In 2021, lighting companies will cooperate with Internet companies, smart lighting cloud platform companies and other technology companies to cooperate in sub-scenarios under smart lighting, such as Leyard and Foshan Lighting in the fields of smart city, smart education and smart office. layout, and Huati Technology focuses on smart street lights, and one of UL's development directions is human-based lighting.

The "National "Twelfth Five-Year" Science and Technology Development Plan" supports LED lighting. In order to further promote "green lighting", on October 1, 2012, the import and sales of general lighting incandescent lamps were gradually banned according to power levels. At present, the main content of the "14th Five-Year Plan" and the 2035 vision can be divided into digital applications and green economy.

For the LED lighting industry, digital applications are mainly to further integrate and improve smart lighting in smart homes, and to further enhance the adaptability of product types and lighting systems. The green economy is to develop green smart lighting under the sustainable development of energy, establish industry standards uniformly, and ensure the high efficiency and energy saving of products.

The epidemic further promotes the integration of the LED industry

In 2020, the big waves washed away the sand, causing some companies to withdraw from the market because they could not cope with the sudden impact of the epidemic, and the LED chip industry was further integrated. There are about 14 LED chip manufacturers in production, and the top three alone account for 67% of their revenue, namely Sanan Optoelectronics, Huacan Optoelectronics and Qianzhao Optoelectronics.

Although the Chinese lighting market is developing rapidly and the competition is fierce, the market demand is huge and the development environment is good. It is still a key market for large-scale manufacturers. For example, in 2016, after withdrawing from the Asian lighting business due to GE Lighting's strategic adjustment, it will return to the Chinese stage in 2021.

my country's financial subsidies

According to the national industrial plan, technology research and development and breakthroughs have become the focus of government encouragement, especially the LED industry has gradually entered a mature stage. Data shows that in the first three quarters of 2021, the top 37 LED A-share listed companies received government subsidies, totaling more than 1.3 billion yuan. Among them, the Bull Group received subsidies of up to 834 million yuan in the first three quarters of 2021, and the net profit in the same period was as high as 2.21 billion yuan.

"Green Lighting" Promotes Industrial Structure Adjustment

After the government funds entered, a large number of enterprises poured into the LED industry successively. After the subsidy retreated, it entered a new round of reshuffle in 2011. According to statistics, in 2011, 10% to 20% of LED-related enterprises in the country have closed down, of which the Pearl River Delta accounts for the vast majority.

Since the second half of 2011, nearly 20 heavyweight mergers and acquisitions have occurred in the global LED industry, including the Chinese market. Some companies with strong capital and clear long-term goals, such as GE, Osram, LayTec AG of Germany, and Endo Lighting of Japan, have begun to acquire, especially some international lighting manufacturers including Osram, Philips, etc. A series of mergers and acquisitions have made more layouts. By 2012, the distribution of enterprises was highly concentrated, with the Pearl River Delta accounting for nearly 90%.

The industrial structure after the epidemic in 2020 has been adjusted. For example, in the upstream of the LED industry, ingot manufacturer MONO, sapphire wafer manufacturer Jingan, and PSS manufacturer Zhongtu ranked first in their respective links, occupying a dominant position in the competition.

"Green lighting" to promote the scale of the market

The LED lighting industry is developing rapidly. From the chip side, the output of GaN wafers in mainland China was 2.8256 million pieces in 2019. It is worth noting that the epidemic has not affected GaN Wafer companies, and even the output will directly increase by more than 10 times by 2020, rising sharply to 29.12 million pieces, and to 39.44 million pieces in 2021.

The surge in upstream production represents a surge in downstream demand. From the perspective of lighting products, in the first three quarters of 2021, the total export value of China's lighting products was 46.999 billion US dollars, a year-on-year increase of 32.68% (China Lighting Association). Among them, the number of LED bulbs exported was the largest, reaching 4.549 billion pieces, and the export value also reached $3.386 billion. From the perspective of market penetration rate, the penetration rate of LED lighting will be close to 60% from 2021, and the penetration rate of LED lighting will continue to increase in the future.

"Green Lighting" was further promoted during the "14th Five-Year Plan" period, and specific and implementable guidance was given. Guide enterprises to rely on scientific and technological progress to improve energy efficiency, take the road of efficient and clean energy utilization, and combine my country's digital economy goals to promote industrial integration, so that the production of the lighting industry is "green" and the application is "greener".

In other words, the emergence of "green lighting" can be said to be the singularity of LED lighting. If the replacement of fuel lamps by incandescent lamps is an industry upgrade 2.0, LED lighting is entering the era of 3.0. And the government has clearly stipulated that in 2025, the energy saving target will be reduced by 13.5% on the basis of 2020, so it is expected that the action on "green lighting" will intensify in the next three years.

(Text: LEDinside Hannah)