In 2016, led chip giant Jingyuan photoelectric shut down 25 % of the blue chip production capacity, led chip supply and demand changes, led chip industry began to recover in the second half of 2016, 2017 with the outbreak of the small spacing led market and led chip downstream packaging industry expansion, led chip supply still has a certain gap, China led chip enterprises crop rate is close to 100 %, China led chip output value to maintain rapid growth.
According to ggii, the output value of China's led chip industry ( excluding Taiwan, the same below ) reached 18.8 billion yuan in 2017, an increase of 29.7 % over 2016, accounting for 40 % of the global output value of led chips. Mocvd in China has more than 1600 units, a net increase of 246 units, led chip capacity accounted for more than 54 % of the world. Sanan optoelectronics, huacan optoelectronics, aoyang shunchang three companies accounted for 41.7 % of China's led chip production capacity, from the perspective of led chip quality and production capacity, the market presents a super strong market pattern.
Ggii predicts that China MOCVD machine will continue to increase 288 sets in 2018, to 2200 sets. as the main domestic led chip enterprises expand production one after another, the domestic led chip will appear the problem of overcapacity, chip prices will turn downward, the domestic led chip output value growth rate will slow down. it is expected that China's led chip output value will reach 22.5 billion yuan in 2018, an increase of 19.7 % year on year, and the top three enterprises in the market will account for 47.8 % of production capacity.