Automotive lighting into the LED market new blue ocean

With the overcapacity in the upstream LED industry has led to imbalance between supply and demand and price collapse, LED industry is actively developing a niche market in different applications, automotive LED industry has become the new blue ocean market locked, automotive lighting safety specifications are strict, plus The time for certification is lengthy, the cost of manpower and resources for certification is high, and the chance of entering the automotive lighting supply chain is relatively low. However, once it enters the car lighting, it will be able to win long-term and stable orders. The market niche, product gross margin performance is also relatively good, this is also the main reason that LED factories actively want to enter the automotive market in recent years.

Taiwan Plant Outlet Card Positioning Vehicle LED Market New Blue Ocean

Recently, the Taiwanese LED factory is not willing to become a disappointing business. Jingdian, Everlight, Lunda, Dongbei, and Yuyuan have already started to build a new blue ocean-vehicle LED market with high gross profit margin and high barriers to entry, but it is limited to products. Competition has only just begun, and each regards the car LED layout as the top secret. Crystal Power is turning to profit this year, sprinting technology, trying to pull away from the land competitors. Li Bingjie pointed out that new products will be rapidly introduced this year, and the target for internal sales of new products this year will reach the level of one billion yuan (TW, the same below) (Chrysler’s combined revenue in the first quarter of this year will reach 4.3 billion yuan). The cornerstone for the future.

Speaking of new products this year, Li Bingjie said that apart from commercial lighting products such as “LED filaments” and “high-directional LED light sources” that are currently being sold, the only secret weapons that are not mentioned are expected to be launched at the end of the second quarter of this year. It will be officially shipped before the end of this year. It is understood that the technical power of the crystal LED in the car LED is rapidly rising to the Leica fight. The automotive light source market is entering the LED era with the growth of hybrid vehicles and energy-saving and environmentally friendly electric vehicles. According to StrategiesUnlimiteds, the vehicle LED market will reach approximately US$1.6 billion (approximately NT$46.4 billion) in 2016, although the scale Not so big, but for LED Epistar, the packaging factory, this is a new blue ocean market where the gross profit rate can be as high as 50% and can be considered as a depot certification and can be eaten for 10 years, especially the hair of LED epitaxy factories in Taiwan. Interest rates have fallen into single digits. If they can get into the automotive LED market, they will become long-term stable profitable support. Jingdian has been successfully positioned in the automotive LED market with Mercedes-Benz (BENZ) and BMW (BMW). Although the initial entry is an entry-level indicator light source, there is a demand for 30 to 40 LED products in one vehicle, which will help the future. The growth stabilizes the foundation. At present, the industry has already announced that there will be a number of automotive LED products opportunities this year, including infrared IR products used in automotive night vision (reversing radar and driving recorder), more high-qualitative UHB products are used in vehicles Lighting, car brake lights, direction lights, and travel lights. However, the most concern among the industry is the progress of the headlights in the highest standard of LED in vehicles. AUO's LED plant, Longda, currently has initial results in the automotive LED market, and has been shipping since this year to the automotive LED aftermarket. Dongbei is in the market of dashboards, coaster lights, etc. The company also regards the automotive LED market as a differentiated market with its future partner, Sanan, and is currently conducting a new phase of R&D.

Lian Jia LED car lighting revenue accounted for 70%

Taiwan’s LED plant Lianjia said that the company has actively turned to LED automotive lighting in the past three to four years, and has successively passed international vehicle factory certification. Last year, its revenue accounted for 60% of the total sales. The company will continue to actively expand its automotive lighting niche market in the future. This year's target revenue accounted for 70% of Pillar's revenue, to avoid the continuous decline in prices of most LED products.

Lianjia's main products can be divided into LED car lighting and other LED lighting, the former about 60%, the latter about 40% (including street lights, lights, etc.).

Lianjia pointed out that the company's total consolidated revenue in 2012 was NT$1.383 billion (the same below), which was up 11.% year-on-year. The main growth momentum came from the increase in the sales of LED lamp modules and LED street lamps, but because of LED numbers Due to the decline in the market price of Ambient Light, the failure to increase the utilization rate of some production lines, and the increase in operating expenses and non-operating losses, the combined gross profit margin and profitability rate fell to 21.47% and 2.46% respectively, and the after-tax loss was 15.087 million yuan ( New Taiwan dollar, the same below, EPS is -0.12 yuan.

For this year's operation, Lian Jia stated that in addition to LED automotive lighting with new customers, the company’s second-generation LED street light also won approximately 50,000 street lamps in North America at the end of last year, and will continue to ship until the third quarter of 2014. The company's revenue growth this year is the main momentum. The aggregate consolidated revenue of Lianjiao from January to April this year reached 540 million yuan, an increase of 31.52% year-on-year.

"Money King" seductive

According to the statistics of China Association of Automobile Manufacturers, in 2012, the production and sales of automobiles in Mainland China were 19,271,800 and 19,306,400, respectively, which were a year-on-year increase of 4.6% and 4.3%, respectively, and were the world’s largest automobile production and consumption countries. With the increasing production and sales volume of automobiles, the auto parts market, including automotive lighting and displays, continues to grow.

"Last year, the revenue of Guangzhou Foda, a subsidiary of Hongli Automotive LED lighting products, reached more than 46 million yuan. The gross profit of automotive LED products is as high as 41%." Deputy General Manager of Hongli Optoelectronics, member of G20-LED Summit Secretary Tang Suo Tie told reporters that with the advantage of Hongli Optoelectronics in terms of technology and cost, Guangzhou Foda seized market opportunities, adjusted its product mix, and vigorously explored the overseas automotive lighting market. Revenue from automotive LED products increased by 65.20 compared with 2011. %.

Deng Shoutie said that automotive LED is currently a sustained high-growth business. Foda Signals has been focusing on the research and development of LED automotive lighting products since 2012 and has now successfully entered the pre-installation market for some automakers. It is expected that automobile headlamps will produce certain levels this year. Sales revenue, volume production in 2014. In the face of the ever-increasing scale of the domestic automotive LED market and the average gross profit margin of over 30%, automotive LED has become a new blue ocean for LED manufacturers to compete.

According to insiders, currently LED products for automotive use are mainly backlighting for 5-10 inch LCD panels used in car dashboards, portable DVD drives and car navigation systems, interior lighting, car headlights and taillights.

The share of Ruifeng Optoelectronics, a member of the G20-LED Summit, has continued to grow in the market for small and midsize LED backlights such as automotive dashboards, stereos, and car DVDs. According to the financial report, Ruifeng Optoelectronics' LED business revenue in the first half of 2012 was RMB 4,372,300, and the gross profit margin reached a staggering 65.55%.

“Last year, the sales volume of our automotive LED packaging devices reached tens of millions of yuan. This market was previously a monopoly of foreign companies. In recent years, domestic LED companies have only begun to get involved, but the current share is still very small.” G20- Gong Wen, general manager of Shenzhen Jingtai Optoelectronics Co., Ltd., a member of LED Summit, said that the gross profit of LED products for vehicles is 3 to 5 times that of general LED products. Under the current situation where the average gross profit of the LED industry keeps declining, this market segment has attracted attention. More and more companies are entering. In the future, Jingtai Optoelectronics will also increase investment, and will regard automotive LED products as a major development direction.

It is understood that Jingtai Optoelectronics passed the SO/TS16949:2009 certification issued by the International Automobile Industry Association in July 2011, and has a permit to enter the automotive supply chain. Currently, Jingtai Optoelectronics has become a direct or indirect supplier of BYD, Yutong and other automotive LED products and is currently conducting product testing with several vehicle manufacturers.

In the past few years, Dominant and Osram have occupied an absolute monopoly market share in the automotive LED product market. In recent years, companies in mainland China and Taiwan have begun to compete in this segment.

In 2010, Feile Audio acquired the company, which specializes in automotive LED lighting products, and later increased its shareholding in Shenghan Industrial.

In April 2010, the domestic LED chip manufacturer - Xiamen Sanan Optoelectronics Co., Ltd. and the car manufacturer - Chery jointly established Wuhu Anrui Optoelectronics Co., Ltd., whose main business is located in automotive lighting. Sanan Optoelectronics has adopted the strategy of vertically integrating the industrial chain and “Boeing to the Sea” to quickly enter the LED lighting market