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Li Xinghua: the development of LED industry is a revolution

Enlarge font  Decrease font Publish date:2010-11-23   Source:liang360   Scan times:300

led lighting industry with high-end new electronic information industry, electric vehicle industry one, Guangdong Province, was listed as the three strategic focus on the development of new industries, grasp the core technology research, improve the capability of independent innovation, has become the development of LED industry in our province strategic choice and the central task.
March of this year, the Guangdong provincial government executive meeting will be LED lighting industry with high-end new electronic information industry, the electric car industry to work together as a key development in Guangdong Province the three strategic emerging industries, given the historic mission of higher LED industry.

How will the layout of the LED industry in Guangdong Development? In the new round of competition in the industry take the initiative? Recently, the reporter interviewed the LED industry is responsible for the lead to promote the development of Guangdong Provincial Science and Technology Department Director Li Xinghua.

Made out the core Equipment for two years

Reporter: Guangdong how to promote the LED industry?

Li Xinghua: We selected two breakthrough, the key breakthrough in the "core technology and equipment" and "products promote the use of" these two key ports. Epitaxial silicon in the upstream links and key breakthroughs MOCVD (metal organic chemical vapor deposition equipment) and other core equipment and key Supporting material, to obtain intellectual property rights, to seize the commanding heights of industry development; downstream market application areas, focusing on expanding the scale LED product applications, driving rapid growth in the consumer market.

Reporter: Is there any progress?

Li Xinghua: Yes! A typical example is the epitaxial wafers for LED manufacturing core equipment - MOCVD. MOCVD R & D costs a million dollars, technology and capital threshold is quite high.

Currently, MOCVD patented technology and market share almost monopolized by foreign companies, equipment in short supply, orders in China for two years after discharged. As the major user of MOCVD, Guangdong LED industry sales and cost under enormous pressure.

After exploring, we have found a way to achieve localization MOCVD. Science and Technology Department of Guangdong Province, Chinese Academy of Sciences Institute of Semiconductors, Industrial Technology Research Institute, Guangdong Province, China Solid State Lighting R & D and Industry Alliance will jointly build a semiconductor lighting industrial Technology Research Institute of Guangdong. We expect within two years, to come up with home-made high-volume MOCVD.

The Government is also about business models

Reporter: The key market application, how to promote the development of the downstream industry?

Li Xinghua: the downstream aspects of marketing applications, mainly by the Government to start the market. Mainly public lighting, this part of the resources are in the hands of the government, the main choice of high-power street lighting. The promotion of industrial development is vital part of the promotion of large-scale application of this industry to pull up, it will attract more enterprises to Guangdong. So I think that marketing is important, business model is the key.

Reporter: The Government also spoke business model?

Li Xinghua: For ah! Why talk about business models? We will now use the EMC model, which is very popular internationally as a model, that is, contract energy management. You do not have money, help you install, from the savings into the electricity, to the deadline to the Government.

Reporter: This mode is running in the domestic situation?

Li Xinghua: This mode is very difficult in China, driven.

This mode alone is difficult, we tried more than a year, not a very good push, I felt that I could better.

Where is the difficulty? Where is the bottleneck? The Government will certainly not pay for lights, the Government determined to pay is difficult; manufacturers on credit goods "can not stand", it is not so much of its own funds; EMC company has no money; then think of bank loans.

Banks have several ways: one is called buyer's credit, that is, government loan, the government often reluctant to do this; it manufacturing enterprises to bank loans, not many want, asset-liability ratio is too high, and banks are reluctant to, business If you want to market, they were reluctant.

So EMC company to loan? I am specifically looking for a few banks, and they are also very supportive of this industry. I said, pick a single EMC Corporation after the mortgage contract receivables to the bank, then your loan closed management, only to buy lamps. But friends say these banks, you the EMC company is too small, no power is very risky to lend their banks reluctant to lend. EMC Corporation is also very small, usually private, the whole body can not hit a few iron nails.

"Health Warning" quality control

Reporter: This mode is a bit agitated, and finally how to do it?

Li Xinghua: Recently we found a new way to increase the "supply chain management company," a ring, or "energy management contract (EMC) + supply chain management + financial" innovation business model. Supply chain management company larger than the body, some of its own funds, the banks are willing to give them money, but interest rates still relatively low. Through the supply chain to manage the whole process of the company, to draw into the circle.

Reporter: This new business model has been put into practice yet?

Li Xinghua: Now we have the first partner - Guangdong CITIC energy supply chain management company, is a subsidiary of state-owned CITIC Group companies. We encourage more involvement of supply chain management company, is now too low.

After the launch of this new model, Zhaoqing, Foshan, Dongguan, Zhongshan, Jiangmen City, and Provincial Science and Technology has Signed a cooperation to build a "green light model city" of the framework agreement, a large-scale construction of LED street lamp demonstration project.

Reporter: What role in this new model?

Li Xinghua: You can also control the quality of supply chain management company, how to control it? LED lights also no national standards, there was a time there was also the view that LED lighting is the "wildfire", it is easy to broken. Would have the advantage of LED lights that save energy and long life, which caused the market to promote a bad influence.

Each cities has its own calculator, use of local products, ah, stimulating local industrial development. This model does not specify our products, but provides good quality products to use. Products into the top ten in the region to give priority to use, can not enter the top ten can not be used. This will ensure the quality of products, but also to break the regional blockade, give full play to the role of the EMC, we did live there. We use the "Health Warning" way, dozens of manufacturers are producing this product, go Health Warning on who wins who will be able to.

Reporter: how "Health Warning" mean?

Li Xinghua: We promote the use of LED products, the National Evaluation of the first benchmark system. LED lights to develop a unified testing methods have been widely acclaimed large-scale applications and a number of enterprise products make regular checks, to obtain on behalf of LED lighting industry, the level of product innovation, dynamic index, which is the benchmark index, the benchmark index, then the quality of products grade, let them go to Health Warning. In the absence of standard cases, this method is very good.

In fact, the benchmark index is a standard work of innovation, we are actively promoting the rise in the benchmark system, technical standards for the Union, and through the benchmarking system, LED Lighting products on the level of technological development and market application status and other indicators of ongoing research, and strive to the formulation of international standards play a leading role.

By "Kabo Zi" suffering

Reporter: Guangdong Development LED industry is facing difficulties and challenges?

Li Xinghua: on the one hand, faced with pressure from the developed countries policies. United States, Japan and other developed countries with technical and patent monopoly advantage in the industrial development direction and pace on the way to lead. With the rapid development of LED industry, the competition for the huge market profits, more and more frequently waving the big stick of litigation of intellectual property products, application give the Guangdong-based LED manufacturing industry to bring pressure on the cost, greatly squeezed Guangdong to survive in the international market space.

If not quickly reverse the negative pattern of LED industry in our province could repeat the mistake VCD industry, is to master the core technology of the foreign giants led by the nose by capacity expansion and processing fees to earn a meager price war, sinking low in the industrial chain and recover.

On the other hand, faced with fierce domestic competition. Jiangsu and Zhejiang provinces of China and Shandong and Jiangxi provinces have increased efforts to fight the development of LED industry cake. Preferential measures introduced in some provinces considerable efforts over the Guangdong counterparts. The most obvious example is none other than the shortage of non-MOCVD.

As the international market by the two foreign companies a high degree of monopoly, coupled with expansion of domestic production capacity around the race to snatch MOCVD equipment, domestic MOCVD valuable commodity, booked two years after the limited production capacity of enterprises in our province can not meet customer demand, has been a "card neck "of suffering.

Reporter: How can we not be "Kabo Zi"?

Li Xinghua: the final analysis, the biggest weakness is the LED industry in our province strong capacity for independent innovation in core technology and products do not own intellectual property rights, the lack of "Guangdong-core", resulting in the core competitiveness of industries is weak, unable to grasp the commanding heights of industry and the market discourse. Figuratively speaking, be described as "are bigger, the foundation is shallow." Grasp core technology research, improve independent innovation capacity, the development of LED industry in our province has become the strategic choice and the central task.

Is not the time to talk about excess

Reporter: Guangdong are developing around the LED industry, excess capacity would not? Intense industry competition between cities it?

Li Xinghua: Now is not the time to talk about the surplus, just up until the excess is too early to talk about some signs. Market rule of the market, our market is too great, the TV works, how many water heater manufacturers? LED industry, we are just beginning to talk about excess?

Reporter: Now the time is still a blue ocean, around the industrial division of labor?

Li Xinghua: we do not do a specific division of labor, to do what the government does not do a up the place to do it inadvertently, and often this is the case. The process of development restrictions and deliberately do not do too many specifications, we encourage the development of the industry we are very status in the country, this recipe for a use that next year many foreign companies to rush over, and research and development, and production. We use the market to pull up to the industry.

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