led lighting market penetration continues to rise, or ignite a new wave of price wars
Lighting fluorescent replacement fixtures assembly factory recently shouted out the first quarter can be reached in advance lighting fluorescent replacement fixtures factory price of 0.8 US dollars target, fear of igniting a new wave of LED lighting terminal market price war.LED lighting market penetration continues to rise, the price competition is more intense, LED industry revealed that the international lighting leading factory Philips has set 2016 lighting fluorescent replacement fixtures factory price fell to 0.8 US dollars ultra-low target, a decline of more than 2 percent, so that the upstream supply chain Industry pressure increased, but the recent US dollar continued to strengthen, help relieve upstream manufacturers price pressure, the recent outgoing mainland lighting fluorescent replacement fixtures assembly plant has shouted out in the first quarter can be reached in advance lighting fluorescent replacement fixtures factory price of 0.8 US dollars target, fear of ignition A new wave of LED lighting terminal market price war.On the other hand, due to continued sharp decline in lighting fluorescent replacement fixtures prices, the upper reaches of LED components offer is close to the cost line, which ranked the top 15 LED manufacturers revenue decline. It is reported that in the second half of 2015, lighting power LED prices fell 30-40%, high-power LED prices fell 20-30%. In view of the LED component price competition is weak, many LED manufacturers business decline.
LED component prices in China market plummeted, led to many companies have to exit the LED market. It is reported that in 2015 there are 4000 Chinese LED manufacturers to exit the LED market, this “going out of business” closed sales force other manufacturers to reduce LED product prices. Manufacturers profit suffered a severe test, although the overall increase in lighting fluorescent replacement fixtures shipments, does not help manufacturers to improve operating conditions, some competitors to be forced out of the market. LED industry, pointed out that, lighting fluorescent replacement fixturess and energy-saving lighting fluorescent replacement fixtures prices almost no gap, and 2016 lighting fluorescent replacement fixturess are still price pressure, but the decline is expected to slow the whole year.Even if the market competition continues to intensify, for the LED industry, the future development potential is still very large. Zion Research recently released a global LED lighting market report predicting 2020 global LED lighting market will reach 42.5 billion US dollars, the 2015-2020 compound annual growth rate (CAGR) of 13%. LED lighting applications in which construction will usher in rapid growth.