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The annual financial subsidy promotion project for semiconductor lighting products released by the Chinese management has been officially opened. The finalists have significantly reduced their cost and price. The mainstream level of China's LED lighting industry has also increased. In the future, foreign investors will face the Chinese market. Competition among local Chinese manufacturers is inevitable.
The street lighting and tunnel lights for outdoor lighting have an average cost per watt of about 11 yuan, which is significantly lower than the average price of 15-18 yuan/W. The opening price is significantly lower than the market price, which reflects the effectiveness of direct financial subsidies. The indoor lighting cost is lower to 7 yuan / W level, this value is close to the LEDinside forecast of the indoor lighting market start-up point, driven by financial subsidies, consumers will bear the price will further drop to 5 yuan / W, is expected to have a relatively good market acceptance.
The quotation of the short-listed manufacturers is relatively more rational. LEDinside said that under the new bidding rules, power is the main factor affecting the quotation due to the high level of quality and light effect homogenization of the current manufacturers.
LEDinside believes that the successful bidders are expected to further open up the market with financial subsidies, and open up the seaport for the LED industry through the increase in the penetration rate of the terminal market, alleviating the current industry surplus. From the results of the opening of the bid, there are no strict restrictions on the efficacy and light source specifications, which generally benefit the wafer and packaging manufacturers in the Chinese market. Chinese manufacturers have the opportunity to gain a large share of subsidies through better cost performance, and drive the rapid development of the upstream and middle of the Chinese industrial chain.
After this bidding, the market price will be more standardized and transparent, which will inevitably limit the behavior of some lamps and lanterns merchants and high-value commercial rebates, thereby enhancing consumers' understanding of the price level of LED lamps and increasing confidence in LED lighting products.