China's LED industry advantages and risks coexist

New energy will gradually replace traditional energy as a driver to promote social and economic progress, and new energy is often born with the birth and progress of new technologies. LED industry is a typical incubator of new energy. The industry believes that China's LED industry advantages and risks coexist, banks should support the development of China's LED industry.
LED industry has obvious advantages
LED is an abbreviation of LightEmittingDiode, which is a compound semiconductor component that converts electrical energy into light. LED has the advantages of high luminous efficiency, environmental protection, long life and small size. The products are mainly used in the backlights of mobile phones and other equipment, traffic lights, outdoor landscape lighting, interior decorative lighting, automotive interior lighting, mining lights and other security lighting, among which mobile phones use the largest, accounting for 36% of the LED application market, followed by It is the field of signal indication, such as traffic lights, accounting for 17%.
LED learning threshold is low. Although the domestic LED industry is relatively weak and the level of technology is relatively low, some domestic enterprises have made breakthroughs in technology by hiring overseas technicians. Many enterprises have obtained independent intellectual property rights. The technical level of domestic high-quality enterprises has been compared with that of Taiwanese manufacturers. The level of technology is not much different, and the overall gap with international manufacturers is also shrinking.
The investment amount of LED can be built with the initial investment of 100 million yuan. The total assets of well-known listed companies in Lianchuang Optoelectronics and Shilanwei are also more than 1 billion yuan. The entry threshold of domestic enterprises is low, and it is easy to achieve rolling development. This is "insignificant" in terms of integrated circuit manufacturing and LCD panel manufacturing investment of billions to billions of yuan. Domestic companies are easy to enter into industrial clusters.
The resource advantage is obvious. China has abundant non-ferrous metal resources, and gallium and indium are abundant in reserves, accounting for 70% to 80% of the world's reserves. This makes China's LED industry have a resource advantage. After the technology is mature, LED downstream packaging and device production are labor-intensive, and China has obvious labor cost advantages.
There are risk technology risks in the LED industry. LED belongs to the high-tech industry. The production technology and product performance are continuously improved. It is very important for the company to continue to keep up with the technological progress of the LED industry. Once the technology is backward, it will lose market share and even lose money, and eventually it will form a vicious circle.
Industrial transfer risk. About 80% of the LED packaging capacity in Taiwan has been transferred to the mainland. The transfer of chips and epitaxial wafers in the middle and upper reaches is relatively small, but there is an increasing trend. The improvement of the LED industry structure in the mainland will inevitably encounter competition from Taiwan-funded enterprises. The two compete with each other. At present, mainland enterprises are still at a disadvantage.
Macroeconomic risks. The global economic recession may affect the support of national policies for the LED industry. The popularity of LED products in Western countries and China may also be lower than expected.
Banks should support the development of LED industry to support projects that have been put into production. The LED industry, especially the upstream link, is a technology-intensive industry. The risk of R&D and industrialization is high. Enterprises involved in the industry must have experienced industry experts and technical teams. If the bank funds are involved too early, they may face greater risks. In view of this, in the period when the LED industry is not mature in China, banks should be involved in the project after the project is put into production or even after production.
Focus on supporting major projects supported by the government. LED application fields are characterized by energy saving and environmental protection. Under the theme of “Green Revolution”, local governments have given preferential policies such as government subsidies, fiscal interest subsidies, and land use to some LED companies with strong backgrounds and good management, and some local governments have placed orders directly with enterprises. For example, in 2008, the Ministry of Science and Technology and the Ministry of Finance launched the “Ten Cities and Ten Thousands” semiconductor lighting application demonstration project. It plans to promote LED municipal lighting in 10 to 20 cities by 2010, and 21 cities including Weifang, Dalian and Shenzhen have been listed. As a pilot city, it is understood that some cities have signed cooperation agreements or placed orders with relevant enterprises. It is recommended that banks should focus on supporting these enterprises and projects that can receive actual government support.
The loan should be in the form of a syndicate. As an emerging industry, LEDs are relatively lacking in industry knowledge. The information between banks and enterprises is seriously asymmetrical, and it is difficult to fully grasp the investment and financing plans of enterprises. Syndicated loans are an effective way to diversify bank risks and improve the negotiating position between banks and enterprises. Banks can understand and influence the overall investment path and development process of the company from the capital investment link, and avoid excessive investment and financing. In 2008, the Dalian Branch of the China Development Bank issued a loan of 300 million yuan to the Dalian Lumei Chip Technology Co., Ltd. as a lead bank and a Dalian branch of Harbin Bank through a syndicated loan (China Development Bank 200 million, Hahang 100 million) for The company's 6 billion high-brightness light-emitting semiconductor chip (LED) construction projects.
Guide companies to use bond financing. The large-scale production of LED industry in China is still in its infancy. It is difficult to meet the general needs of enterprises by individual banks and single indirect financing channels, and it is not easy to revitalize the whole industry. The direct financing instruments such as short-term financing bills and medium-term bills are scattered. Bank risk, lower corporate financing costs, and an effective way to expand the visibility of enterprises in the capital market. For smaller companies, they can also be financed through collective methods. It is recommended that banks can appropriately guide enterprises to use bond financing in the process of enterprise marketing.

XLPE Insulated Electrical Cable For Rated Voltage 3.6/6KV~26/35KV


For XLPE insulated power cable, either chemical method or physical method is employed to transform the molecular structure of PE from chain into three-dimensional network, i.e. thermoplastic PE is transformed into thermo setting XLPE. After cross-linking, the thermal and mechanical properties of PE have been greatly improved while its excellent electrical property are still retained.


The maximum permissible operating temperature of the conductor of a XLPE insulated power cable is 90℃ which resistance is higher than that of PVC or PE insulated power cable. The cable has the advantage of simplicity in construction, lightness in weight, convenience in application besides its excellent electrical, thermal, mechanical and anti-chemical corrosion properties. It can also be laid with no limitation of level difference along the route.


1. Product standard

The product is manufactured according to the standard of IEC60502-2 [Extruded solid dielectric power cables for rated voltages from l KV (Um=1.2KV) to 35KV (Um=40.5KV)", BS, DIN and ICEA upon request.Include 33kv Cable, 20kv Cable ,15kv Cable,11kv Cable, all of them are manufactured according to the standard.

2. Applications

The product is suitable for use in power transmission and distribution lines with rated power frequency voltage 3.6KV/6KV~26/35KV.

3. Operating characteristics

Rated power-frequency voltage U0/U: 3.6/6KV~26/35KV.

Max. Permissible continuous operating temperature or conductor:90℃.

Max. short-circuit temperature of conductor shall not exceed 250℃. (5s maximum duration)

The ambient temperature under installation should not below 0℃.

The bending radius of a single-core cable should not less than 20 times of the cable diameter.

The bending radius of a three-core cable should not less than 15 times of the cable diameter.

4. Voltage designation

The rated voltage of the cable for a given application shall be suitable for the operating conditions in the system in which the cable is used, and is expressed in the form of U0/U (Um) KV. Where:

U0-The rated power-frequency voltage between conductor and earth or metallic screen, for which the cable designed;

U-The rated power-frequency voltage between conductors, for which the cable designed;

Um-The maximum value of the [highest system voltage" for which the equipment may be used.


5. The values of U0 recommended for cables to be used in three-phase systems are listed below.

System category A-This category comprises those systems in which any phase conductor that comes in contact with earth or an earth conductor, is disconnected from the system within 1 min.

System category B-This category comprises those system which under fault conditions, are operated for a short time with one phase earthed. This period should not exceed 1h. For a longer period, not exceeding 8h on any occasion, can be tolerated. The total duration of earth faults in any year should not exceed 125h.

System category C-This category comprises all systems which do not fall into categories A and B.

6. Construction of cable

3.6/6kV~26/35kV, Single-core, XLPE insulated, power cable


3.6/6kV~26/35kV, Single-core, XLPE insulated, steel tape armored power cable


3.6/6kV~26/35kV, Single-core, XLPE insulated, steel wire armored power cable


3.6/6kV~26/35kV, Three-core, XLPE insulated, power cable


3.6/6kV~26/35kV, Three-core, XLPE insulated, steel tape armored power cable


3.6/6kV~26/35kV, Three-core, XLPE insulated, steel wire armored power cable


Middle Voltage Power Cable

Single Core Aluminium Conductor,Three Core Copper Conductor,Three Core Aluminium Conductor,33kv Cable,20kv Cable,15kv Cable,11kv Cable,69kv Cable

Huayuan Gaoke Cable Co.,Ltd. , http://www.bjhygkcable.com

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