Taipei, Tuesday, October 6, 2015 07:02 (GMT+8)
mostly cloudy
China's LED industry under the 12th Five Year Plan
Jessie Lin, DIGITIMES Research, Taipei [Friday 1 July 2011]
Registration required (free) to purchase. Please sign in if you wish to continue.
China's focus on developing energy-saving and environmental industries under its 12th Five Year Plan promises to deliver a considerable boost to its LED industry. This DIGITIMES Research Special Report provides in-depth analysis on how each segment of China's LED supply chain, from the mining of rare earth elements to the implementation of LED streetlights will be affected.
Output value distribution in the China LED industry, 2008-2010 (b CNY)

China's 12th Five Year Plan (12th FYP) for the 2011-2015 period is intended to address issues of both economic growth and energy consumption. Among the seven new key industries listed in the 12th FYP are "energy saving and environmental protection" and "new materials," both of which are closely connected with the LED industry. While China's LED industry in China is still in its initial phase of development, the considerable boost promised by the 12th FYP will ensure that the industry plays a major role in both GDP growth and reducing energy consumption.

The China LED industry is currently somewhat bottom-heavy in structural terms, with a large downstream sector matched with only a small upstream industry. This means that despite the fact that China-based firms lag behind Taiwan-based firms and the major international players in upstream sectors such as LED epitaxy technology, the potential for future growth remains enormous. The effect of the 12th FYP and associated subsidy policies is projected to lead to healthier and more comprehensive development throughout the entire LED industry in China.

The 12th FYP will also leverage China's considerable advantage in rare earth materials to promote the development of the LED phosphor sector in China. Following China's imposition of limits on rare earth exports and the quarter-on-quarter increase in the price of such materials, the issue of whether China opts to use rare earth materials as a strategic commodity to pursue technical partnerships with foreign companies will be one of the developments that is most worthy of close attention.

Table of contents
Price: NT$48,000 (approx. US$1,685)
Realtime news
  • Digitimes Research: Difference between Apple Watch and Android Wear devices narrowed

    IT + CE | 8h 23min ago

  • Taiwan market: Chunghwa Telecom sets contract-bundled pricing for iPhone 6s/6s Plus

    Mobile + telecom | 8h 34min ago

  • Largan Precision sees increased September revenues

    IT + CE | 8h 36min ago

  • Inotera chairman reportedly to be hired by Tsinghua Unigroup

    Bits + chips | 8h 40min ago

  • Radiant Opto-Electronics reports revenues for September 2015

    Displays - Stockwatch | 8h 44min ago

  • HTC September revenues up sequentially

    Mobile + telecom | 8h 44min ago

  • Sharp establishes sales company for electronic components in Shenzhen, China

    Displays | 8h 47min ago

  • Green Energy Technology sees tiny growth in September revenues

    Green energy | 8h 52min ago

  • Global semiconductor sales decrease slightly in August, says SIA

    Bits + chips | 8h 57min ago

  • ECS reports revenue growth for September 2015

    IT + CE - Stockwatch | 9h 1min ago

  • Catcher sees growth in September revenues

    IT + CE | 9h 2min ago

  • MediaTek dismisses layoff rumors

    Bits + chips - Stockwatch | 9h 3min ago

  • Taiwan market: Chunghwa Telecom sets contract-bundled pricing for iPhone 6s/6s Plus

    Before Going to Press | 9h 20min ago

  • Giga Solar Materials September revenues hit record for 6th consecutive month

    Before Going to Press | 9h 20min ago

  • Kyocera to launch LED lighting for use in plant factories, says Nikkei News

    Before Going to Press | 9h 24min ago

  • GIS reports strong performance for September due to Apple orders

    Before Going to Press | 9h 25min ago

  • Inotera chairman reportedly to be hired by Tsinghua Unigroup

    Before Going to Press | 9h 25min ago

  • Realtek reports increased September revenues

    Before Going to Press | 9h 27min ago

  • Tablet demand stays weak, say Taiwan IC designers

    Before Going to Press | 9h 28min ago

  • Korea makers developing more AMOLED products as China ramps up LCD production

    Before Going to Press | 9h 28min ago

  • Digitimes Research: Global large-size TFT capacity to reach record high in 2016

    Before Going to Press | 9h 29min ago

  • Notebook vendors see growing notebook demand in October and November.

    Before Going to Press | 9h 29min ago

  • Inventec optimistic about new orders from Xiaomi

    Before Going to Press | 9h 30min ago

  • Inventec expects revenues to surpass US$20 billion in 2017

    Before Going to Press | 9h 32min ago

  • LandMark Optoelectronics September revenues hit record for 7th time straight

    Before Going to Press | 9h 33min ago

View more

The Big Fund - China's next step to becoming a global semiconductor leader

RESEARCH EXTRAS | Sep 16, 17:49

China has been solidifying its semiconductor industry policy objectives through the release of the "National IC Industry Development Guidelines" in June 2014 and "Made in China 2025" in June 2015, with one key financial support program being the National IC Industry...

Display panels for wearable devices: Market overview and forecast through 2017

RESEARCH EXTRAS | Jul 23, 12:15

The wearables market is a growing focal point for many vendors and players in the display panel supply chain. This Digitimes Research Special Report looks at developments in panel applications in the wearable industry, with a specific focus on panel makers in...

Taiwan LCD TVs – 2Q 2015


Taiwan-based LCD TV makers are seeing improving shipments. Among them, Foxconn Electronics (Hon Hai Precision Industry) will have the strongest shipment growth in the second half due to procurement orders from Mexico.

Global tablet market – 2Q 2015

GLOBAL TABLET | Aug 21, 12:11

Digitimes Research saw global tablet shipments fall to 45.76 million units in second-quarter 2015, showing a 10% decrease on quarter and representing more than a 15% decrease on year.

China smartphone market and industry – 2Q 2015

CHINA SMARTPHONE | Aug 18, 15:33

Smartphone sales in China no longer show any significant momentum for growth as the fast maturing market now increasingly relies on replacement demand from existing users.

The Big Fund
Trends and forecasts for the China FPD industry, 2014-2017
Demand and supply trends in the global sapphire industry, 2014-2015
  • Wireless broadband developments in Southeast Asia markets

    As of 2013, the 10 ASEAN nations had a total of over 700 million mobile subscriptions, with the CAGR from 2003-2013 reaching 24%. This Digitimes Research Special Report analyzes the various mobile broadband markets in ASEAN and looks at the respective trends in 4G LTE development for those markets.

  • 2015 global tablet demand forecast

    This Digitimes Research Special Report provides a 2015 forecast for the global tablet market and analyzes the strategies of key market players such as Google, Apple, Intel, and Microsoft.

  • 2015 China smartphone panel trend forecast

    This Digitimes Research Special Report analyzes the strategies of key China-based major panel makers BOE, Tianma and IVO for attacking the different market segments through technology and pricing, and their relationship to local vendors Huawei, Lenovo, ZTE, Xiaomi and Coolpad.