Jiangxi Luye Auto Lighting launched the first automotive lighting LED module plant in Nanchang Optical Valley in China, reported Xinhua.

The LED automotive module manufacturing facility values RMB 500 million (US $72.97 million) in total, and has LED automotive lighting and module production capacity amounting to 500,000 lights and modules.

Jiangxi Luye Auto Lighting logo. (Photo courtesy of Jiangxi Luye Auto Lighting)

The company uses Lattice Power’s GaN-on-Si substrate for its LED headlights. High power LEDs, which are often used to make LED headlights, can achieve better power output, luminous efficiency, thermal dissipation and illumination direction with GaN-on-Si substrates. The report claimed GaN-on-Si substrates can make more advanced LED automotive lighting products.

“GaN-on-Si LEDs possess a competitive edge in automotive lighting applications, and is one of the most important application sectors,” said Lattice Power CEO Min Wang.

The R&D team in Nanchang Optical Valley successfully developed GaN-on-Si LED technology, which propelled China to become the third country following U.S. to possess blue LED intellectual property rights. Commercialization of the GaN-on-Si LED technology won Nanchang research team top prize for State Technological Invention Award in 2015.

Jiangxi government decided in 2015 to build Nanchang into China’s national LED optical valley, and form a competitive international LED supply chain, R&D center, and application base. The local government estimated, Nanchang’s LED main revenue source would surpass RMB 100 billion by 2020, amounting to 15% of national LED revenue. GaN-on-Si LED technology revenues is projected to peak to RMB 50 billion.

“Nanchang possesses core LED technologies that are advantageous for developing mid to high-end market applications,” said Alex Pan, Managing Director and Chairman of GSR Ventures. Automotive lighting supply chain’s strong effect will accelerate Jiangxi Luye Auto Lighting mass production and urge Nanchang Optical Valley to near its objective of becoming a LED production hub in the near future.