More than 80 LED companies closed the door

The slogan “Running the Road” incident shocked the industry. What is the living condition of Shenzhen LED enterprises? In the past few days, the reporter visited relevant industry associations and research institutions. On October 24th, Shenzhen Semiconductor Lighting Industry Development Promotion Association (hereinafter referred to as the Promotion Association) convened experts and scholars and leaders of well-known enterprises in the industry to discuss the current difficulties faced by the LED industry in Shenzhen. And the way out in the future. The reporter learned from the symposium that since this year, more than 80 LED companies in Shenzhen have quietly closed down or liquidated.

The company’s initial appearance
At the symposium, Wang Dianzhen, the honorary president of the Association, said that when the TV sets were closed down, it was like the TV manufacturers that there were more than 300 in the country. In the end, there were only six, and more than 1,300 LED companies in Shenzhen could never If you can survive, there will inevitably be a group of enterprises falling down. According to his investigation, more than 80 LED companies in Shenzhen have been bankrupted or liquidated this year. It is only because of the large scale and the chairman Mao Guofan’s “running the road” to set off such a big storm.

Unlike Wang Dianqi’s more than 80 LED companies, other companies have chosen to move out. Before the symposium, the reporter interviewed Bao Enzhong, the deputy secretary-general of the Promotion Association, and learned that at present, dozens of LED companies in Shenzhen have moved to other places. In December last year, Jiatai Group moved its production base to Ji'an, Jiangxi; in June this year, Shenzhen Lehman Optoelectronics Technology Co., Ltd. opened in Huizhou Industrial Park; this month, Shenzhen Lianjian Optoelectronics Co., Ltd. The park began production, and the only LED company in Europe, which is engaged in the production of upstream chips and epitaxial wafers, Oralde has also transferred its epitaxial wafer production to Jiangmen. In addition, according to the dynamic display of the promotion, there are dozens of companies ready to move out.

"Shenzhen LED industry is synonymous with China's LED. Now Shenzhen's position in the domestic LED industry is declining year by year." At the symposium, Professor Chai Guangyue, director of the Department of Optoelectronic Science and Technology of Shenzhen University, talked about the status quo of Shenzhen LED industry. Synonymous with China's LED, Shenzhen LED production value has dropped from 70% of the country to the current 1/3, and 1/5 of 2020 has become a problem."

Facing international patent litigation
Shenzhen Juzuo Lighting Co., Ltd. is the largest customer of Japanese LED giant Nichia Chemical Industry Co., Ltd. in China, and its products have a wide market in Japan. Xiao Ling, chairman of Juzuo Industry, said: "The Japanese and Japanese side told us very straightforwardly, "Now you are small, as long as the products are good and there are no core patents, we will not pursue them for the time being, but in the future, if you grow bigger, we will certainly sue." It is recommended that domestic industry standards should be formulated as soon as possible in line with international norms, otherwise many companies will face the fate of being litigated by international counterparts in the future.

It is understood that the main technology of LED upstream chip production is in the hands of foreign companies, the technology localization process is slow, and the lack of core technology directly restricts the development of this industry. Taking Shenzhen as an example, there are 1,350 LED companies in Shenzhen, but only one company in Orend is engaged in upstream chip and epitaxial wafer production. Most of them are small and medium-sized enterprises engaged in middle and lower-end packaging and application, and most of the technology and R&D investment are insufficient.

Calling for "tangible hand" support
During the interview, the reporter learned that LED as an emerging industry has developed very rapidly in the past 10 years. The industrial output value has increased by more than 30% every year. In 2010, the national industry output value was 120 billion yuan, and Shenzhen was 40 billion yuan. The country is expected to reach 150 billion yuan, and Shenzhen is expected to reach 50 billion yuan. Especially LED lighting, as another revolution of light source for human beings, LED lighting will increase geometrically after a complete replacement of incandescent lamps. However, such an industry with bright prospects, why is it a bit in Shenzhen?

At the symposium, experts, scholars and industry experts analyzed that this is related to the influx of capital and the fierce competition in the industry. The US financial crisis and the European debt crisis have caused the external environment to be poor. However, the industry lacks rational planning and government support is insufficient. I am afraid it is also an important reason.

Li Shengyuan, chairman of Bang Bo, said that some people now say that LED has been ruined. The reason for being bad is not that the industry is not good, but the result of "human". There are two levels: one is the enterprise level, which has three issues: corporate integrity, strategic positioning and R&D investment. Nowadays, many companies today see the display screen to make money and do the display screen. When they see the street lamp to make money, they do street lamps. There is no main business. "This kind of enterprise is not dead." The key to LED is core patent, Philips research and development fund for one year. For 50 million US dollars, the R&D expenditure of all LED companies in Shenzhen may not be so much.

The second is the government level. On March 7, 2009, Shenzhen City took the lead in releasing the "Shenzhen LED Industry Development Plan (2009-2015)", "Shenzhen City Promotion of Energy-efficient Semiconductor Lighting (LED) Product Demonstration Project Implementation Plan", "Shenzhen City" Series of documents such as Several Measures to Promote the Development of the Semiconductor Lighting Industry. "When the policy was introduced, we were really excited. However, due to the lack of policy implementation and lack of coherence in policy implementation, Shenzhen's enthusiasm for the LED industry is not as good as elsewhere." Deputy Director of the Semiconductor Lighting Laboratory of Shenzhen Graduate School of Tsinghua University Can also say: "In terms of policy, Shenzhen is ahead. Now that LED is very hot in the country, Shenzhen is surprisingly calm."

Deep enterprise is ready to hold the group to fight the world
At the symposium, experts, scholars, and industry leaders have raised their own insights about the way out of Shenzhen LED, but what they say most is "the development of the group."

Wang Dianxi said that if Shenzhen LED wants to continue to lead the country, it is imperative to carry out technological innovation and improve product quality. At present, LED is transitioning from the start-up phase to the adjustment phase. In the future, industry reshuffle is inevitable, and bankruptcy is normal. In this case, it is very important to fight the world through the group, and to reorganize and integrate.

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