Mainland China to Come out the Second Phase of LED Lighting Subsidization

According to deputy sectary general of China Solid State Lighting Alliance, Tang Gouquin announced at a forum held in Taipei addressing LED industry, mainland China may enlarge LED lighting subsidization coverage, including not only more product items but also more supply sources.

He pointed out that the mainland’s authorities would announce details of the subsidization plan before long. It’s the second phase of the subsidization initiative for LED-lighting consumptions, aiming to subsidize over 10 million lamps this year. Some 10% of the number was subsidized in first phase of the project. Compare with the first phase which mainly focuses on indoor lighting, the second stage will cover streetlight, tunnel lights, and light bulbs.

In addition, the subsidization will be extended to suppliers from other places than the mainland as long as they are certified with the mainland’s CQC approval. As a result, Taiwan’s suppliers, including Delta Electronics, Epistar, Everlight, Unity Opto Technology, Edison Opto Corp., Bright LED Electronics Corp., Epileds Technologies, Lextar and Ledtech Electronics, are likely to benefit from the supply chain.

Some companies are preparing to share the subsidization. According to Unity Chairman Alpha Wu, one of the mainland’s partners has applied for CQC certification in preparation for the second-stage implementation.

Taiwan LED companies will benefit from the mainland market. For example, Episar, the winner of the first-stage implementation of the plan, has been aligned with many mainland Chinese lighting-fixture manufacturers. It projects its LED lighting sales to account for 30% of its total revenue of this year. Edison estimated that sales of its LED lighting modules will surge to account for 35-40% of its revenue for this year resulted from the mainland market.

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