2018 LED Display Market Analysis

LED product classification

LED products can be divided according to application areas: LED indoor functional lighting, LED outdoor functional lighting, LED backlight, LED display, LED landscape lighting, and other. According to the “Research Report on China's LED Industry Market Competition and Competitive Strategy in 2018-2023” published by the Industry Research Institute of Forward-looking Industry, the output value of LED display screens in China currently accounts for about 7%.

LED display development

The LED display industry has been developing in China for more than 20 years and has now entered a steady development stage. The development of domestic LED display can be divided into the following stages:

LED display demand pattern

From the perspective of industry structure, China's LED display has gradually changed in recent years, the industry is specialized in the division of labor is formed, focusing on the production of display screen manufacturers, market channel sales, engineering installation service operators and other specialized The emergence of enterprises, clear division of labor, close cooperation, and development of a win-win situation is taking shape. Professional division of labor is conducive to doing fine, big, and strong, and has positive significance for promoting the healthy development of the entire industry.

From the perspective of the actual application market, the proportion of outdoor LED display screens has increased year by year, accounting for about 60% of total display screen sales, and indoor display screens accounted for 40%.

LED display company competition analysis

There are about 50 companies whose LED display applications in the industry exceed RMB 100 million. Among the companies with annual sales of more than 100 million yuan, there are about 20 companies with sales of 250 million yuan. There are about 10 companies with annual sales of 5-10 billion yuan. There are 3-5 companies with annual sales of more than 1 billion yuan.

U.S. "337 investigation" has limited influence

According to Applicant No. 3302 document, this time related to China LED display companies: Absen, Alto Electronics, Lehman Optoelectronics, Shanghai Sisi Electronics, Chau Ming Technology, Yuanheng Optoelectronics, Liad, Lianchuang Jianhe All are on the list of complaints.

For this incident, the prospective industry research institute believes that the development of the future of China's LED display industry has a certain negative impact, but the impact is limited, the main reasons are:

1. The display module technology capability of China's LED display companies is no less than that of American companies. Most of the leading display companies have also done a lot of patents. However, the risk is that, overall, the domestic patent LED display companies in the United States have fewer patents.

2. The LED display companies that have been included in the prosecution list have a large proportion of their business in the United States, and their impact on the overall development of the company is limited.

3. The “One Belt and One Road” policy has brought more overseas development opportunities to China’s LED displays, and the impact of the US market on companies has also been relatively reduced.

Since 2017, the "Belt and Road" forum and the introduction of relevant policies have made the "One Belt and One Road" become the current political hot spot in the first half of 2017, and it has effectively brought new opportunities for overseas development to the LED display industry. According to the data, in April 2017, the scale of China's LED display exports hit a new high in a single month, and the leading role of the “One Belt and One Road” policy was unquestionable.

For small and medium-sized enterprises, under favorable export policies, countries with smaller capacity in Southeast Asia and Central Asia and low levels of development have become potential markets that are worth digging. Compared to the developed countries, the market is not easy to enter. Developing countries undoubtedly have a "small and many" market. The market capacity of a single country is small, but the number of such countries is large, and it still has a greater

significance for the development of SMEs in general. . Moreover, under the highly saturated domestic market, LED display companies must seek new markets to meet the survival and development. At this time, the “One Belt and One Road” is to “protect” these companies and help them develop overseas markets smoothly.

With the continuous innovation of technology, declining prices, and the huge market potential, the use of LED displays will become more common. Not only in public life and commercial activities, but also in every aspect of our lives. Under this impetus, the LED display industry will gain more opportunities for development and maintain the booming trend.