Promotion of the Positive Development of LED Industry

Existing Problems of LED Industry<br>
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The key issue of the current domestic LED industry is the lack of core technology, the demand side is not effectively opened, and the policy should be more to be forceful. These can all be solved through facing their own shortcomings and efforts. But in terms of the reality LED lighting products, such as high-power and high-brightness LED chip products are still dominated by foreignled light manufacturer. The one hand, the domestic LED upstream companies have to be actively involved in this "cake" and make efforts to increase the upgrading skills; On the other hand, the government's industrial policy should change from the project subsidies mode before to the level of technological encouragement. Multi-market allows the industry to get into the orderly development under the guidance of the government.<br>
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Current Situation of LED Industry<br>
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Led industry is a typical industry which grows rapidly on the background of transformation and upgrading in the last two years. Objectively, the current downturn of industry is the result of the combined effects of many reasons, such as the impact of the economic environment, the concentrated release of industry capacity, the decline in the market such as the market of inground led light and the terminal growth in demand is lower than expected resulting in the long corporate investment recovery period and the tense funds chain. The rapid capacity expansion cannot be supported only by the market, and it is the boost of policies and funding at a large extent. Similar to the photovoltaic industry, LED industry model is also put in generous investment upfront, purchase off-the-shelf equipment from abroad with basic team and technology at the same time, and then you can become an LED enterprise. The "low threshold" entry in this industry is the important reason for local governments and enterprises of all types to invest.But in front of the market, companies eventually have to face the reality of the problems of cost, technology, human resources, patents, market demand, and the follow-on funding. The chaotic period of industry expansion doomed to face the dilemma. From the positive point of view, this is not a bad thing to take into account the opportunities and risks of the market, and an industry is able to survive.<br>
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Industry Consolidation of LED Industry<br>
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Despite the promising stage, industry consolidation is still inevitable. The thriving and chaos exist together in LED industry, only after a deep integration can make it enter the orderly and healthy development track. Insiders pointed out that, despite the industry is experiencing growing pains, for prominent companies who have brands, channels, talent, technology and operations management capabilities, it means more opportunity, these enterprises can develop in large scale.<br>
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