LED backlight industry in the third quarter

China's LED epitaxy factory Sanan Laitai sells chips at a low price, and LED downstream packaging makers say that Taiwan's LED chips are still more cost-effective than domestic ones. Jingdian and Yuyuan’s technology is leading for two years. Next year will be the year of LED lighting. Overcapacity is also expected to be alleviated.

The LED industry's outlook for the third quarter was better than expected. Dong Qing Electronic's chairman Wu Qinghui said that at present orders are in full swing and they are eager to follow up on the urging of goods.

Wu Qinghui said: "Jindian owes a lot of goods to him. I have urged Zhou Mingjun, the general manager of Jingdian, to urge the grain." Jingdian has not yet reached its capacity in August and is conservative in September; but it is currently on September. The production capacity is full, and Jing Shixian’s spokesperson Zhang Shixian said that the demand for LED backlight TVs in the third quarter exceeded Jingdian’s expectations.

In addition, the company recently received orders from South Korea's Lumens and Dongbei. Lumens is the main supplier of Samsung's LED backlights for TV backlighting, benefiting from Samsung and OSRAM’s patent settlements. The third quarter is very prosperous and is fully loaded in August and September. The current round of TV orders has seen the fourth quarter.

In the past two years, the mainland LED factory Sanan has rapidly emerged. Not only did it scoop horn engineers from Jingdian, Yuyuan and other LED epitaxy factories, but also actively sent samples to Taiwan's LED packaging factories and grabbed a single product at a low price. The orders were slammed and the capacity was fully loaded until September.

An LED large-scale packaging plant supervisor said that Sanan's chips were actually sent for testing, but the test results were not good. From the perspective of performance, if Jingdian is 1, Sanan is only 0.8, and the price is not relatively cheap, so As long as such high-end orders as TV, Taiwan factory is still afraid to use domestic chips.

Previously it was rumored that Delta Electronics had already used Sanan's chip. Jiang Wenxing, general manager of Delta Lighting Business Division, said that Delta Electronics did not use Sanan's chips and currently evaluates chips from other domestic manufacturers, mainly for domestic market considerations.

Wu Qinghui said that at present, the prices quoted by Taiwan’s domestic chip makers, including Sanan, are not yet competitive, their stability is not high, the cost of LED accounts for TV is not high, and the specifications required for TV backlighting are very narrow, and domestic chip factories are not easy to enter. Taiwan's chip factory technology can lead at least 2 years.

Another LED packaging factory supervisor said that most of the domestic LED factories are vertically integrated, so the company will not use domestic chips, and after avoiding the expansion of the other party, it may return to Taiwan.

Last year, the mainland strongly assisted companies to purchase MOCVD machines and caused imbalance in the supply and demand of the LED industry. Due to the lack of engineer operations in the mainland, many machines presented a "sleeping" state. In addition, the LED industry believes that with the outbreak of LED lighting next year, supply and demand The imbalance is expected to be lifted.