With the increase of new car sales in mainland China and electric vehicle development policy, drive the mainland automotive LED lighting market growth, LED grain factory active layout led vehicle market, the first 3 major led packaging factory in the mainland of Hong Li Chi-Hui announced the signing of the strategic cooperation Agreement with the crystal, the next 4 years will be the purchase of the Crystal Electric vehicle-level LED chip, The total amount will be about 500 million yuan in the renminbi, also for the Crystal Electric extension of the mainland car market to the sea mouth. Crystal Electric said, 2017 led car lighting about 20% growth, the future will be expected to cooperate with new customers to increase and shipments, optimistic 2018 will be expected to continue to grow momentum. In May 2017, the company signed a ' share purchase letter of intent ' with Danyang New Dawn Headlight Factory, the proposed investment of about 230 million yuan, will be the acquisition of Danyang Yi-Good lamp factory 51% stake in order to accelerate the implementation of the LED car lighting in the mainland of the entire supply system layout, and actively and effectively cut into the whole car supply market. In order to effectively master the upstream lighting grain supply, Hong Li decided to join hands in the strategic alliance of Crystal Electric, and give full play to their respective advantages, resource sharing, the formation of strategic partners. Hongli said that considering the development and certification cycle of the car regulation-level LED products for a longer period of time, the two sides negotiate strategic cooperation period of 4 years, and the so-called vehicle regulation level, is to meet the automotive application of regional laws and regulations required by the automotive components of all related products. After the signing of the strategic agreement, the future will be provided by the Smart property protection of the vehicle-level LED grain, and jointly promote the development and certification of automotive regulation-level LED products. The two sides agreed, from November 2017 ~2021 year October will be to the purchase of Crystal Electric vehicle level LED chip, the total amount of about 500 million yuan, but still may change as the market situation, the amount of change can be about positive or negative 15% intervals. According to the announcement, the two sides cooperate the way includes 4 items: first, establish the regular monthly communication mechanism between the senior management staff in order to promote the smooth development of strategic cooperation; The second is to jointly develop new products, or crystal electricity according to the needs of the company research and development, supporting the provision of new products; Third, Hongli will actively adopt new products, such as the use of crystal electric products, or new processing products, should give priority to the crystal electricity to provide new product information and test reports, and with the crystal electricity to carry out its product testing, improvement; Four is the company quarterly to the production of product demand forecasts, and according to the monthly production requirements of the product plan, including product categories, specifications, models, quantities, etc.; And the crystal electricity should according to the company's demand plan, priority scheduling, to ensure the timely supply of products. The Hong Wise Hui said the signing of the strategic Cooperation Agreement, will be able to solve a large number of production-level LED products LED chip intelligent property rights and other issues, but also conducive to a large number of vehicle-level LED chip stable supply, and reduce costs, and faster access to the vehicle level LED chip technology and service support; And Hon Lee will also use the power of the LED automotive lighting applications in the field of resources, to quickly achieve in the LED Automotive lighting field layout, expected through the implementation of the agreement, will have a positive impact on the future revenue and profits. For the Strategic Cooperation Agreement issued by Hon-Li, the Crystal Electric low-key not comment, but also pointed out that the 2017 led car lighting application growth strong, although the overall revenue proportion around $number, but the annual increase of about 20%, due to the mainland market in recent years actively imported LED vehicle lighting, Electric vehicle policy is also conducive to the popularization of LED headlights, the original car customers are expected to goods will continue to stabilize, and new product certification can also be expected to contribute to the momentum of revenue, the future led car lighting long-term growth trend.
