An LED lighting project of Guanzhou's subway system has been opened for bidding. Taiwan-based LED firms have been hoping to obtain the bid.
According to the project plan, Guangzhou city plans to invest in CNY29 million (US$4.55 million) to change 18,000 units of lighting fixtures.
LED firms noted that these type of projects have limited contributions to revenues and shipments. The reason to compete in bidding is to have the ticket to enter China's LED lighting market.
Industry sources noted that to achieve the goal of helping more LED firms, the Chinese government's selection for the Guangzhou project is likely to exclude firms that are already in Xiamen's demonstration projects. In addition, the Guangzhou subway project is inclined to increase cooperation between firms in China and Taiwan by having the latter provide LED lighting components. Taiwan-based LED packaging houses such as Everlight, Lextar and Lite-On have been eager to obtain the bid. The list of chosen firms is expected to be announced in August.