Industry news


Inventory led to LED price war

From: Data:30/08/2016

mainland LED display manufacturers inventory up to 5 billion yuan, the next few quarters to turn inventory pressure, there may be a price war again on the Taiwan plant. Corporate pointed out that Taiwan plant will inevitably impact, but not as comprehensive, to the current electric crystal and gem circle capacity are close to full load condition., no inventory too high lethality. According to the market research agency data, former Chinese 20 led factory currently product inventory up 50 billion yuan, of which epitaxial Dachang Sanan is 9.7 billion yuan, the industry said. While China's LED plant widespread losses, the next may have to reduce the financial pressure on the stock, the fastest third quarter may be in the market to sell stocks, then the LED market will be a little bit of the dawn of the pressure. Shenzhen LED display manufacturers ITRI led researcher Guo Ziling said that manufacturers of high inventory, reflect China's LED industry development and government subsidy to highly connect, manufacturers rely on government subsidies, technical force is insufficient, so inventory pin out. In contrast, Taiwan factory technical force is stable, strong competitiveness. And high inventory of China has been a sustained phenomenon, the next if the market to sell, although inevitably undermine the price, but the factory product is more than a low order, and Taiwan factory product division and there is not much overlap. EPISTAR said, the current capacity has been full of blue, four yuan of production capacity of about 7~8; canyuan also pointed out that the second season approaching full capacity. Although this year led prospects compared with last year's optimistic, but crystal electric chairman Bingjie said earlier, the visibility of orders see may. Customers pull goods well, but then to see prices will remain stable, in the second quarter have been proposed price properly maintained at a normal seasonal decline of 3-5%, fairly normal, followed by the third quarter of demand and the price remains to be seen. Corporate market that China led factory inventory, although high, but in epitaxial segment and Taiwan factory compared to non competitive, otherwise crystal electric, gem circle capacity impossible all the way to go. Especially in factory product positioning is low order, such as low-cost LED lighting or consumer appliances with the display backlight and a lot of inventory is actually can not be realized, may ultimately have to resource recovery treatment, so Taiwan plant limited impact.