NEWS
NEWS
The expected market value for automotive LED lights market from the year 2017 to 2021
23-03-2017Owning to the steady LED light market price and the rapid growth of the automotive led light, the market value of automotive LED lights will reach $2. 817 billion (+14.8% YoY) in the year 2017. Comparably, the total annual growth rate of the whole LED light industry is only 3% from 2015 to 2021. The LED mainstream applications include mobile phone, medium and large panel backlight, which will gradually decrease due to the development of OLED. Although LED light for home has become the largest application in LED industry, the growth of overall production value slows down due to the saturated penetration rate and many competitors. But LED light manufacturers have invested in automotive led lights as well as fine pitch displays, so the market is still growing and developing.
1. Chinese Car Market Continues to Develop.
Due to the influence of uncertain international political status and the sad psychological expectations for the economy trends, the total car sales only slightly increased in 2016. However, from the single regions, passenger car sales declined in North America, and oil production reduction did not encourage the sales of new vehicles. Because of the uncertainty caused by British exit from EU, the market requirement pulled back in Europe. But the Asian market performed well. The most developed cities in China made the Limited Purchasing Order, but affected by domestic industry upgrading, the growth speed was worse than the past.
2. LED Penetration Rate on LED Headlights and LED Fog lights improves.
The LED headlight and LED fog light market is still the mainstream for high-power LED lighting. With high brightness, high technology barrier and low penetration base, the LED penetration rate of LED headlights and LED fog lights is estimated to be 12% and 16% respectively now. The total annual growth rate of production value in 2015-2020 will reach 18% and 15%. In car LED lights applications, the first two rankings hold the biggest potentials for development.
3. Product design stimulates the market demand for automotive LED lights .
The importation percentage of light guide plate into RCL is improved, which increases the LED number in RCL products. Vehicles become more intelligent, have more multimedia functions and intelligent rearview mirror is installed, which can avoid blind corners and improve driving safety. In the next two years, they may become the standard equipment of vehicles and encourage the usage of vehicle camera and panel. In the next five years, the vehicle panel will still get the most rapid growth in vehicle applications. And in the year 2021, the production value is estimated to reach $173 million (2016~2021 CAGR:26%).
4. Insurance Market Improves Car Aftermarket Products Quality.
As the American insurance market gets more requirements for the supply diversification, the dominance of CAPA has been broken slowly. NSF also gradually improves the penetration in the American market, making the aftermarket products more popular. And the cost control requirements are gradually reflected in the supply chain.