Maixing Lighting: Enterprise Crises Intensify After the LED Industry's Golden Growth Period

　　The recovery of the global economy has led to an increase in foreign orders, and the government has continuously introduced measures to support the development of the LED industry. These positive developments, like a spring breeze, have dispersed the gloom hanging over the LED lighting market, ushering in a fully explosive situation in 2014 and kicking off the comprehensive replacement of traditional lighting by LED lighting. According to forecasts by relevant institutions, the LED lighting market is expected to achieve a market penetration rate of 60% to 80% within the next 2 to 3 years. However, such a rapid market penetration rate in the LED lighting industry has also raised concerns among some about the industry's prospects: with the market demand base remaining unchanged, as technology develops, LED lighting products are lasting longer, therefore LED lighting companies will face yet another industry bottleneck after three years of golden phase—shrinking market demand.

　　So, where does the future path of LED companies lie? And how should LED companies position themselves to face the even more severe challenges after the golden growth period? In response to this, our reporter interviewed Mr. Liu Xiaoxiong, Vice President of Shenzhen Jiawei Photovoltaic Lighting Co., Ltd., hoping to provide a reference for LED companies seeking a way out.

　　Regarding the current state and prospects of the LED lighting industry, Mr. Liu Xiaoxiong stated that when the penetration rate of LED lighting products reaches 60% or even 80%, it indicates that the entire LED lighting market has entered a mature stage. The mature stage means declining product sales, which is an indisputable fact. "The development of the LED lighting industry will present an S-shaped growth curve over the next 3 to 5 years. With the further implementation of policies banning the sale of incandescent and fluorescent lamps in countries around the world, as well as the new rural construction in our country, there will be a certain number of LED street lamp renovation projects and newly added residential areas each year. Therefore, during 2014 to 2018, the demand for LED lighting in the market will explode rapidly, but after 2018, it will enter a stage of gradually declining sales. With the market demand base remaining unchanged, without other strong measures to promote it, or without major breakthroughs in product technology and design, declining sales are inevitable. In view of the industry's development, Jiawei Co., Ltd. is making every effort to build the Maixing Lighting brand, working on product technology and design to meet market development needs."

Future products will become more personalized and intelligent — a truth universally recognized and a guiding principle embraced by every industry. In the future, people's expectations of lighting will extend beyond illumination; lamps will become expressions of personality and markers of quality of life. Liu Xiaoxiong points out that future LED products will trend toward personalization and intelligence, and this wave of technological innovation will open up broader space and markets for LED lighting. For Jiawei Shares, which has historically focused on overseas markets, the company already possesses strong capabilities in product innovation and R&D, along with a rigorous product quality inspection and control system. Its high-end LED lighting brand MAXIMUS can meet the elevated demands of consumers who value product quality and brand reputation. "After conducting in-depth market analysis, we will fully leverage Jiawei Shares' core competitive advantages and, combined with our own positioning, develop products that align with market development needs. We are confident — not only because we have accumulated 20 years of overseas experience, but because we truly have the capability to do so. Jiawei Shares' R&D team currently accounts for one-tenth of the company's total workforce, which is rare among LED enterprises."

According to the reporter's findings, MAXIMUS made a triumphant return to the domestic market this year, and its innovative and practical products quickly earned widespread recognition from consumers. Relevant data shows that MAXIMUS began testing the domestic LED lighting market in 2013, securing LED streetlight renovation projects in places such as Shajing Town in Shenzhen, Pingdi Sub-district of Longgang, and Anyang in Henan, thanks to its outstanding value for money. It also achieved excellent rankings during project inspections — for instance, in the evaluation of streetlight renovation projects for more than a hundred units across Shajing Town conducted by the Shajing Sub-district Office's Streetlight Management Office, MAXIMUS achieved full marks for three consecutive years, taking first place across all technical parameters including illuminance and lighting configuration.