Factors that promote the development of LED market

　　The first is the energy efficiency. Compared with other technologies, LED can reduce energy consumption for end users. The LED lights used in general lighting environment for end users will be more cost-effective. In North America, more than 30% of building energy consumption is from lighting, so North America is promoting the use of LED lights to reduce energy consumption, therefore the LED penetration rate in North America is also far ahead of other regions of the world.

　　Followed by is a supportive area policy and regulatory. From a global perspective, backward lighting technology is being phased out, which is inseparable from the support and encouragement of local government, which will lead to the end user uses LED lights to increase the proportion of advanced lighting technology.

　　Finally is the decline in the price of LED products, which is also the driving force for further growth in the market. As previously mentioned, price of LED products every year declines by a proportion of about 10%. The declining prices will increase market acceptance of LED products to further enhance the penetration of LED lights.