Light-emitting diode (LED) supply chain manufacturers are stepping up their deployment in the six LED industry clusters in mainland China. Thanks to the “Twelfth Five-Year Planâ€, the six major LED industry settlements in Mainland China will accelerate their formation. It is expected that more foreign LED companies will actively use a joint venture or strategic alliance to help establish a more complete supply chain. In addition to lowering production costs, the world's manufacturers can also take advantage of this to divide the LED lighting market in mainland China.
Yang Shengfan, deputy director of the Tuoba Industrial Research Institute, said that in 2012 China's LED lighting standards will be finalized, coupled with the 12th five-year plan to help boost the LED lighting will contribute to the expansion of the Chinese mainland market.
Yang Shengfan, deputy director of the Tuoba Industrial Research Institute, said that in order to implement the 2015 LED industry scale of RMB 500 billion and the target of 50,000 new jobs in mainland China, the Chinese mainland is vigorously supporting local LED supply. Chain manufacturers, to force the six major LED industries to form a settlement, is expected to attract more LED supply chain industry rush to enter and actively attack the Chinese mainland LED lighting territory.
Yang Shengfan analyzed that if foreign investors want to enter the LED lighting market in mainland China smoothly, in addition to the flag industry cluster, based on the Chinese mainland's priority to nurture local LED industry policy, they must also integrate into local supply chains, such as seeking outsourcing factories and components in mainland China. Suppliers and so on. In particular, Taiwan's supply chain manufacturers lacking brand advantages, if they can establish a brand together with mainland Chinese companies through industrial clusters, will be expected to first stabilize the LED lighting market in mainland China, and then extend their operational reach to Europe and the United States.
With various manufacturers rushing into the LED industrial clusters in mainland China, their supply chain will become more complete, which will benefit the upper and lower reaches of the industry to reduce manufacturing costs and expand the LED lighting market.
On the other hand, in order to increase the penetration rate of LED lighting in the Chinese mainland market, the government will formulate its LED lighting subsidy policy in the 12th Five-Year Plan of Mainland China. Therefore, the subsidy policies of various local governments will be very different. There are different subsidy policies for commercial and home lighting, which are expected to be finalized in 2012 and will reduce the spread between LED lighting and traditional light sources and energy-saving lamps.
Yang Shengfan pointed out that the observed price of LED lamps is still several times higher than traditional light sources, so the implementation of the subsidy policy will help to narrow the price of LED light sources and energy-saving lamp terminals in order to accelerate the popularity of LED lighting market. On the other hand, suppliers can also avoid excessive price competition, can focus on providing high-quality products to consumers, and increase confidence in buying LED lighting products.
At this stage, the six major LED industrial clusters in the Chinese mainland include the West Triangle, the Bohai Rim, the Yangtze River Delta, the Two Lakes, the Pearl River Delta, and the Chongqing. However, with the complete layout of the eastern coast and higher costs, the LED industry is expected to gradually Central and western regions.
Yang Shengfan analyzed that the domestic demand market, the subsidy policy and the low labor cost are the incentives for foreign companies to deploy the Chinese market. Especially under the poor economic conditions in Europe and the United States, the LED lighting market in mainland China has become a hotly contested place for the military, but it is increasing. With cost competitiveness, the undeveloped LED industry settlements such as the central and western regions such as Chongqing will have a chance to rise rapidly.
Yang Shengfan, deputy director of the Tuoba Industrial Research Institute, said that in 2012 China's LED lighting standards will be finalized, coupled with the 12th five-year plan to help boost the LED lighting will contribute to the expansion of the Chinese mainland market.
Yang Shengfan, deputy director of the Tuoba Industrial Research Institute, said that in order to implement the 2015 LED industry scale of RMB 500 billion and the target of 50,000 new jobs in mainland China, the Chinese mainland is vigorously supporting local LED supply. Chain manufacturers, to force the six major LED industries to form a settlement, is expected to attract more LED supply chain industry rush to enter and actively attack the Chinese mainland LED lighting territory.
Yang Shengfan analyzed that if foreign investors want to enter the LED lighting market in mainland China smoothly, in addition to the flag industry cluster, based on the Chinese mainland's priority to nurture local LED industry policy, they must also integrate into local supply chains, such as seeking outsourcing factories and components in mainland China. Suppliers and so on. In particular, Taiwan's supply chain manufacturers lacking brand advantages, if they can establish a brand together with mainland Chinese companies through industrial clusters, will be expected to first stabilize the LED lighting market in mainland China, and then extend their operational reach to Europe and the United States.
With various manufacturers rushing into the LED industrial clusters in mainland China, their supply chain will become more complete, which will benefit the upper and lower reaches of the industry to reduce manufacturing costs and expand the LED lighting market.
On the other hand, in order to increase the penetration rate of LED lighting in the Chinese mainland market, the government will formulate its LED lighting subsidy policy in the 12th Five-Year Plan of Mainland China. Therefore, the subsidy policies of various local governments will be very different. There are different subsidy policies for commercial and home lighting, which are expected to be finalized in 2012 and will reduce the spread between LED lighting and traditional light sources and energy-saving lamps.
Yang Shengfan pointed out that the observed price of LED lamps is still several times higher than traditional light sources, so the implementation of the subsidy policy will help to narrow the price of LED light sources and energy-saving lamp terminals in order to accelerate the popularity of LED lighting market. On the other hand, suppliers can also avoid excessive price competition, can focus on providing high-quality products to consumers, and increase confidence in buying LED lighting products.
At this stage, the six major LED industrial clusters in the Chinese mainland include the West Triangle, the Bohai Rim, the Yangtze River Delta, the Two Lakes, the Pearl River Delta, and the Chongqing. However, with the complete layout of the eastern coast and higher costs, the LED industry is expected to gradually Central and western regions.
Yang Shengfan analyzed that the domestic demand market, the subsidy policy and the low labor cost are the incentives for foreign companies to deploy the Chinese market. Especially under the poor economic conditions in Europe and the United States, the LED lighting market in mainland China has become a hotly contested place for the military, but it is increasing. With cost competitiveness, the undeveloped LED industry settlements such as the central and western regions such as Chongqing will have a chance to rise rapidly.
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