Why Is Led Second-hand Screen So Hot?

The business of renovating or recycling second-hand components of second-hand LED screen is booming in the industry. The reason is the rise of raw materials and the "lack of IC".

Since last year, due to the shortage of wafers, the supply of driver IC has exceeded the demand, and the LED display application industry is facing a serious shortage of production capacity. People in the industry complain that IC prices have risen five times in less than a year! Even if you have money now, you may not be able to buy driver IC! What is worrying is that due to the shortage of wafers, some chip factories have not started enough, which further magnifies the contradiction between supply and demand in the driver IC chip market and intensifies the market panic.

The second-hand screen market explosion is in this context. In fact, recycling waste LED display business has a long history. Some people who are specialized in waste recycling recycle or renovate the old screen, or recycle some LED lights or drive ICs. In the past, few people paid attention to these old and refurbished display screens or recycled devices, which can only be applied in some low-end markets at very low prices. The recycled devices are sold by weight, which is completely different from the industry's "piece" pricing method, so we can see the status quo that recycled devices are not popular. However, this year, because the price of raw materials has gone up too much and the driver IC is too tight, some enterprises have turned their minds to the second-hand screen market that they usually despise.

The second-hand screen market is booming, which also brings new problems. Many of the recycled second-hand screen itself is the end of product life, or the quality is not up to standard and was eliminated. Now the old screen renovation into the market, I am afraid to cause endless quality worries. Most avoid black heart enterprises in the case of not telling customers the truth, make up for the poor, make up for the poor, seriously disrupted the good order of the market. Some people worry that this kind of behavior may destroy the reputation accumulated by the industry for many years!

At the moment of serious lack of core and goods, the recycling of second-hand screen is also a drop in the bucket to alleviate the contradiction between supply and demand in the market. At present, the supply of wafers exceeds the demand, and it is difficult for IC factories to make bricks without straw. There are signs that the shortage of wafers can not be alleviated in a short time, and the situation of short supply will continue this year and even next year. This has also exacerbated the industry panic, triggered the phenomenon of enterprises hoarding and reluctant to sell, and further increased the contradiction between supply and demand.

Methods

Industry insiders said that in order to truly solve the contradiction between supply and demand of driving IC, the whole industry still needs to work together to resolve the crisis.

First of all, we should crack down on hoarding and illegal speculation, and rationally allocate limited resources in the industry. At present, drive IC, as the most scarce resource in the industry, affects the hearts of the industry. It is necessary to avoid the behavior of powerful enterprises to increase hoarding, and also to prevent some enterprises with supply from illegal speculation and false price raising. It is understood that IC manufacturers such as Shanghai Debei electronics have already allocated IC resources by means of order dispatching, so as to avoid the situation that IC only gathers with a few manufacturers, and strive to ensure IC supply for enterprises with projects in the industry.

Secondly, enterprises in the industry should also take advantage of the crisis to refine the ability of turning "danger" into "opportunity". Although IC is in short supply, it is not totally out of supply. As raw materials soared, IC prices also soared. Although the display enterprises responded by raising prices, the price rise alone could not completely resolve the crisis. The crisis of rising prices of raw materials will cause a fatal blow to the products and enterprises with low profit margins in the industry, and may trigger a reshuffle effect in the whole industry. It is imperative to eliminate backward production capacity and cultivate innovative growth points. At present, the industry is at a critical moment of the transformation of new and old kinetic energy. If we do not want to make progress, we will be eliminated by the emerging display industry revolution, even without the crisis of rising prices of raw materials.

Finally, we should hold together to keep warm and do something. At present, government departments have interviewed some enterprises on the issue of commodity price rise. Although the effect will not appear immediately, it is still of positive significance to stabilize the market. After the baptism of the epidemic, LED display application enterprises should cherish the current difficult situation. Although the impact of shortage and price increase is great, it is not that there is no way to deal with it. As long as the whole industry is united, we can still tide over the difficulties together. If we only focus on making small profits, cutting corners, shoddy goods, or speculating, driving up prices and making illegal profits, it may not be harmful in the short term, but what about the long term? No pattern of enterprises must be small and do not long! Although the second-hand screen market is hot, we should have a calm heart, insist on doing something and not doing something!