LED packaging market is huge, the rise of local lighting packaging manufacturers

According to the latest report, China's LED packaging market in 2015 was 8.8 billion US dollars, of which the LED market for lighting was 3.9 billion US dollars, with an annual growth rate of 15%, accounting for 44% of the total market size. Due to the rapid growth of LED lighting demand in emerging markets such as Southeast Asia and India, the market share of Chinese local lighting packaging manufacturers represented by Mulinsen (002745) and Hongli Optoelectronics (300219) has gradually expanded and the market position has gradually increased.

Due to the shrinking technology gap with international manufacturers, the competitiveness of Chinese lighting LED packaging manufacturers has been continuously improved. In recent years, they have quickly entered emerging markets such as Southeast Asia and Africa by virtue of cost advantages. Some manufacturers have also obtained OEM orders from major international manufacturers, driving the overall camp. The scale of collection continues to expand.

The ranking shows that in 2015, Mulinsen (002745) is still the leader of China's lighting LED packaging, and its revenue has only declined slightly compared with the previous year. Mulinsen is still expanding its production capacity, paving the way, and constantly opening up the scale gap with other manufacturers. In the short term, its leading position will be difficult to shake.

After the acquisition of Smect, Hongli Zhihui (300219) jumped to the second place in China. The parent company continued to increase investment in lighting LEDs and actively launched products such as flip-chip and COB packaging. The subsidiary, Smax, continued to expand its production capacity and is committed to developing the EMC packaging business. In addition, as Hongli acquired the support manufacturer Liangyou Hardware, it will further reduce the packaging cost, and the competitiveness is expected to increase.

With the absolute advantage of EMC packaging technology, Tiandian Optoelectronics has obtained OEM orders from many international manufacturers. In 2015, LED LED revenues rose against the trend, with an annual growth of over 40%, and successfully squeezed into the third place.

Ruifeng Optoelectronics (300241) Although the backlight LED business revenue declined significantly in 2015, the LED business revenue continued to grow. This year, Ruifeng Optoelectronics launched F-EMC new products for the first time, which has attracted industry attention and is expected to become a new growth point for lighting LEDs in 2016.

The Changfang Group (300301) gradually reduced the LED lighting finished products business and returned to the LED packaging industry. Affected by the poor market conditions, the 2015 LED Group's LED package revenue declined significantly, but the ranking remained at fifth. After the acquisition of Kang Mingsheng, the Changfang Group actively launched mobile lighting LED products to help its lighting LED business development.

While consolidating the backlight market, Zhaochi Optoelectronics has also actively invested in the lighting market, expanding its production capacity and obtaining OEM orders from major international manufacturers. This year, LED lighting revenue is expected to grow significantly.

In addition to the development of display packaging, Guoxing Optoelectronics (002449) is also actively developing in the lighting LED business, which has increased its revenue ratio year by year.

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