China becomes the main power of the rebound of LED industry

Global chip capacity will continue surplus in 2012. Because of the sales of LED TV is lower than expected and China decrease related subsidiaries, Korea and Taiwan LED manufacturers begin cut down their capital expenditure. In 2011, the amount of global MOCVD is 2 547, increasing 704 sets. To cope with the sharp decrease of sapphire -based wafer price and an increase demand on 4 inch substrate, over 50% MOCVD will be used to make 4 inch substrate in 2012. China will become the main power of LED market development including LED spotlights market. Outdoor illumination market depends on public purchase. Indoor illumination, backlight and other application is positively correlated with micro-economy. Civil and commercial regions will use LED illumination widely in 2012. Thus will give LED industry a capable hands.
On the other hand, China government will accelerate to breed LED business group. There have been hundreds of chip factories and over 1 000 packaging manufacturers in Pearl River Delta, Yangtze River Delta, Southeast Coastal Area and northern China. According to recent official data, domestic LED up-stream and mid-stream have a growth rate of 38% in 2011, and a 60% in 2012 is expected.