With rising costs of raw materials and labor, compact-fluoresent-lamp manufacturers feel great pressure to make profit and some small businesses have been forced to shut down. Then how should enterprise handle this difficulty? The development of LED lights can be the way out. In an effort to find out how LED lights perform in the market, “First Time”, the program on CCTV finance and economics channel (CCTV2) the has conducted an investigation on the market and interviewed Dr. Zhang Xiaofei, president of GGII. Blow are details.

“First Time” reporter have found in the interview that more and more consumers are willing to choose LED luminaires. With expanding market demand, many Zhongshan, Guangdong-based compact-fluoresent-lamp manufacturers have started to convert to LED industry. Domestic research agency GLII of GGII presents the data, showing among around 40,000 to 50,000 traditional lighting enterprises across the country, about 11,000 deliver annual output of over ten-million-yuan level and all of them have already or will convert to LED.
 
Dr. Zhang Xiaofei, president of GLII, believes that in the next three years, the popularizing rate of LED in commercial lighting will exceed 50%, while after three years, LEDs in residential lighting application that now focus on high-end use will gradually penetrate into common households. It is inevitable for compact-fluorescent-lamp enterprises facing bottleneck to turn to LED lighting.

Currently, the price of LED luminaires is higher than mainstream lights, but it will decline dramatically in the future and gradually replace compact fluorescent lamps. Zhao Xiaofei said to “First Time” reporter, “LED chip price is on continuous decrease at annual rate of around 30%, approaching the price of compact fluorescent lamps. We project that after 3 to 4 years, with increased scale, the absolute price of LED lights will exceed compact fluorescent lamps. Then after 5 years, LED light will replace compact fluorescent lamps. ”