In recent years, with the rapid growth of LED companies in mainland China, the pattern dominated by Europe, the United States, Japan, South Korea and Taiwan has undergone fundamental changes.

Judging from the operation situation in the first half of the year, this year's Taiwan LED epitaxial chips, as well as packaging, module and other output value decline can not be avoided, the industry is also through production reduction, plant consolidation, and adjustment of product lines, and the development of high-brightness four yuan Strategies such as products, invisible UV/IR, and vehicle-based niche applications will reduce revenue declines and losses to overcome the transition process.

In the first half of 2016, Taiwan's LED epitaxial chip industry recorded an output value of approximately RMB 17.2 billion (NTT, the same below), with a 12% decline, while packaging and module output declined by 6% to RMB 41 billion.

In the first half of 2016, the top ten LED epitaxial chip manufacturers' revenue, net profit and capital expenditures totaled a 12% decline in revenue in the first half of the year, and the loss increased from 407 million to 4.287 billion yuan, while capital expenditures also decreased by 26% to 16.5. 100 million yuan. Through the reduction of production, plant integration and product mix adjustment, the leading company's revenue decline has shown signs of slowing down gradually month by month.

In the first half of 2016, the top ten LED packaging and module manufacturers' revenue, net profit, capital expenditure, etc., totaled 5% revenue decline in the first half of the year, profit from 1.08 billion yuan to 540 million yuan, and capital expenditure decreased by 31%. 1.36 billion yuan. Leading Everlight Camp was flat, with a 4% increase in net profit and the best performance.

In the first half of 2016, the number of LED manufacturers in Taiwan continued to decline. Most of the capital expenditure items of one of the long-term development indicators were 30% lower than that of the first half of 2015, indicating that the entire industry is still in a downturn. Only the large power plants such as Jingdian, Yiguang, Guangbao, Longda and Rongchuang have invested in capital expenditures for new technologies and equipment, and most of the other players have shrunk sharply, which is not conducive to long-term operational development.

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