The global lighting market can be divided into three categories: general lighting, automotive lighting and display. General lighting includes office lighting, home lighting, rail transit lighting, etc., with a market share of up to 80%. TrendForce's LED industry research brand LEDinside (LED Online) "2016 Global LED Lighting Market Trends" research report pointed out that the LED lighting market in 2015 will reach 25.7 billion US dollars, with a penetration rate of 31%; in 2016, it will reach 30.5 billion USD, the penetration rate increased to 36%. In addition, LEDinside's latest price report pointed out that in June this year, the global average retail price of LED bulbs replacing 40W incandescent lamps was US$9.5, down 0.2%; the average retail price of LED bulbs replacing 60W incandescent lamps was US$12.9, down 0.1% . With the decline in the price of LED bulbs and the recovery of market demand, the speed of LED lighting replacement will further increase.

  As the most promising light source, LED has many advantages such as energy saving, environmental protection and long service life. With the phasing out of incandescent lamps, countries have introduced timetables for banning incandescent lamps. As early as 2012, the European Union, Japan, and Canada have completely banned the use of incandescent lamps. Since 2014, the United States has banned the sale of 40W, 60W, 75W and 100W incandescent light bulbs. At the same time, my country also prohibits the import and sale of incandescent lamps of 60W and above, which will vigorously promote the sustainable development of my country's LED lighting market, and the market penetration rate is expected to further increase.

  At present, my country's LED lighting applications are still in the initial penetration stage, mainly including general lighting, LED displays, traffic lights, car lights and LCD backlighting and other fields. From the perspective of the LED industry chain, it can be mainly divided into upstream raw materials and chips; midstream LED packaging; downstream LED applications. Among them, the core technology of LED upstream chip and epitaxial wafer market is monopolized by foreign giants. Compared with the chip industry, my country's midstream LED packaging industry is the most competitive, and the packaging varieties are relatively complete. At present, my country's LED packaging has formed a certain industrial scale and has become an important low-end LED packaging production base in the world. At the same time, with the continuous improvement of process technology and the rapid increase of market share in the high-end packaging field, the competitiveness of LED packaging companies will continue to increase in the future.

  Last year, the penetration rate of LED lighting in my country reached about 30%, slightly higher than the global level, and there is still some room for development in the future. According to the LEDinside report, the size of my country's LED packaging market was US$8.8 billion last year, a year-on-year increase of 2%. This year, the demand of lighting manufacturers to replenish inventory has increased. It is estimated that the size of my country's LED packaging market will reach 9.3 billion US dollars in 2016, and the year-on-year growth is expected to exceed 5%. With the improvement of LED technology and the continuous expansion of market demand, the LED industry will usher in a period of rapid development.