Under the "three major factors", LED lighting industry investment is in deep trouble

With the deepening of energy conservation and emission reduction, during the 12th Five-Year Plan period, the National Development Committee announced the elimination of incandescent lamps in the past three years. Lighting is expected to be included in the financial industry that promotes efficient lighting subsidies. At one time, enterprises from all over the world have joined the LED lighting industry. Despite the favorable news of the policy in the LED industry, is this the time to enter the LED industry?

LED lights, as a new energy LED technology, is considered to be the most promising high-tech emerging industry in the 21st century. While triggering the lighting revolution, it can also promote the environment. Therefore, all countries in the world have begun. Development and promotion of LED.

Do you want to invest in the LED lighting industry at this stage ?

At present, many countries and regions have formulated clear timetables for incandescent lamps. The United States, the European Union, Japan, Canada and other countries will eliminate incandescent lamps around 2014. The Chinese government has also clearly stated that it will complete the elimination of incandescent lamps in 10 years (2019). Although LEDs will also face competition from energy-saving lamps, more environmentally friendly LED lamps will gradually take advantage of the market.

The development prospects of LED lighting are broad. Tao Haiqing, vice president of Zhejiang Seiko Construction Co., Ltd., said that it is incumbent on Chinese people to invest in foreign-led projects. It not only has a market, but also a national strategy.

However, at present, the phenomenon that the LED industry is hot and the company is shivering cold has also caused thinking in the industry. Dr. Liu Hongzhi, a doctor of management at Zhejiang University, has objections to the blind investment of enterprises at this stage. LED lighting companies already have 3000 in China. -4000 homes, and the entire market demand has not yet opened, too much access, or caused by overcapacity, while LED lighting technology is not mature enough to be further improved.

"If we have a certain foundation in this lighting industry, I encourage to increase the investment of LEDs and go upstream." Xu Liancheng, CEO of Zhejiang Little God Lighting Co., Ltd. said that one of the important reasons for the current market confusion is that he does not understand the industry. "Many people who do LED lighting don't actually understand lighting."

Expensive, the LED lighting market is limited
The energy-saving efficiency of LED lighting is 1 times higher than that of energy-saving lamps, but the price of energy-saving lamps is several times cheaper than LED lamps. As the fourth generation of lighting, LED is the revolution of light source, entering the home lighting, and the current lighting is very different. The future lighting is the household lighting to see the light but not the light, but with the change of climate, with the mood Adjustment, you can intelligently change the light,

LED lighting is a serious phenomenon of light decay, and the quality is not good. Many terminal consumer places do not dare to use this as a bargaining chip. "LED lighting is still immature, and it is more of a market low-price strategy, creating a high-end feeling. From the perspective of home lighting, it is still in its infancy, and the technology is not mature enough," said Liu Hongzhi.

At present, LED lighting has not reached the stage of popularization of the people. More government procurement and sales abroad, or in high-end consumer places, such as the big stage, large shopping malls, in fact, the civilian status, has not yet spread.

Lack of core technology, investment LED should be cautious
At this stage, the LED lighting market is chaotic and disorderly, especially in outdoor lighting. New things tend to get together, but there is no core technology, no intellectual property rights, price wars, and easy to form vicious competition.

LED represents a new leading technology, but at present there is still no core technology in China. In the field of LED lighting energy conservation, the entire upstream accounts for 70% of the profits of the industrial chain, and is controlled by the five international giants. Liu Hongzhi said that there are not many enterprises in China that have mastered core technologies, and many enterprises are basically going downstream, and the benefits are not many.

"We have to judge whether LED has a market, or when it can be promoted on a large scale. The key is how our technology research and development progresses, but from now on, the possibility of technological breakthrough is very large in the past two or three years. "Tao said.

In response to the characteristics of LED lighting energy conservation and environmental protection, the government has given some policy support. From the perspective of the country as a whole, the participation of enterprises will contribute to the development of the LED industry. However, from the perspective of enterprise cases, according to the actual situation of enterprises, Factors such as technology development, management level, channel construction, and financial support are all crucial.

LED lighting industry needs policy support
"Civil LED lights can not be widely promoted in the short term. If the government promotes and provides policy support, as a company, it is likely to be profitable?" Liu Hongzhi said humorously.

Guangdong LED lighting has developed very rapidly and has received strong support from the government. For example, the “100,000 miles” and green lighting demonstration cities proposed last year have promoted the rapid development of the LED lighting industry. Tao said that LEDs will be even further in the next 50 years. It represents a mainstream technology. The vast China should be very firm in investing in mainstream technology.

The government's large-scale procurement of emerging industries is an important means of supporting technological innovation. The initial stage of new industrial development requires the encouragement and promotion of the government, Xu Liancheng said. However, some people have questioned that the development of the LED lighting industry mainly depends on the support of government policies, which is not necessarily a good thing.

Xu Liancheng said that investing in the LED lighting industry, Xu investment in the LED lighting industry needs to have three conditions, first of all, do not understand LED, do not understand lighting. If you don't understand, it is recommended not to invest, again, where is the market for the production of goods, clear market direction, who to sell to, where is the key to your sales network, if you do not, it is recommended not to invest. The third thing you produced, after you sell it, can you recover the money? If you can't get it back, I don't think it is necessary to invest.

"LED as an emerging industry, the country should support the industry", Tao said that investment in LED lighting, not only must have investment conditions, but also must carefully choose the investment field, while having policy support, but also focus on technological innovation.

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