LED street light bidding local enterprises to play the leading role

　　 The China Urban Lighting Energy Conservation Summit held recently revealed information. By 2012, 21 pilot cities in the “Ten Cities and Ten Thousand Cities” will begin to install LED street lights on a large scale, and other second-tier cities will actively follow up, and the national LED street lamp assembly will be installed. The amount of light will reach 1.5 million baht. This means that the market size of LED street lamps in about 70 first- and second-tier cities in China will reach 15 billion yuan.

It is precisely because the LED street lamp market will expand rapidly, and the LED industry investment boom has arisen across the country, but the local protectionism in the LED street lamp bidding has filled many people with confusion.

“About two-thirds of the LED streetlight contractors in various places are local enterprises, especially the “local” color of the seven major LED industry bases in China.” Gao Xiao LED CEO Zhang Xiaofei pointed out that LED street lights were installed in Weifang, Shandong last year. It ranks first in the country, reaching 35,000 baht, but almost 100% of LED street light orders are taken over by Weiwei Electronics, which is invested in Weifang.

This phenomenon is not unique to Weifang in Shandong. In many places, orders for LED street lamps have been obtained by some local enterprises that have just been established or just started to produce LED street lamps. Some enterprises even participate in pilot LED street lamps that are not produced by themselves. Entrusted by other manufacturers to produce by OEM.

“Before June, we will ship 300 sets of LED street lights every month.” Ren Pengyi, deputy general manager of Chengdu Grande’s marketing, told the “First Financial Daily” that most of the company’s orders were from Chengdu, even near In the Chongqing LED streetlight market, it is difficult for the company to get a piece of it.

The micro-light-emitting electronics that took orders for Weifang's LED streetlights are rarely traced outside Weifang. Chen Xiaodong, vice president of China Microlight Electronics, once told the media that it would be difficult to enter a certain region without the support of local governments. At present, China Micro has to turn its attention to foreign markets.

Gaogong LED statistics show that in the Guangdong area represented by Shenzhen and Dongguan, local LED street lighting companies have received 80% of the orders; in the Yangtze River Delta and surrounding areas represented by Fujian, Shanghai, Shandong, Jiangsu and Jiangxi, local LED street lights The company received 70% of the orders; although there are fewer local LED street light companies in North China, Midwest and Northeast China, local LED street lighting companies have also received orders of around 50%.

Some insiders also said that of the 29 companies selected for the Shenzhen LED streetlight tender, 25 are local companies.

Missing standard

“It is understandable that local governments use this method to support the development of local LED companies. But this is not a good thing for the long-term development of China's LED industry.” Zhang Xiaofei believes that the local government adopts investment-for-order methods for foreign companies. Taking the LED street lamp order to invest here and building it has become the unspoken rule of the current LED lighting market. As for the price and quality of LED street lamp products, it is not important.

"The lack of standard specifications for LED street lights has affected the process of comprehensive promotion." Zhu Bingzhong, deputy secretary general of the Guangdong LED Industry Alliance, said at the forum. In order to make the "Ten Cities and Ten Thousand Miles" smoothly promoted, local governments have also tried to introduce some local LED street lamp standards to guide the pilot project.

In July last year, the "Guangdong Province LED Street Light Local Standards" drafted by Qin Shang Optoelectronics came into effect. In late March, Shenzhen Development and Reform Commission, Shenzhen Science, Industry and Trade Letters and the Shenzhen Municipal Market Supervision Administration jointly issued the "Shenzhen LED Road Lighting Products Technical Specifications and Energy Efficiency Guide (Trial)".

“The traces of these local standard enterprises are very obvious, and the local LED street lamp bidding documents will have obvious bias.” Zhang Xiaofei compared the bidding documents of 11 domestic LED street lamp bidding projects, most of the bidding in LED street lamp parameters and enterprise bidding Qualifications and other aspects will have a tendency to local enterprises.

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