Taiwain's LED investments in China mainland Surges from Q3 2009
07/03/2010
Statistics from Photonics Industry and Technology Development Association(PIDA) shows that Taiwan LED lighting companies are increasing their investments in China vastly from the second half of 2009.
Begining from the thrid quarter of 2009, Taiwan companies has invested NT$8.5 billion (US$263.37 million) and NT$14 billion on LED epitaxy and LED packing facilities in China. The amount accounts for 42% and 17% of the total investment capital made in the last 15 years
Taiwan's production value of epitaxy and LED packaging in 2010 is expected to reach NT$41.6 billion and NT$58.6 billion, respectively, up 25% and 20% on year, aslo from PIDA.
In recent years, the China government has stepped up incentives to attract LED-related investment, especially LED epitaxy production, which has high technological barriers. Prior to 2009, Taiwan companies had never established epitaxy facilities on the mainland.
Taking advantage of China's growing market, many Taiwan-based players, whether it is pure play LED companies or LCD panel makers with LED businesses, have aggressively raised funds to expand capacity in China. In the first half of 2010, upstream LED companies including epitaxy producers raised NT$42.2 billion, and downstream companies raised NT$7.5 billion.
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