into the protagonist of automotive lighting...

In many applications, in which areas will LED lighting products see big growth in the second half of this year?

“The first is the field of decorative lighting. With the improvement of the taste of home decoration by consumers, with the flattening of channels, the price of lighting products has declined, and there is room for decorative lighting to enter the township market. With the middle class and the wealthy class Continued to grow, after 80, 90 has become the main consumer, the lighting has also shifted from basic lighting needs to more artistic stylized, decorative lighting needs. Decorative lighting will combine practicality and artistry, and more individual characteristics The display of lifestyle tastes is increasingly favored by consumers; secondly, it is the outdoor lighting field of Shangzhao. With the development of urban construction in China, urbanization construction is paying more and more attention to the image of the city. The country is actively transforming the urban development mode. Pay attention to urban infrastructure construction, build a harmonious and livable, dynamic and unique modern city, such as smart city, sponge city, green city, etc., and outdoor lighting is inseparable from urban planning. The group said.

In this regard, Sanxiong Aurora agreed. “The home and commercial lighting sectors will maintain rapid growth; at the same time, they will continue to be stimulated by the Hangzhou G20 Summit and the Xiamen BRICS Conference. The landscape lighting market may enter a stage of rapid growth.” Sanxiong Aurora responsible person added, “LED lighting driver power supply The market is expected to grow rapidly, especially the emergency power supply. Under the construction of smart cities, the intelligent management of power supply has become the direction, and it is expected to realize the modernization of urban emergency system and emergency response capability. The intelligentization of power supply provides great convenience for the later assembly and maintenance of lamps. At the same time, the functions realized by the luminaire are more diversified."

The “price surge” in the middle and lower reaches of the industry is inevitable

At the end of last year, the wave of price hikes led by upstream chip companies such as Sanan Optoelectronics affected the industry. At the beginning of this year, this price increase has gradually spread to the middle and lower reaches. Coupled with the country's efforts to improve environmental protection, companies such as metal factories and carton factories have suffered from high energy consumption and high emissions. The continuous shortage of copper, aluminum and paper boxes has driven the price of raw materials.

For the price increase issue, NVC Group and Sanxiong Aurora responsible person respectively expressed their views.

The NVC Group stated that the price hike has been carried out since the end of last year. It started with chip packaging and then spread to downstream applications. Many lighting companies have already announced price increases at the beginning of the year. Recently, price hikes have come again, mainly starting from supporting materials, such as copper, aluminum, paper, etc., which will have an impact on downstream applications. Many small companies will reshuffle them, but large enterprises in downstream applications are temporarily not available. On the other hand, dealers are not necessarily exclusive to price increases, and some say that proper price increases are healthier.

Sanxiong Aurora believes that the upstream price increase will inevitably affect the downstream industry, especially for small and medium-sized brands; the impact on first-line brands, chips, lamps and other electronic components may not be great. On the one hand, the upstream has a strong cost-digesting ability, on the other hand, the two sides will consider the price strategy from the perspective of long-term cooperation.

"On the one hand, the shrinkage of the supply end of the LED industry is an important driving factor for price increase; on the other hand, many of the materials required for LEDs belong to industrial metals. As the price of industrial metals rises from the previous month, it can be inferred that prices will continue to rise." Sanxiong Aurora It is indicated by the high-tech LED.


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