Chinese manufacturing industry has "invaded" the US LED screen company

15/04/2020
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When China vigorously promoted China's manufacturing 2025, a declining speech appeared. It is believed that in terms of high-precision manufacturing, process technology level, or basic parts processing, China can't talk about leading the world, let alone match the level of 'manufacturing power'.

As to whether China's manufacturing industry is really going downhill or being exaggerated, we can't guard against the current Chinese manufacturing industry with a critical eye, admitting that we still have a gap, especially the starting point of manufacturing, original innovation capabilities, and technology accumulation and many more. But it should also be seen that this gap is narrowing and can't blindly decline itself. In any case, China's manufacturing industry has begun to "invade" the United States.

We admit that the ingenuity of industrial powers such as Germany and Japan is praiseworthy, but to be honest, Germany is engaged in "Industry 4.0", many of us probably haven't read it before and they will be enthralled. And Made in Germany is not everything strong, the information industry is a weak area. Therefore, we cannot blindly flatter foreign brands or blindly defame domestic brands.

The same is true for the LED display manufacturing industry. Rather than sing ourselves and praise other countries, it is better for the Chinese to play their own rhythm and market!

Singing bad words always cannot be corroborated by facts

Some foreign media reported that as labor and other costs have risen sharply, the production cost of China's manufacturing industry is approaching that of the United States. Although China will remain a manufacturing metropolis and an important market, the days when the "Made in China" label is ubiquitous are over. However, in fact, it was made in China and stepped forward step by step, posing a certain threat to countries such as Europe and the United States. According to the results of the "2016 US-China Public Attitudes Survey" released by the Hundred People's Conference of the American Chinese Elite Organization this year, more than 75% of Americans believe that China poses a serious or potential economic threat to the United States.

In contrast, the LED display industry has also been "sung down", but it is still very exciting.

In 2015, when the real economy was sluggish, a large amount of capital poured into the Internet, the manufacturing industry was fiercely competitive, and the cruel reshuffle appeared. When the roads, bankruptcies, and bankruptcies spread frequently, more than half of the listed companies performed poorly in net profit. The current downturn, so the city is full of "cold winter theory". What's more, a special video titled "The Tide of LED Industry Failure" broke out on CCTV News. For a time, the LED industry seemed to be in a state of dire straits.

However, not long ago, the first quarter report of listed LED display companies was announced one after another, and more than half of the LED display companies' performance showed a "pre-increased" status, which is undoubtedly self-mouthed. And this is verifying that Dick Yanhui, the chairman of Absen, once said: "I think LED display is a profiteering industry. Chinese LED displays are exported to companies that sell products to Japan, the United States and Germany. The average gross The interest rate is still over 40%. If a manufacturing industry has a gross profit of 30% or more than 40%, why should this industry be bad? "

Facts speak louder than words. The LED display industry breaks the "singing down" argument with its achievements and shows the positive development of Chinese LED display companies to more people.

The rise of China's LED display product manufacturing

Many times we are solidified by past thoughts, and believe that China's LED display industry is not comparable to European and American display products. Perhaps we should admit that China's LED display product manufacturing has always had a certain technological gap in the past, but the times In the change, technology is progressing, the gap between China's LED display manufacturing level and the European and American manufacturing level has narrowed, so we can not use the past thought to deny the current LED display industry.

As early as 2012, China's LED display industry has occupied the vast majority of the global market share, the entire industry has more than 20 billion in output value. With the continuous expansion of the industry scale, the development of major brands is very strong. Today, 50 LED display application companies in the industry have sales of more than 100 million yuan, and their sales account for more than 50% of the total sales of the national LED market. . Nearly 30 companies with annual sales of more than 200 million yuan are the backbone of China's LED display application industry. There are about 10 companies with sales of more than 500 million yuan, which are the key enterprises in the industry. Their sales account for about 30% of the country.

Looking at the world, among the LED display manufacturers, the largest company is the American company Daktronics, but its market share is not more than 10%, and 82% of its revenue comes from North America (2013 data). Barco, the second-ranked LED display sales in Belgium, is only slightly higher than the leading domestic companies.

In terms of total regional output value, Chinese LED display manufacturers have occupied the highest share in the world, benefiting from cost advantages and response speed, and relying on the huge market of mainland China. In recent years, Chinese LED displays have frequently appeared on the world stage (such as Times Square, Brazil World Cup, Russia Sochi Winter Olympics), which has been able to meet the needs of high-end applications such as advertising media, sports events, and large-scale exhibitions. The gap is small. In addition to particularly high-end projects, in most cases domestic LED display products can meet the requirements of foreign customers.

At the same time, the growth rate of Chinese LED display companies is higher than that of the global industry leaders, the gap between the volume of income and foreign giants is narrowing, and the profitability is also significantly higher than that of international counterparts. In addition, there are those dynamic and numerous small and medium-sized enterprises. Although the single enterprise of the legion is insignificant, its scale power cannot be underestimated. It continues to deepen verticals in subdivided fields and continuously promote the innovation of LED display products and technologies. .

China's LED display manufacturing is closing the gap with foreign brands step by step, using its own practical actions to prove to the world that China's LED display industry has no reason to continue to be "sung down"!

LED display product output has become a trend

In the past ten years, China's LED display products have shouldered a historic turning point. China's LED display exports to the world have reached more than 80% of the export volume. Various data show that China's LED display products have entered the international field of vision and are receiving global User review.

The development of LED display export business has enabled domestic display manufacturers to create better profit margins and overseas reputation. From the analysis of end users and downstream applications, most manufacturers mainly undertake large-scale projects, such as international events and events that have attracted worldwide attention, which indicates that China's LED display can always set new standards and attract global attention.

According to the latest customs statistics in 2015, from January to May 2015, China's export of LED display screens reached US $ 260 million, and the number of exports reached 440,000 units. Among them, the export value in May was about US $ 59 million, accounting for 22.22% of the total of the previous five months. From the perspective of the corresponding export market, the United States and Germany are still the largest export destinations.

In the past, the United States always wore "colored glasses" to look at Chinese companies. Now it is showing great kindness to Chinese investment, especially manufacturing investment. In order to attract Chinese manufacturing investment, the United States has actively taken measures from all levels of government to private institutions to create an investment environment and social atmosphere suitable for the development of manufacturing, so that Chinese manufacturing companies can settle in with peace of mind.

Since this year, we have also found that the export of LED display products in China is also showing an accelerating trend. Major LED display companies are gradually infiltrating overseas countries with increasingly high-quality displays. If we say that in the past, "Made in China" was once labelled with the processing and manufacturing of low-tech and labor-intensive products. So now "Made in China" is gradually changing to "Created in China", gradually reversing the impression that "Made in China" is cheap and "big but not strong". (Finishing source: HC LED)