China has been the world's largest lighting products manufacturing and consuming countries, has a very strong lighting products manufacturing base and global competitiveness, while China's lighting market is huge, with the rising level of urbanization, the lighting market is growing rapidly.

As China's lighting industry and the lighting market these characteristics, when the led lighting supplier industry to become the most important application, its application industry and market development has a rare strategic opportunity.
As technology continues to progress and costs continue to decline, LED products increasingly have to compete with the traditional advantages of lighting products. Two sessions just ended, the ministry held a meeting to discuss the emerging strategic industries which can be formed in 2020, big industry, semiconductor lighting can be more than one trillion size is listed as one of the industries of the two, but in stark contrast to the huge market space is more than the number of Chinese LED enterprises, small scale industry, the lack of leading enterprises, not-known international brand, business model and marketing system is not sound, channel development is lagging behind, still higher than the cost of products integrated traditional lighting products, Public awareness is not high on the LED, the new concept of consumption has not yet formed, corporate marketing difficult. Especially in the past two years, new projects on capacity begins to release, there has been the phenomenon of structural overcapacity, enterprises need to open up the market through various channels, to achieve healthy development.

On the whole, the market is difficult to expand the following main reasons, one is LED as a strategic emerging industries, technology is constantly advances, product has not yet done stereotypes, and an endless stream of new products, and traditional lighting products have been mature standard with customers, users choose new LED products more cautious. Second, compared with the traditional lighting products, LED initial purchase price is still high, despite the second half of 2011, along with the gradual release of new capacity and technology upgrade, LED oversupply situation occurred upstream chip prices fell much lighting product prices have also been substantial adjustment, the product cost is further reflected, but from the civilian market acceptance is still distance. Third, led road lighting with product updates quickly, destocking characteristics, and the existing lighting and LED lighting products market system needs a far cry from the circulation, the new market system has not yet formed, which to some extent caused by the market order temporary confusion scene, the impact of the market to promote the speed and effectiveness.
Especially with the LED luminous efficiency improvement, technical problems are no longer the biggest obstacle LED lighting applications and demands, how to achieve two-way communication market, on the one hand to expand replacement product market, on the other hand according to market demand to develop new applications, the establishment of can effectively promote the development of LED industry to become a new channel system LED industry development and market promotion of the most critical factor.