Casa> Blog> China's LED lamps export pressure is huge - LED, LED lamps

China's LED lamps export pressure is huge - LED, LED lamps

August 25, 2022

The country is a big LED producing country. With the wide application of LED in the world in recent years, the export growth rate has grown by leaps and bounds. By May 2007, China’s LED exports totaled 1.38 billion US dollars, up 72.5% year-on-year, while the cumulative import was 1.31 billion US dollars. The year-on-year increase of 14.6%, the export value exceeded the import amount for the first time.

It is reported that the US UL organization is currently working on a series of safety assessment standards for LED products. The technical barriers to export trade have become commonplace in the lighting industry. It is undoubtedly another heavy hammer under the export pressures of RMB appreciation, export tax rebate reduction, raw material prices, anti-dumping and so on. What kind of situation will China's LED lighting export enterprises face, and how should they respond?

The export market is good for the worry

After more than 30 years of development, China's LED industry has initially formed a relatively complete industrial chain. After experiencing the road of buying devices, buying chips, and buying epitaxial films, the LED industry has initially realized the independent production of epitaxial wafers and chips. At this stage, the number of people engaged in the industry is more than 500,000, more than 20 research institutions, more than 4,000 enterprises, including more than 50 upstream enterprises, more than 1,000 packaging enterprises, and more than 3,000 downstream application enterprises. In 2006, the total output value of China's LED industry reached 10.55 billion yuan, of which the packaging industry output value reached 8.75 billion yuan.

China's LED exports account for a large share of the world market, especially in recent years, showing an increasing trend year by year. According to the survey, China has the absolute advantage of low raw material and labor prices, and is the main place for countries around the world to purchase LED products. At present, only the United States and Japan can compete with China's LED export volume. With the continuous expansion of global LED promotion, market competition is becoming increasingly hot. According to Kong Linghua, general manager of Zhongshan Greenman Optoelectronics Technology Co., Ltd., the company's LED exports have tens of millions of dollars of export per year, accounting for 80% of the total output, and increasing by more than 30% year by year. The products are exported to the United States, Canada, Germany. , the United Kingdom and South Africa, the Middle East and other regions. Represented by the Pearl River Delta, the Yangtze River Delta and other developed manufacturing regions, more and more enterprises are participating in the flood of LED export competition.

However, as far as China's LED export situation is concerned, there are still great concerns. There is still a big gap between China's export of LED products and developed countries. All along, China's LEDs have an advantage in product packaging, but in terms of product development and chip manufacturing, they are still far behind the developed countries such as Europe and the United States. The international high-end LED products are produced in Taiwan, Japan, Europe and America. In China, taking enterprises in the Pearl River Delta region as an example, many small and medium-sized enterprises can only produce a large number of products such as rainbow tubes. Even many enterprises cannot produce products that meet the certifications of developed countries such as Europe and the United States, and can only be exported to Africa, India, and Arabia. Such backward countries and regions have made profits with low price advantage. This obviously does not meet the international development trend.

In addition, the intensified export competition between the same industry has led to vicious competition for competitive price reduction, product quality is not guaranteed, and many quality indemnities are faced, and the reputation of exports has fallen sharply. This has also brought tremendous pressure on LED exports.







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