Guangdong LED Exports Suffer 4 billion yuan Losses Limited Technical Standards from Overseas Market

Guangdong LED industry may get involved in more than 4 billion yuan ($628.6 million) in losses due to the higher technical standards set by the European Union, the United States, Chile and Uganda.

According to a statement on July 9 released by The WTO/TBT Center of the Administration of Quality and Technology Supervision of Guangdong, it received TBT, or technical barriers to trade, notices on higher standards for LED lights and directional lights exported to those countries and regions.

The higher efficiency requirements set by the EU would inflate the costs of LED light producers in Guangdong by more than 20 percent, or 2 billion yuan.

What’s worst, the stricter testing requirements set by the US would add more than 2 billion yuan in extra costs to LED firms in the province.

LED light exports from Guangdong were worth more than 34 billion yuan in 2011, accounting for about 25 percent of the LED light output in the province. Products sold to the US and EU made up two-thirds of the province's LED exports.

Currently, the center is urging the countries and regions to accept its comments for lowering the requirements. Meanwhile, it is also working with companies to set up a working mechanism against LED technical trade barriers.

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