At the same time, chip terminals, packaging terminals and lighting terminals are beginning to expand. The chip side, due to material prices, new applications, chip supply, Sanan optoelectronics, HC semitek, Elec-Tech bought the new MOCVD machines, to respond to the market demand, especially in Sanan optoelectronics, is an increase of more than 300 MOCVD; and the end of the package, such as manufacturers Linsen nationstar Newell, Hongli etc. continued expansion, to the end of 2016 months in the MLS capacity has climbed to 60 billion to 70 billion, with the start of Jiangxi Ji'an plant expansion project, and full production before 2019, when the monthly capacity will rise to 150 billion, the scale of production capacity has jumped three jump; at the same time as the country continued to advance LED lighting to replace traditional lighting has become the mainstream, the expansion of LED lighting products still become the main trend.

Good financial statements, coupled with the supply of demand in the market, enterprise expansion, LED lighting industry situation is excellent. But there are also different people in the industry who have made a different sound. They believe that the current situation in the industry is worthy of vigilance and is likely to be a "false prosperity" situation.

The application of Huarun powtech system director Wu Quanqing said: "the second half of last year to now, the industry is indeed see a lot of prosperous phenomenon, everyone grab the goods, but we must make clear the real needs of customers, not to pay attention not to blindly follow the trend of expansion, to make clear the gross profit is worth whether we can achieve sustainable development, to consider doing."

Project Manager Liu Liqun Foshan Debao Rong Lighting Co. Ltd, said: "the LED lighting industry in the one or two years is much better than before, but we have to pick up the situation, this year's production capacity is relatively large, but the profit is declining, which belongs to the increment does not increase profits, and now if industry overcapacity, fierce the competition has not stopped."

Ai Hua group deputy chief engineer Shi Xiaofan said: "we have access to the lighting market point of view, it is indeed overcapacity, this year has not yet reached the off-season, but some customers have been greatly reduced orders. Now some companies are indeed increase productivity in the expansion of the scale, but in fact, Chinese LED production capacity is surplus, several large enterprises continued to invest in the construction of industrial parks, will only make the competition becomes more intense, so now the LED lighting industry is to sign up, but the excess capacity is also an alarming place."

Hebei Lanrui Lighting Technology Co. Ltd. Product Manager Jiang Xueyu said: "our company is now in increment does not increase profits, so we choose to enter the foreign market, now the main distribution in India and Brazil, will develop the European market this year, is the development of foreign markets to solve the incremental profits without increasing the situation, the foreign market is relatively high for the requirements of lighting quality, but the price will be high, the profit will be better."