Rising Costs Of LED Lead To Temporary Price Growth Of LED Light Bulb Market

<< Go Back Posted By:administrator on Jun 23,2017in Industry News

Last month, the world's average sales price (ASP) of  60-watt equivalent LED bulbs brought down by 0.2% from the previous month to US$8.1 ,while the global ASP of 40-watt equivalent replacement LED bulbs went up by 0.2% from the previous month to US$6.6, while . The latest report from LEDinside, a division of TrendForce, points out the price trend for LED bulbs has been generally steady since April.

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Allen Yu,the LEDinside analyst,stated that prices of some LED packages rose during April. Particularly,global leading LED lighting suppliers all raised ASPs of their 2835 lighting LEDs. This geared down the price fall for LED light bulbs in the downstream and even temporary reversed the trend for 40-watt equivalent light bulbs.

Global LED package suppliers launched new products and China's package market saw a general price increase in China’s LED package market, 0.2w and 0.5w 2835 LEDs grew up by 3.4% and 3.9% respectively between March and April. While the main LED package suppliers of 2835 LEDs are Chinese and Taiwanese factories, other major global suppliers are also putting out extensive 2835 product lines.

Suppliers like Lumileds already rolled out the 2835E series that is aligned to the average luminous efficacy level and the 2835C series that features high luminous efficacy . This year, Lumileds has also released the 3V EA series that is applied for linear luminaires. These products from Lumileds are all priced higher than the ASP of 2835 LEDs in China. Regarding to the prices of 3030 and 5630 LEDs, their prices were stable through April in the Chinese market.

As to the prices of LED bulbs, ASPs of 40-watt equivalent products in Europe increased slightly. In Germany, The ASP of 40-watt equivalent products grew up by 0.8% from March.The ASP in the U.K. raised by 1% from the previous month, just a few products saw price hikes in the U.K. For example, the price of  a 6-watt 470-lumen LED light bulb reversed by 5% from March to US$5.59. On the other hand,The U.S. showed a reduction of 0.4% through March.

In China, LED light bulb vendors slashed prices of their 40-watt equivalent products to capture more market shares during April. FSL, for instance, lowered the price of its 7-watt 550-lumen product by 32% from March to US$3.5. Other vendors including Philips and PAK also cut their prices by a significant margin.

In China, LED light bulb vendors slashed prices of their 40-watt equivalent products to capture more market shares during April.

Looking at 60-watt equivalent products,markets in Asian countries saw price increase while the U.S. and Europe saw marginal price decline in April. In the U.K., the ASP dropped by 2% compared with March because well-known brands such as lowered prices on some of their LED light bulb products. Germany also showed a monthly decline of 3.2% as several products were on promotion.

In Taiwan, the ASP grew by 1.75% from March due to some low-price products exiting the market.The ASP in Japan went up by 2.2% in April compared with March for the price hikes on a few products. ASPs of 60-watt equivalent LED bulbs in other Asian markets were steady in April.

Source: LEDinside, Rising Costs of LED Packages Slowed Down Price Decline in LED Light Bulb Market During April, May, 2017