Market Survey China: Analysis of Market Area of Laser Industry in 2015-2016
From 2015 to 2016, there are great changes in laser industry in China as for example many acquisitions or crucial scientific and technical developments.
First of all, there are numerous laser enterprises accessing to the capital market, including U.W.LASER, JG Technology, LASERPWR, Jiatai Laser, Bodor Laser, Tianhong Laser and Miracle Laser, etc. Another change is the significantly accelerated industry merger and integration, with the main acquisition cases including: acquisition of JK Lasers by Trumpf Group, acquisition of YIFI LASER by Tianhong Laser, acquisition of Newport Corporation by MKS Instruments, merge of Coherent and Rofin Group, acquisition of DNE LASER by Bystronic, and acquisition of Strong Laser by YAWEI Holding. The series of acquisitions not only turn the original competitors to be the partners, but also integrate the enterprises used to work in the respective field, perfecting the industry chain, refining the market, which is a popular trend.
As the technology-intensive industry featured with high standard, the development of laser depends on two conditions: science & technology and application market, which is also same in the oversea market. Even though the national territorial area is vast, the development area of the laser industry is relatively concentrated, mainly in Pearl River Delta, Wuhan, Yangtze River Delta and Circum-Bohai-Sea, with the total proportion in these four area accounting for 90%, and the remaining small market is distributed in Chengdu, Chongqing, Xi'an, Hefei, Changchun and Fuzhou.
Outputs of laser industry
According to the preliminary statistics, the gross output of laser industry in China in 2015 has been up to RMB 45.67 billion. As to the enterprises with wide business scope and diversified business activities, only the laser activities are accounted; such as Han's Laser, HG Technology, which also carry out some non-laser business, in addition to laser core business. According to the survey data, the proportion of the laser industry in Guangdong Province is the largest, accounting for 31%, followed by Hubei (21%), and the total proportion of these two provinces has been more than 50%. In the last 5 years, the output value of laser in Guangdong Province has achieved the vigorous growth, with the gross output surpassing that of Hubei Province, and gradually expanding the gap. The pure output value of laser in Shenzhen in 2015 has been up to RMB 11 billion, far more than that of Wuhan. Even though the laser industry in Wuhan has obtained energetic support from the local government, but it is still confronted with the bottleneck due to away from the coastal laser application market. In contrast, Shenzhen government has made explicit measures to well support the development of the laser industry, including building the Laser Industry Parks for Han's Laser and Maxlaser in recent two years, which may further expand the output value of laser between Shenzhen and Wuhan in the following three years.
Tremendous potential for the laser industry
The laser industry in Zhejiang and Jiangsu is just a promising sector. Since Zhejiang and Jiangsu belong to the region with advanced manufacturing industry, there is still tremendous potential for the laser industry. According to the development trend in recent years, the laser industry in Jiangsu is in the speed-up development stage, and some enterprises have developed to be medium-scale enterprises, and even listed in National Equities Exchange and Quotations (NEEQ). It is expected to maintain the rapid development status in the future, with the market proportion further increased, finally forming the tripartite market layout among Southern China, Central China and Eastern China.
According to the tough statistics, the proportion of laser device and laser optical elements accounts for 20%, and the proportion of laser processing units and services outputs accounts for 80% among the current laser outputs being RMB 46 billion.
Source: Military and Civilian Integration Industrial Investment Alliance