Since the government standard for LED lighting industry is still in the process of development, local government and small/medium-sized manufacturers performed their daily operations though their own regulations in China. This caused chaos in Chinese LED lighting market and will impact a bad effect on long-term competitiveness of Chinese enterprises. Under such circumstance, an efficient industry alliance is strongly needed but has not been realized yet. The fierce competitions from oversea-funded enterprises are the main reasons for the dilemma faced by local LED manufacturers, who is suffering a rapid losing of market occupancy in Chinese LED household lighting market.
Related departments who put forward the plan of industry alliance also indicated that how to constantly and comprehensively increase product quality is anther essential factor for improving long-term competitiveness of Chinese enterprises in Chinese LED household lighting market. Lack of technological superiority is our “Achilles’ heel”. If the quality cannot be guaranteed, losing the entire market is just a matter of time. “We have already lost nearly 1/3 occupancy in LED high bay lighting market due to the lack of technology, no one can predict what will happen in next decade if no action is taken.” One of the LED manufacturers in Guangzhou said to reporters.
No matter China or western countries, “you get what you pay for” is really a truth. For a long time, Chinese manufacturers improperly paid their attention on “price battle” and ignored the importance of quality improvement and technology development. Such “blind competition” led to Chinese LED lighting enterprises are vulnerable under the heavy bombardment from foreign companies. It is impossible for us to defeat our powerful foreign competitors just though low-quality products with low prices. “Not to mention foreign markets, even Chinese LED household lighting market we are going to lose in near future. We had nothing to do with all these, just let it happened. Hope Chinese government can do something for us, truly!” Said Liu Yu, another LED street light manufacturers from Guangzhou. He just finished Guangzhou International LED Lights Fair held in February this year.
This is the best interpretation for the downturn of Chinese LED household lighting market. If we can ensure the quality of our products, put an end to the “plagiarism” and malicious competition, it is not a problem for us to re-obtain the trust of consumers, recapture the market occupancy and continue to make Chinese LED lighting enterprise grow.