The gradual release of sapphire new capacity is expected to decline slightly

In 2010, the number of MOCVD planning in the domestic upstream epitaxy field continued to refresh, which led to the butterfly effect, which led to a new wave of investment in sapphire crystal growth and substrate projects.

"At present, the investment in sapphire exceeds 100% of demand!" Dr. Zhang Xiaofei, CEO of Gaogong LED, said with no worries.

※ The following are newly invested sapphire projects
area company name Total investment (100 million yuan) 2010 production capacity Planning capacity New project start-up time
Jiangsu Xiexin Optoelectronics 50-60 - General plan: 30 million pieces / year year 2011
Chongqing Chongqing Silian 30 1.2 million tablets - year 2010
Yunnan Yunnan Blue Crystal 0.6 3.6 million pieces General plan: 8 million pieces / year year 2011
Zhejiang Crystal photoelectric 1.09 - The first phase of 3.6 million pieces / year 2012
Shandong Qingdao Jiaxing Jingdian 1.2 500,000 pieces General plan: 1.8 million pieces / year year 2011
Guizhou Guiyang Gongtou 20 - The first phase of 3 million pieces / year The total plan: 25 million pieces / year year 2011
Jiangxi Jiujiang Celluloid 20 - The first phase of 5 million pieces / year The total plan: 16 million pieces / year year 2011
Sichuan Dongjun Laser 0.7 1.2 million tablets General plan: 6 million pieces / year year 2011
Jiangsu Eurasian Lanbao Optoelectronics 2 - The first phase of 1.2 million pieces / year The total plan: 4 million pieces / year year 2011
Zhejiang Dongjing Electronics 10 - The first phase of 3 million pieces / year The total plan: 7.5 million pieces / year 2012
Jiangsu Jixing new material 30 - The first phase of 5 million pieces / year The total plan: 20 million pieces / year year 2011
Heilongjiang Harbin Institute of Technology 7 50-70 million pieces General plan: 7 million pieces / year year 2011
Shaanxi Shenguang Anrui Photoelectric 40 - The first phase of 2.1 million pieces / year The total plan of 3 million pieces / year 2012
Beijing Zhongke Jingdian 5 - - year 2011
Shanxi Changzhi Hongyuan Technology Crystal 2 - The first phase of 1 million pieces / year The total plan of 3 million pieces / year year 2011


Excess or not depends on LED lighting penetration

"I have preliminary statistics on the current investment volume, a total of more than 20 billion. According to the current market situation, this amount is definitely beyond the current level of digestion." Fu Jianwei, general manager of Chengdu Dongjun Laser Co., Ltd. The LED reporter said, "But there is a question mark in the future, depending on the progress of LED in the field of lighting."

In 2009, the global LED lighting market output value of about 2.4 billion US dollars, the penetration rate is only 3.3%. The industry expects that the proportion of LED lighting in the global general lighting market will rise to 50% in 2015 and 80% in 2020.

"This is indeed uncertain, depending on the speed of penetration. If it is less than 5% now, it will be 10%, and even 30% in the next three to five years. Forty, the demand is big." Fu Jianwei pointed out.

MOCVD mass production boosts demand for sapphire demand

In 2010, LED upstream investment was active, and the Chinese LED market's investment demand for MOCVD was almost crazy. Local governments have begun to provide subsidies for enterprises to purchase MOCVD machines. Depending on the type of machine and the region, enterprises can receive subsidies ranging from RMB 8 million to RMB 12 million for each MOCVD machine.

Local LED related companies continue to amplify the investment amount of LED epitaxial chip production under the stimulation of the market and policy. The Gaogong LED Industry Research Institute estimates that the actual number of MOCVD machines installed in the mainland will reach 400 in 2011, which accounts for 1/4 of the world's two largest MOCVD producers, Veeco and Aixtron.

"MOVCD from last year to this year, as many as hundreds of orders, everyone is entering the commissioning and installation phase." Fu Jianwei told reporters, "I went to some companies to visit, their MOCVD equipment, from October to now has passed It took six months, and it has not been commissioned to enter the mass production stage. According to that calculation, if hundreds of MOCVDs could be mass-produced in the second half of this year, the demand for this sapphire will increase."

"In the recent research process, I heard that many manufacturers are secretly buying MOCVD." Zhang Xiaofei revealed.

Global sapphire production capacity doubled in 2011 , prices are expected to decline slightly

At present, the global sapphire crystal rod manufacturers are full of horsepower, working overtime to expand production capacity. The high-tech LED industry research institute predicts that in the international market, the production capacity of the world's seven major sapphire crystal rod manufacturers will double in 2011, reaching 5 million mm / month (about 6.5 million 2-inch substrates).

"According to our western market, the current supply is still relatively loose, and everyone is expanding production." Fu Jianwei said. Speaking of the price trend of sapphire this year, Fu Jianwei expressed his opinion: "The price of sapphire should have a decline this year, and the current market judgment has a decline of about two or three dollars."

Zhang Xiaofei also said: "The mass production of the new investment project for sapphire substrates has not reached the expected target. It is estimated that neither Q2 nor Q3 will fall, but the fourth quarter will decline."

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