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What are the future development directions of the LED lighting industry?

Analysis of China's LED lighting industry market scale and industry development prospects in 2022 LED is called the fourth-generation lighting source or green light source. It has the characteristics of energy saving, environmental protection, long life and small size, and is widely used in various displays, instructions, decoration, Scenes such as backlighting, lighting, and urban night scenes. Industry market size data show that the market size of my country's LED industry has grown year by year. From 635.8 billion yuan in 2017 to 754.8 billion yuan in 2020, the compound annual growth rate is 8%. The China Business Industry Research Institute predicts that the market size of my country's LED industry will reach 942.8 billion yuan in 2021.

01The strong support of national policies The support of national industrial policies is one of the most favorable factors to promote the development of my country's LED lighting application industry. The LED lighting industry has been highly valued in my country, and the state has given policy support in terms of capital, technology, industry norms, etc., and has successively formulated "Made in China 2025", 

"The General Office of the State Council on the development of the "three products" special action of the consumer goods industry Several Opinions on Creating a Good Market Environment" and other industrial policies that are conducive to industrial development have greatly boosted confidence in industrial development and laid a solid foundation for the sustainable and optimized development of the industry. For a long period of time in the future, the state's investment in this field will increase year by year, and the industry market scale will further expand. 

02 The global LED industry accelerates its transfer to China With the continuous development of the LED market, the number of LED companies increases rapidly, and the competitive pressure of enterprises continues to increase. 

In order to enhance its own competitiveness, a new trend has emerged in the transfer of the global LED industry. Due to the cost advantage and rapidly expanding LED application market in mainland China, companies in the United States, Europe, Japan, South Korea and Taiwan have gradually shifted relevant industrial chain links to mainland China. On the one hand, it will promote the development of my country's LED industry, and on the other hand, it will reduce the dependence of my country's LED enterprises on foreign manufacturers, promote the development of LED downstream industries, and provide new opportunities for China to develop the LED lighting industry. 

03 The penetration rate of overseas markets is low, and the demand space is broad. From the perspective of product supply, China is the world factory of the global LED lighting product industry chain, and the main supplier of LED light sources, driving power and LED application products in the global market. As the market penetration rate of overseas LED lighting products is still at a relatively low level, the potential space for overseas market demand is still very broad. As the largest exporter of LED lighting products, under the trend of accelerated penetration of LED lighting worldwide and accelerated expansion of market demand, the export market of China's LED lighting industry has a broad market demand space. 

04Enhanced awareness of energy conservation and environmental protection With the reduction of traditional non-renewable energy sources such as oil, coal, and natural gas, as well as the deterioration of the ecological environment, global warming and the occurrence of some major natural disasters, people's awareness of energy conservation and environmental protection has become stronger and stronger. How to improve resource utilization and save energy has become an important issue in today's social development. 

In the current situation where energy is scarce, using efficient energy tools is an important way to save energy. As a new generation of lighting, LED lighting has huge advantages in energy saving and environmental protection compared with traditional lighting. It is the best lighting method to replace traditional lighting at this stage, and it must have great market demand. 

05Technical progress and cost reduction In recent years, LED lighting technology has made rapid progress on a global scale, overcoming the shortcomings of low luminous efficiency, high use cost and single color system in the early stage. In the application of mobile lighting equipment, LED light sources give full play to the characteristics of low energy consumption, long life, small size, vibration resistance, impact resistance, and long battery life. 

At the same time, the development of LED epitaxial wafers, chips, packaging, driving circuits and related technologies in downstream applications has driven the price of LED light sources to drop, and has also promoted the wide application of LEDs in civil, commercial and industrial fields.