LED lighting is considered to be an ideal replacement for traditional incandescent lamps, but its price of nearly one hundred yuan has made many consumers only sigh. Subject to the price bottleneck, domestic LED lighting demand has also been tepid.
When LED lighting products enter thousands of households becomes a key to industrial development. At present, the market price of LED lights is several times that of traditional light sources, and high prices have become an obstacle to the popularity of LEDs. Whether the LED lamp can be used as a substitute for incandescent lamp depends on whether the LED cost can be lowered and whether the market price can be lowered.
According to experts, the cost structure of LED bulbs basically consists of three parts, light source, power supply and lamp body structural components. At present, most domestic enterprises mainly purchase these three parts for electronic assembly, or buy some of them, and other parts come by themselves. Designing, in this way, profit interception in the middle and upper reaches, the cost is naturally difficult to be effectively controlled.
The reason why LED bulbs are expensive is closely related to the characteristics of the LED industry chain itself. Research firm SEMI China LED industry analyst Yan Faxin told reporters that from the timing, the LED industry is still a young industry, is in the process of development; LED industry's core part of LED manufacturing belongs to the semiconductor industry, and today's LED manufacturing is still in In a period of low manufacturing efficiency, small scale, and scattered distribution, an efficient manufacturing model has not yet been formed, and low efficiency means high cost.
However, with the continuous development of LED lighting technology in recent years, especially since the sharp decline in the price of upstream LED chips and the decline in the cost of related supporting materials since 2011, this has brought opportunities for the price reduction of domestic LED lighting products.
Recently, the reporter learned from LED lighting company Shangyu Lighting (China) Co., Ltd. that the current price of LED lamps is still high. Shangyu Lighting will launch 100 yuan of LED lighting products for the first time in China. Compared with similar products, the drop is nearly 50%.
Sun Jianning, general manager of Shangyu Lighting, told reporters that the reason why the company can introduce price-disruptive LED lighting products is because it self-packages the light source and designs the power supply driver IC. In addition, the lamp body structure is also independently developed. It is through effective vertical integration that the company can control the overall cost structure while ensuring quality, so that the light source and the power supply can be optimally combined to maximize the conversion rate of the light source, and the light output rate of the product can be led.
In addition to Shangyu Lighting, a number of LED lighting companies in China have also announced the launch of low-cost LED lighting products. In response to this phenomenon, Minfa Xin said that the domestic LED lighting market is at a node on the eve of the outbreak, and there are many downstream LED lighting companies, and the competition is fierce. The company is now launching LED lighting products with subversive costs, aiming to achieve rapid market share. Forming brand recognition is very important for obtaining a bigger market in the future.
In order to promote the application of domestic LED lighting products, the State Council executive meeting recently discussed the adoption of the “National Basic Public Service System Twelfth Five-Year Plan” and identified measures to encourage consumption policies for products such as energy-saving home appliances, of which 2.2 billion yuan will be allocated for Support the promotion of energy-saving lamps and LED lights.
Research institute LEDinside believes that the price reduction of LED lighting products will accelerate the penetration rate of the civilian market. Looking forward to the future development of the LED industry, only by improving the technical ability and establishing a patent threshold for self-improvement will have the opportunity to survive in this knockout.

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