Some Taiwanese manufacturers are affected by the expansion of mainland LED packaging plants

With the increasing penetration of LED backlights in LCD TVs, China's LED packaging factories are actively rushing, and this year China's mainland plants are working harder to expand production. The total monthly production capacity will reach 1 billion. Taiwan's LED second-line packaging factory is like a macro. Qi and Qi Hong will be affected.

According to statistics, last year, the mainland LED packaging factory has a market share of 20% in the backlight field, among which the main manufacturers include Shenzhen Ruifeng and Jufei. It is understood that Shenzhen Ruifeng's total revenue increased by 71.6% year-on-year, LED backlight products revenue increased by more than 100%; as for Shenzhen Jufei, the main focus on small and medium-sized backlight products, last year's revenue growth rate of 42.7%.

Suihong spokesperson Wang Yizhen said that its backlight accounted for less than 10% of its revenue. In addition, China's backlight manufacturers are actively selling, and many of them are selling at a loss, so the backlight will not be the direction of development.

Dongbei spokesperson Weng Congzhi said that LED backlights account for only 3 to 5% of the cost of TV sets, and the proportion is not high, and the number of LED chips used in TV is much, unlike mobile phones, which only have 4 to 8 lenses. The cost of subsequent repairs will not be affordable to the average manufacturer.

According to the manufacturer, from the current development of LED packaging on both sides of the strait, mainland China manufacturers have not much layout in large-size backlights. They still use small and medium-sized mobile phones or notebooks, and the backlight of mobile phones is fiercely competitive. In the past two years, the penetration rate of LED-backlit LCD TVs has improved, which has improved the operation of packaging factories. In addition, the large-size backlight gross margin is not bad. It is expected that mainland manufacturers want to intervene.

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