The National Twelfth Five-Year Plan has locked in the energy-saving industry. In addition, the local government has continued to provide substantial subsidies to manufacturers to purchase LED upstream MOCVD machines. DisplaySearch analyst Liu Jingmin estimates that the total number of MOCVD machines in China will be 1,000 units next year. The 330 units will increase by a factor of two, which will affect the LED chips next year, and the price will drop by 5% quarter by quarter.
In this regard, Taiwan's LED die factory Jingdian and Yuyuan said that although China's MOCVD machine will be installed significantly next year, the company will continue to introduce new products to stabilize product prices. As for AUO's Ronda, it is in a silent period and it is inconvenient to comment.
In order to develop the LED industry, the national government subsidizes the average price per MOCVD machine from 10 million yuan, and even the highest is 15 million yuan. In addition, the factory is also built for the manufacturers, the manufacturers only need to rent at a low price, all measures are to stimulate the development of the domestic LED industry. In the past two years, the number of domestic MOCVD machines has shown a leap-forward growth. At least six manufacturers plan to purchase more than 100 MOCVD machines next year, including Xiamen Sanan and Dehao Runda.
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