Mar 06, 2014
LED stocks delivered the strongest performance on the Taiwan bourse on March 4, 2014, according to a report by Chinese-language Commercial Times. The report attributed the performance to rising LED market penetration rates and China’s environmental policies discussed at two conferences. Taiwanese LED manufacturers Unity Opto, LedTech Electronics, Tekcore and other stock prices soared, while other LED companies also saw stocks rebound.
The LED stocks growth was mainly because of China’s serious smog pollution, which spurred the country to kick off energy efficiency and carbon reduction policies to save the environment, said Chen Guan-rung, General Manager of a Taiwan merger and acquisition asset management company. Global carbon reduction policies also contributed many subsidies to the industry in order to create green resources. The LED industry has also benefited and led to large demands.
The LED industry has huge business potential, especially in terms of future growth. The Chinese government has released many energy efficiency subsidiaries, and other industry-friendly policies have continued to surface. In addition, due to China’s large population the LED industry will be seeing more business opportunities.
Many LED applications are in the take off stage including large displays, automotive and backlight penetration rates have all risen, said Masson Li, Assistant Manager,
Taishin Securities Investment Advisory Co. In addition, lighting business opportunities are worth looking forward to including LED bulb prices price plunge, increased LED lighting penetration rates, and continual of future low price trends. All these will give LED an edge to replacing conventional light bulbs. As LED product prices close in to the market sweet spot of US$ 10, the LED industry will have an opportunity for further growth.
Source: LEDinside