GLII: Prospects for the market trend of LED lighting industry (4) - Four major trends in China's packaging industry in 2015

1. The status of China's “global LED packaging device production base” has further increased. International companies will produce more orders at Chinese factories or hand them over to domestic mainstream companies for production. As of 2014, most of the packaging of CREE, Yiguang, Samsung, LG, Seoul and other companies are in mainland China. In 2015, the proportion of Nichia, Philips and Osram in China for production or commissioned OEMs will further increase. In the domestic packaging industry, the competitive pressures facing international companies will be even greater.

Second, the LED packaging industry will officially enter the competition elimination period, the trend of the larger Evergrande is more prominent. Although hundreds of packaging companies were eliminated in 2014, dozens of companies entered the packaging industry, and the number of overall packaging companies remained small. With the release of production capacity of listed companies and large-scale enterprises, traditional packaged devices will enter the era of low profit. However, small enterprises have limited technical capabilities, and it is difficult to launch new products with higher gross profit in a timely manner. The dilemma of not increasing revenue and not increasing profits is further deepened in small enterprises. Once a downstream enterprise has a large-scale enterprise failure, small-scale packaging companies will face the risk of collapse. The High-tech LED Industry Research Institute predicts that the number of LED packaging companies will exceed 300 in 2015.

Third, the industry concentration has increased. In 2015, China's LED packaging scale will exceed 10 billion enterprises. In 2014, the domestic mainstream LED packaging company, Mulinsen package size will reach more than 3 billion yuan, the national star, Jufei scale will exceed 1 billion, Hongli, Ruifeng, and the long side will reach 800 million to 100 million. Together with the potential enterprises Dongshan Precision, Zhaochi, Wanrun, Jingtai, etc., the scale of 1 billion in 2015 will become the symbol of the packaging leader.

4. In 2015, the total size of China's local LED packaging companies is expected to exceed 60 billion, accounting for more than 40% of the global LED packaging scale. In the next 2-3 years, the proportion of LED packaging in China's domestic enterprises is expected to exceed 50%.

What is the market acceptance and future prospects for flip-chip packages (chip-scale package/no package)? COB package trend? High-voltage LED package prospects? What is the proportion of various packaging models? Please participate in the “2015 High-tech Production and Research Emerging Industry Data Release and Trend Forward Analysis Conference” held on the afternoon of December 19, 2014 at the Golden Central Office, 6th Floor, Jinzhonghuan Hotel, Futian, Shenzhen. Interpretation (only for successful winners).

Conference Contact: Zhuyuan Mobile Phone Email: yuan.

2014 is about to pass. Looking back at 2014, China's LED packaging industry is advancing in silence. The external attention of the industry has dropped significantly compared with the previous two years. In 2014, the expansion of production capacity in the packaging industry was actually higher than in 2012-2013. Different from the previous two years, the proportion of expansion of the large and medium-sized packaging enterprises with a production value of over 100 million in 2014 accounted for more than 60%. While the expansion of production by SMEs is cautious, the market is characterized by greater competitive pressures and the industry's gross profit margin continues to decline. Looking forward to 2015, Gaogong LED Industry Research Institute (GLII) believes that China's LED packaging industry will present the following four major trends.

1. The status of China's “global LED packaging device production base” has further increased. International companies will produce more orders at Chinese factories or hand them over to domestic mainstream companies for production. As of 2014, most of the packaging of CREE, Yiguang, Samsung, LG, Seoul and other companies are in mainland China. In 2015, the proportion of Nichia, Philips and Osram in China for production or commissioned OEMs will further increase. In the domestic packaging industry, the competitive pressures facing international companies will be even greater.

Second, the LED packaging industry will officially enter the competition elimination period, the trend of the larger Evergrande is more prominent. Although hundreds of packaging companies were eliminated in 2014, dozens of companies entered the packaging industry, and the number of overall packaging companies remained small. With the release of production capacity of listed companies and large-scale enterprises, traditional packaged devices will enter the era of low profit. However, small enterprises have limited technical capabilities, and it is difficult to launch new products with higher gross profit in a timely manner. The dilemma of not increasing revenue and not increasing profits is further deepened in small enterprises. Once a downstream enterprise has a large-scale enterprise failure, small-scale packaging companies will face the risk of collapse. The High-tech LED Industry Research Institute predicts that the number of LED packaging companies will exceed 300 in 2015.

Third, the industry concentration has increased. In 2015, China's LED packaging scale will exceed 10 billion enterprises. In 2014, the domestic mainstream LED packaging company, Mulinsen package size will reach more than 3 billion yuan, the national star, Jufei scale will exceed 1 billion, Hongli, Ruifeng, and the long side will reach 800 million to 100 million. Together with the potential enterprises Dongshan Precision, Zhaochi, Wanrun, Jingtai, etc., the scale of 1 billion in 2015 will become the symbol of the packaging leader.

4. In 2015, the total size of China's local LED packaging companies is expected to exceed 60 billion, accounting for more than 40% of the global LED packaging scale. In the next 2-3 years, the proportion of LED packaging in China's domestic enterprises is expected to exceed 50%.

What is the market acceptance and future prospects for flip-chip packages (chip-scale package/no package)? COB package trend? High-voltage LED package prospects? What is the proportion of various packaging models? Please participate in the “2015 High-tech Production and Research Emerging Industry Data Release and Trend Forward Analysis Conference” held on the afternoon of December 19, 2014 at the Golden Central Office, 6th Floor, Jinzhonghuan Hotel, Futian, Shenzhen. Interpretation (only for successful winners).

Conference Contact: Zhuyuan Mobile Phone Email: yuan.