Q1 2025 LED Industry Overview: Accelerated Tech Iteration and Diverging Enterprise Resilience
In the first quarter of 2025, the global LED industry faced a mix of challenges—technological upgrades, market fragmentation, and external policy shocks—leading to a contrasting development trend. On one hand, Mini/Micro-LED technologies rapidly penetrated the market, AI deeply integrated into lighting applications, and emerging markets showed new growth potential.
On the other hand, intensified U.S. tariff policies, raw material price fluctuations, and widening gaps in corporate profitability fueled competition. Against this backdrop, Chinese LED enterprises demonstrated strong risk resilience through advanced technology and global expansion, while leading companies gained ground via diversified strategies.
1. Industry Overview: Tech-Driven Growth Amid Rising External Pressures
Technology Iteration Reshapes Competitive Landscape
Mini-LED backlight technology has entered its 2.0 era, with RGB chip solutions—known for their wide color gamut and high energy efficiency—gradually replacing the traditional blue-light + phosphor scheme. As a result, market penetration has climbed to 26%.
In the direct-view display segment, COB and MiP have emerged as two core technologies: COB output is projected to exceed RMB 6 billion in 2025, while MiP is rapidly being adopted in high-end scenarios such as Hollywood film production and military command centers.
Meanwhile, Micro-LED is steadily maturing. Companies like Unilumin and Leyard have achieved small-batch production, advancing its use in consumer products like AR devices and smartwatches.
Tariff and Cost Pressures Test Business Resilience
The U.S. has imposed additional tariffs on Chinese LED products, which has temporarily impacted the export market. However, China's LED industry controls 70%-80% of global production capacity, coupled with advantages in the entire supply chain (materials, processes, and innovation), giving it long-term competitive strength.
International manufacturers such as Signify and Acuity Brands have been forced to raise prices, confirming the rule that "tariff costs are passed on to consumers." Additionally, the rise in raw material prices, such as copper and silver, has led mid-to-lower-tier companies to adjust their pricing by 5%-15%. Companies like MLS and Skyworth Commercial have raised prices to alleviate cost pressures.
Meanwhile, Micro-LED is steadily maturing. Companies like Unilumin and Leyard have achieved small-batch production, advancing its use in consumer products like AR devices and smartwatches.
Emerging Markets and Scenarios Release Incremental Growth
Overseas markets have become a key growth engine, with leading screen manufacturers seeing sales growth of 10%-20% in international markets, with Southeast Asia, Africa, and other emerging regions making significant contributions.
After breakthroughs in 2024, new scenarios such as LED integrated displays and cinema screens saw further expansion in Q1 of 2025, becoming structural growth drivers for the industry.
II. Company Performance: Leading Enterprises Take the Lead, Significant Profit Differentiation
Sanan Optoelectronics: High-end Products + Gold Revenue Drive Profitability
In Q1, Sanan Optoelectronics' non-GAAP net profit surged by 331.43% year-on-year, mainly driven by the revenue from waste materials due to the rise in gold prices and the increased proportion of high-end LED products. The company has further invested in the Micro-LED sector, with its 6-inch production line in Zhuhai now in operation, laying the foundation for long-term growth through technology reserves.
Wanrun Technology: Dual Drivers and Global Expansion
Wanrun Technology's annual report shows a 15.08% year-on-year revenue growth in 2024, with net profit increasing by 38.62%. The main drivers of this growth come from the dual-focus industrial development strategy. Specifically, the LED business, including light sources and related products, achieved a revenue of 433 million yuan, up 20.46% year-on-year.
LED lighting and related products generated 587 million yuan in revenue, marking a 35.20% increase. Additionally, the semiconductor memory business saw a remarkable 302.15% year-on-year growth, with revenue reaching 513 million yuan.
