Policy Drives Rapid Development of LED and Solar Energy Industry

Looking at the development of China's ICT industry in 2010, besides being driven by the expansion of domestic demand programs such as home appliances to the countryside and the automobile to the countryside, energy-saving emission reduction policies and application of new markets will also promote the LED industry to become a star industry with substantial growth. It is estimated that in 2010 China's LED industry in the NB, LCDTV and other application market, the rapid popularization, stimulate the LED chip, packaging demand greatly increased, the application market demand is estimated to reach 17.6 billion US dollars, an increase of 64%.

In the face of the gradual take-off of the solar energy market, China is actively adopting supportive policies to drive the rapid growth of the Chinese market. Among them, the “On-line Electricity Tariff Law” that will be introduced at the end of 2009 or early 2010 will attract the most attention. This policy requires the grid companies to purchase solar power at more favorable prices for more than 20 years to ensure the company’s revenue and stimulate the market to grow substantially. In addition, the recent polysilicon price continues to decline, prompting a sharp decline in solar cell market prices, coupled with subsidy policies such as “solar photovoltaic building” and “Golden Sun demonstration project”, and the subsidized solar power generation cost price may even be equivalent to that of thermal power generation. So, extension? ? It is estimated that the demand for China's solar power market will reach 620 million U.S. dollars in 2010, and the annual growth rate of 138.5% can also be seen as its development potential.

On the other hand, the rapid growth of China's auto market is an indisputable fact and is now seen by the global auto industry as another big slice after the North American market. In 2009, China implemented a policy of halving the purchase tax, car-to-country and auto exchange, and together with stimulating the growth of demand in the automotive electronics market, it is estimated that the market sales in 2010 could reach US$29.3 billion, an increase of 35%. In addition, the national standard for electric vehicles is expected to be introduced at the end of 2009, and it also gives rise to relevant expectations. It is expected that electric vehicles will become one of the hot topics in China after the subsidy program is clear.