Industry pains still exist, LED exports frequently encounter credibility crisis

(Text / high-tech LED reporter Zhang Yashu) " I will not buy LED related products from China in the future." Joke Phafuli, an LED lighting buyer from South Africa, chatted with "High-tech LED" reporter on Skype, he originally thought Importing low-cost LED products from China should have a large profit, and this has also deliberately lowered the product selection criteria. But recently, too many products have quality problems, which ultimately led him to purchase a LED bulb of an internationally renowned brand on eBay (the world's largest C2C e-commerce website).

The purchasing experience of Joke Phafuli is actually a microcosm of the credibility crisis in the export of LED application products in China.

In mid-February, a local Russian media reported that more than two-thirds of energy-saving lamps in Europe were imported from China. Currently, energy-saving lamps such as fluorescent and LED lamps made in China have already occupied 60% of the market share in Russia.

However, Lev, president of Russia's OPTOGAN company, said that the biggest problem of LED energy-saving lamps made in China is that the quality is inferior, does not meet the relevant technical standards and environmental protection requirements, and has a low service life and is easily harmful to the human body.

Lev stressed that some of the lesser-known companies in China have no sales performance and popularity, but they are keen to lobby the local government and participate in government procurement in the country and region, resulting in Chinese products entering the Russian market.

Most overseas buyers are pursuing the procurement principle of “Which is cheaper to buy?”, and LED lighting manufacturers have to purchase low-cost devices to maintain meager profits in order to secure orders.

The overseas market manager of a domestic LED export manufacturer told reporters that the 8W LED fluorescent lamp exported to Russia, for example, the domestic manufacturer's offer is about 17 dollars (about 110 yuan), and an international brand of the same model in the United States. The terminal retail price of the market is 75 US dollars (about 487 RMB).

“In fact, the main reason for 'low price and low quality' is that many small and medium-sized LED lighting manufacturers in China lack core technology research and product design and design, and at the same time they face intellectual property issues.” Zhang Liqiang, vice president of Zhongshan Semiconductor Lighting Industry Association, told reporters In the current market situation, once a new product is sold well, it will be copied and imitated immediately, which also leads to a rapid decline in product profit, which makes the newly developed LED lighting products quickly fall into the path of inferior and low price. "The 3W LED bulbs on the market range from 15 yuan to 75 yuan, and a 1W lamp bulb is available from 0.7 yuan to 6 yuan."

"The lack of domestic LED lighting standards is also an important reason for the export confusion of LED lighting products." Nie Pengxiang, an international market access and marketing expert, said that many LED lighting manufacturers in Shenzhen often encounter overseas market returns, and the main reason for returning is that the light bulbs are seriously degraded. The drive power supply does not comply with IEC international standards.

SMEs do not have the ability to compete in the high-end market in Europe and the United States, because European and American buyers often put forward various certification requirements before placing orders, and some certifications are often expensive.

The above-mentioned overseas market manager told reporters that at present, the UL certification price of an LED lighting product is between 80,000 and 150,000. Companies can't determine whether their products can pass the certification, and they are worried that customers will not place orders if they spend money.

"Some manufacturers' LED lighting products have only passed the CE certification in Europe, and CE has more than 100 terms. Some companies may only do 20-30." Nie Pengxiang told reporters that if we also have similar ENERGY STAR standards, The overall efficacy of LED light, light, light, color temperature, color rendering and other indicators are strictly limited, the market will not be so fish. ”

Therefore, the emerging market market with low market entry threshold and no quality certification for products has become a “golden market” for manufacturers and buyers.

At the same time, many overseas buyers are not professional buyers. In order to find cheap sources of supply, many of them will choose manufacturers that do not have ISO certification. In order to make profits, the middlemen also acquiesce in some speculations by the manufacturers, but once they have problems, they push all the responsibilities to the manufacturers. Yang Yijiang, chairman of Shenzhen Fuji Xinhua also said.

“If all the buyers can follow the formal procurement requirements and processes of the international manufacturers, the products will generally not be problematic.” Yang Yijiang, who has been working for Osram, told reporters that international professional buyers will Cooperate with a third-party certification body to inspect the factory, and also confirm the photo of all the processes before placing the order.

In addition, after the parties sign the contract, the buyer will follow the production process, supervise the feeding, and strictly control the entire process, so as to ensure that each procedure is executed in accordance with the contract. In addition, in the later stages of production, these buyers will also sample the products and send them to a designated testing agency in foreign countries for certification.

Fu Liming, technical director of Tonghui Electronics, told reporters that export companies often try their best to get from PI (sample invoice) to PO (formal order), so that when sending samples, they use A goods higher than negotiation specifications. When the goods are turned into B goods. Even if the tested product passes the certification, it does not mean that the mass-produced product is strictly in accordance with the quality of the certification.

“This is a contractual agreement between the manufacturer and the buyer. Every trade is different. We cannot supervise it one by one, mainly relying on the reputation of the manufacturer and the professionalism of the procurement.” Relevant persons of the Shenzhen Entry-Exit Inspection and Quarantine Bureau It is said that for the detection of LED lamps, they are currently basically in accordance with the detection standards of energy-saving lamps, plus LED thermal performance test. However, at present, they have not accelerated the aging and life testing of LED lamps, and have not sampled the products shipped in bulk.

The above-mentioned inspection and quarantine bureau said that the Entry-Exit Inspection and Quarantine Association is preparing a list of Chinese manufacturing enterprises' credits, which may be introduced next year, hoping to form a certain binding force on export enterprises.

"I am really worried that China's export of LED lighting products will repeat the 'Wenzhou effect' of the year." Li Wei, general manager of Shenzhen Intercontinental Optoelectronics Co., Ltd. expressed his worries.

The Wenzhou leather shoes of that year were exported to foreign markets at very cheap prices. Everyone calls this leather shoe "week shoes" because it is broken when wearing a week of shoes. The bad consequences of this chain effect have caused many products from Wenzhou to not turn over.

Fu Liming believes that enterprises should be called upon to strengthen export self-discipline. This is a yardstick for testing the maturity of enterprises and a social responsibility that every enterprise in the industry should have. Companies should abide by international trade practices on a self-regulatory basis, thereby reducing trade frictions.

The LED industry is still in the initial growth stage of the market, and the “price war” has already become a deadly killer in the orderly development of the industry. The low-price competition strategy of many enterprises is tantamount to fratricidalism, which has formed an unfavorable situation of “increasing export volume, declining economic efficiency, frequent credibility crisis”. This became another obstacle to restricting Chinese LED products to the international market after becoming a patent barrier.

"At the same time as the target market positioning, export enterprises should also develop a diversified market. Taking the market diversification strategy will have a positive effect on improving the product quality and improving the technical level of the enterprise." Nie Pengxiang said.

For manufacturers how to make two-way choices for buyers, Ma Chengbai, secretary-general of Xiamen Optoelectronics Association, believes that domestic export manufacturers need to guide customers to rational choices and advocate reasonable cost-effective strategies. Because the communication between the buyer and the customer is important, this is also a process of value communication.

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