The foreign markets in North America have always been the development focus of China's LED display industry. According to a report from the US Department of Energy, the overall scale of the US LED lighting market in 2017 is expected to reach more than 20 billion US dollars. The US market is a huge overseas market for Chinese companies, compared to the entire European market. Among the countries importing LED products in the United States, China accounts for nearly 70%, with an amount of approximately US$500 million. Two-thirds of the American people have purchased household LED display products.

Although the North American market is very attractive now, many Chinese LED display manufacturers and enterprises are discouraged because of its high access conditions and technical thresholds. According to the general manager of Origen, the United States, as the world's largest economic development country, has a large smart lighting capacity, but the development of the North American market is not easy. The U.S. market is regulated by five major institutions, and products must meet the four major certification requirements. In this regard, many people in the industry have stated that the United States started much earlier than China in terms of certification, has improved a lot, and updated it quickly, and will revise its standards in about two or three years. It is understood that from January 1, 2017, North America will implement the New Energy Star standard. The revised ENERGY STAR standard has stricter requirements for products in terms of functional coefficient and safety coefficient. It can be seen that the development of the North American market is very difficult. This time, Trump won the US presidential election, which added a few more uncertain factors to the North American market development of China's LED display industry.

First of all, U.S. President Trump believes that China’s intervention has led to the closure of more than thousands of factories in the United States and the unemployment of tens of millions of workers. Therefore, he proposed to declare China a currency manipulator and impose a levy of 45 on all Chinese imports. % Tax. Once this proposal is implemented, it will undoubtedly be a heavy blow to China's LED display industry or other industries.

The 45% tax collection can also be said to be a major protection measure for the domestic market. Once a 45% tax on products exported by Chinese LED companies to the United States is charged, it will cause the company's product profit margin to be extremely compressed. It is not an exaggeration to say that this will directly cause Chinese products to lose their competitive advantage in price. For the North American market with extremely strict quality requirements, under the premise of increasing quality standards, LED display products exported from China will no longer meet market demand under low prices. This has directly led to Chinese LED products being used by North American local companies. Products are suppressed and even eliminated with foreign markets. In addition, Trump strongly opposes free trade and claims that it will lead to a setback of the US economy. In other words, after it takes office, it is very likely that a series of trade protection measures will be formulated.

As a high-tech industry, semiconductors have a wide range of applications, including many technical fields related to national security. The United States is a country that attaches great importance to national security issues. The National Security Council of the United States previously used the excuse of "endangering national security" to prevent Jinshajiang from acquiring Lumleds of Philips in the United States. Therefore, the Trump regime is very likely to set up related trade barriers to the semiconductor industry, which will inevitably weaken my country's export status to the United States.

In addition, Trump will also allow companies to bring back funds stranded overseas to the United States, paying a lump-sum tax rate of 10%. In other words, under the Trump policy, the processing industry of American companies may be transferred to the United States. China is the world's largest manufacturing country. As far as the LED industry is concerned, American Cree, GE Lighting and other companies have production bases in China. Once the US LED companies transfer production and processing industries to the United States, it will directly lead to an increase in China's unemployment rate, and will further intensify the competition between Chinese LED companies and American LED companies in the North American market. As a result, many domestic LED display manufacturers and enterprises are further unable to survive.