With the take-off of the LED lighting market and the Chinese government's vigorous implementation of energy-saving subsidies, the Luchang has greatly expanded the upstream grain production capacity of LEDs. Since 2011, the Luchang has added about 420 MOCVD machines, with a total number of 720 units. However, under the unclear situation and shortage of talents, the operating rate is only half. In this year, the demand of the LED industry has warmed up, and the land plant has started to start the cornering operation. The industry estimates that the medium and low-order grain overcapacity will not be alleviated next year.
Since 2010, the Luchang has actively expanded its production capacity under the government subsidy machine. However, due to the weakening demand of the LED industry in 2011, and the global economic climate, the government has interrupted the subsidy. The number of MOCVD machines has dropped from the original 700 to 420. It is estimated that there are currently 720 MOCVD machines in China. However, due to lack of prosperity and talent, the number of MOCVD machines in the factory is about 510. The operating rate is only half, and this year's LED lighting market took off, the demand for warming back, so that the Luchang once again for the MOCVD start-up and expansion capacity to sacrifice the angle of the strategy.
According to the grain industry, the fact that the land factory frequently used the "high-paying talents in the corner factory" in 2010 will be repeated this year. Although some operators believe that the impact of the land mining angle will be reduced this year, for Taiwanese factories, Not only will it bear the pressure of talent shortage, but at the same time, the large-scale production capacity of grain in the upstream of the Luchang will also make the supply chain unable to get rid of the oversupply situation.
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