Mainland LED industry came to Taiwan to "cut corners"

The LED industry is facing the threat of the Chinese mainland at a time when South Korean manufacturers are slashing prices. In addition to continuing to purchase MOCVD (Organic Metal-Chemical Vapor Deposition System) machines, the mainland has expanded its production capacity. It has also actively engaged in excavation engineers.

Jing Mingjun, General Manager of Jingdian, said that the MOCVD machine in China increased all the way. Even if the penetration rate of LED TV can be doubled to more than 40% next year, the application of LED lighting will begin. However, the gap between the supply and demand of LED chips will soon approach next year. Next year will be a year of intense competition.

Ji Yuchao, an associate professor of research and development of the Green Energy Business Department of Jibang Technology, said that in the purchase of MOCVD equipment this year, the company concentrated mainly in Taiwan and South Korea in the first half of the year, and it surpassed the trend in mainland China in the second half of the year, mainly because of the subsidy policy of the local government in China. And all manufacturers are optimistic about the future of the LED industry. China's subsidy policy has also enabled more mainstream LED chip companies in Taiwan, the United States, and other regions to enter the Chinese market.

China rapidly expands its LED industry, and in the 12th Five-Year Plan, the output rate of LED chip countries in 2015 will reach 70%, leaving Taiwan’s Epistar engineers to leave. Chu Chaochao stated that Taiwan’s Epistar engineers have an annual salary of about 2 million yuan, but as soon as the salary is doubled, Taiwan is facing the threat of capacity and excavation in the mainland.

Wu Qinghui, chairman of Dongbei Photoelectric, said that the number of MOCVD plants planned to increase in the next few years will exceed 1,200, and the supply of chips will continue to increase. The soon-to-be China mainland will become a competitor in Taiwan.

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