Second-Quarter 2012 LED Prices Have Been Flat

Second-quarter 2012 LED prices have been flat, according to industry sources. Demand has been high pushing capacity utilization rates to remain high. If prices continue to hold in the third quarter, the overall fall of ASPs in 2012 may be less than 20%. Taiwan-based LED chipmaker Epistar indicated that since May, the firm has been operating at full capacity and is likely to continue to the end of June. Some shipments of blue LED products have been delayed due to growing orders. The overall price fall in 2011 reached 40-50% due to oversupply. This also caused the price of LED lighting products to fall rapidly. New capacity in 2012 has been limited, with growing orders, the LED industry believes 2012 price falls are likely to be under 20%. Some industry sources have been optimistic about demand for LED backlights due to the expected rise of direct-lit LED TVs. The industry believes that by 2014, LED lighting will lead growth in the market. Source: DIGITIMES