March 20, 2019

LED industry support policy introduced operability increased

Refining the 12th Five-Year Development Goals of China's LED Industry Recently, the National Development and Reform Commission and the six ministries and commissions jointly issued the "Semiconductor Lighting Energy Conservation Industry Plan", which systematically expounded the development goals, main tasks, key projects and supporting measures of China's LED industry during the 12th Five-Year Plan; The key objectives include: in 2015, the total output value of the LED industry is 450 billion yuan (including 180 billion yuan of lighting products), the compound growth rate of 11-15 years is 30, and the penetration rate of LED lighting products reaches 20 (mainly replacing traditional incandescent lamps, energy-saving lamps penetration rate) Keep 70 unchanged), the localization rate of the chip reached 80 or more.
Clearly the key objectives of policy support 1) Lighting application areas: focus on public lighting (such as street lights) and indoor commercial lighting (such as downlights, spotlights, lamps), timely access to home lighting (such as bulbs); 2) Key technical areas: 4 inch or more substrate, epitaxial chip preparation, 3D/wafer level integrated package, drive power; 3) Equipment and materials: process and inspection equipment, MO gas source, phosphor, package heat sink material. .
Clarify the promotion path and measures 1) Establish a standard system to improve the entry barrier; 2) Establish a dynamic industry leader system, the higher the product efficiency of the higher the product subsidies, and promote the upgrading of industrial technology; 3) The intensity and scope of subsidies will gradually expand. LED bulbs and lamps are expected to enter the scope of subsidies, public lighting promotion or speed up; 4) focus on localization, with the improvement of domestic enterprises' technical level, we expect that from the lighting products to the chips are expected to tilt toward domestic enterprises in the future.
The overall industry is positive, and the industry chain is expected to stabilize and rebound. We believe that the LED policy support of local governments will be more disciplined in the future. Under the background of macroeconomic recovery, the overall prosperity of the LED industry chain is expected to stabilize and recover; The LED lighting application sector is expected to have the highest level of benefits in the short term, recommending chip technology to enhance the integration of NVC Lighting Channel's Dehao Runda.

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