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led chips and packaging have prices sugres increasingly

In March this year, wood Linsen, crystal units and some other manufacturers of packaging products for a certain range of price increases. Followed in May and another source said, crystal electricity, three security chip manufacturers such as LED chip products for some of the corresponding price adjustment. Recently, the LED industry, the news came again LED chip prices.

Price war raged on the occasion, there is nothing more than “price” can touch the nerves of the LED industry.

This year in March, wood Linsen, crystal units and some other manufacturers of packaging products prices were a certain range of increase. Followed in May and another source said, crystal electricity, three security chip manufacturers such as LED chip products for some of the corresponding price adjustment. Recently, the LED industry, the news came again LED chip prices.

Several companies LED chip prices

A letter in the statement: the current market price of raw materials generally bottomed out, gold (up more than 27% over the beginning of the year), the price of raw materials, Substrate (more than 30% rise in June) and other materials rose significantly, while small and medium-power products due to chip size, after the process of consumption of a large number of sorting and testing production capacity, labor costs per unit, and led to my chip after the sharp output value of the chip Decline, is a combination of various factors, the company decided to price for some small and medium size products floating 10%, and in August 20, 2016 began.

In addition to the three security optoelectronics, the Huacan and other LED chip manufacturers, some of the product prices are also carried out different degrees of increase.

Huacan photoelectric marketing director Shi Songgang told Xiao Bian, the company for some of the original low-margin products for the corresponding price adjustment.

A front-line chip manufacturers, the relevant responsible person also said that the company’s LED chip product prices have increased by 5% -10%.

Another second-line chip factory responsible person, this year, the company’s part of the LED chip product prices have been slightly raised several times.

It is worth mentioning that several LED chip manufacturers to increase the price of the products include small and medium size chips. “Small and medium size chip itself cost is relatively high, coupled with last year LED chip manufacturers in the field of competition is too intense, its basic price is low, the current price rise is only reasonable callback.”

The second-tier chip factory responsible person analysis, small and medium-sized chip price increases mainly due to two reasons: First, because part of August packaging manufacturers concentrated procurement of the third quarter with the chip, resulting in chip supply in short supply; Second, because in the wood Linsen package Vendors to expand production, LED chip manufacturer’s production capacity is relatively limited, the chip plant will give priority to scheduling a relatively high profit margins in the large-size chips, small chips are mainly with some customers for production and limited supply.

“In this case, small and medium-sized packaging manufacturers to purchase chips will become increasingly difficult.” However, the official also admitted that “the chip manufacturers to expand production equipment not so soon put into use, once invested, and Will re-emergence of oversupply situation, so the current small and medium size out of stock is only temporary.

The first-line chip factory is responsible for the view that the LED chip prices on the one hand due to rising raw material prices, the other is due to packaging market out of stock, chip supply, chip production capacity can not keep up with the expansion of production capacity. “Not just small and medium size, other types of chips as well.”

Part of the packaging plant product prices

LED chip factory is not just, packaging manufacturers also resorted to price increases wood Linsen action. A spread in the circle of friends inscribed as “Shenzhen Mulin Sen Light Technology Co., Ltd.,” the price adjustment letter shows: As the market changes, resulting in rising costs of our products, according to the actual price of raw materials prices, scheduled for September 2016 1 day from the supply of your company’s display RGB lamp beads uniform price increase of 5%.

Xiaobian call Lin Lilin implementation of the general manager Lin Jiliang confirmation of the matter, said the wood Linsen does have some products were slightly increased, mainly for the display with lamp beads. “The main reason is the rise in raw material prices.”

led chips and packaging have prices sugres increasingly

In addition to wood Linsen, there are rumors that several other display-based packaging business-oriented part of the product prices have also been raised. While the main lighting package of the enterprise has not yet released the news of price increases.

“Chip, the current supply or before the next order, as to whether after the price, has not yet received notice, temporarily heard of price.” Wang Li, deputy general manager of the Hongli Zhihui said that even if the LED chip Prices have increased slightly, packaging manufacturers are also difficult to potential price increases. “Overall, LED packaging prices in a relatively stable state.”

Liu Lin, deputy general manager of the same party photoelectric, said the main side of the main high-power light source and COB light, LED chips have not received notice of price increases. “Overall, LED packaging prices are still relatively stable situation.”

Wang Fei analysis, small pitch LED display has entered the market growth period, the market size is rapidly expanding. Strong downstream demand and technological progress will lead to small space package and chip consumption growth. He believes that the display and backlight packaging products will be driven by demand for small spacing screen, the price will have a certain increase in space, “and the lighting package will face upstream and downstream extrusion.

Wang Fei also said that this year LED chip, package price increases, in essence, are related to the fiery display market. The rapid growth of the display market demand is transmitted to the display package and the chip side, and this supply tension is also overflow to the lighting chip, display chip and lighting chip is the difference between the epitaxial process, but epitaxial equipment and chip production Equipment, there is competition in the production, the display market is good, the chip manufacturers will turn part of the production capacity to the display chip production, which led to the supply of lighting chips tension.

“Overall, the lighting needs of no significant improvement in the circumstances, the lighting chip prices will be mainly to the cost of repair, price increases are not expected to be much, while the lighting package is facing upstream material prices, it is difficult to downstream Customers pass the cost of the plight.

Display hot demand from several major LED display listed companies in the semi-annual results can be seen. Abyssin in the first half revenue of 509 million yuan, an increase of 11.69%; net profit of 60.7644 million yuan, an increase of 37.60%. Small interval display to sign about 233 million yuan, an increase of about 65%, accounting for about half of all the display orders 40%.

Chau Ming Science and Technology in the first half revenue of 672 million yuan, an increase of 7.60%; net profit of 65,538,300 yuan, an increase of 14.82%. LED small pitch product sales revenue of 275 million yuan, an increase of 63.98%, accounting for the company’s total revenue accounted for 40.97%; order amount of 426 million yuan, an increase of 76.78%.

Riad in the first half revenue of 1.732 billion yuan, up 188.44%; net profit of 184 million yuan, an increase of 125.67%. Small pitch LED HD display orders surge, the current order has exceeded 1.1 billion yuan (up more than 100% over the same period last year).

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