Taiwan topped global rankings last year for LED component output value, and the industry is expected to keep up 14% growth throughout 2015 to reach US $5.37 billion, according to statistics compiled by Taiwan’s Photonics Industry and Technology Development Association (PIDA).

The total global optoelectronic industry market value reached US $575.6 billion in 2014, and Taiwan’s optoelectronic industry amounted to a 12% share of $ 67.4 billion. Taiwan’s optoelectronic industry has managed to maintain 2013 performance.

There has been tremendous transformations in the global LED component industry in recent years, with China being the fastest growing market. Due the rise of China’s local LED manufacturers, American manufacturers such as Cree have become less profitable, leading to the region’s declining LED component market value, said the organization’s Senior Analyst Lu Shao-hsu. Korea’s overall LED market value also slid, Samsung for instance relinquished its LED luminaire business last year. The Taiwan market maintained steady two digit growths. Although, the Japan market showed incremental growth, Japanese LED chip manufacturer Nichia reported two digit growth rates. Overall, the widening differences between manufacturers will become increasingly evident, as Chinese LED manufacturers outshine competition.

The Chinese market delivered stellar LED package and module market value performances. As Chinese LED manufacturers grow stronger, it will become important for Taiwanese manufacturers to develop strategies to overcome this, said Lu. Taiwan’s LED lighting market has less than 5% global share, and is not very influential. Therefore, companies should seek niche market applications with high potentials, such as UV LED and IR LED product applications.

PIDA will be hosting an annual seminar to discuss future trends in the optoelectronic market from Jan. 20-23, 2015. The seminar will address niche LED market applications and developments, and will be inviting domestic optoelectronic experts to discuss untapped LED market applications.

(Author: Angela Yang, Reporter, LEDinsidehttp://Translator: Judy Lin, Chief Editor, LEDinside)