On January 11, 2025, Focus Lighting announced that its wholly-owned subsidiary, Focus Lighting Technology (Suqian) Co., Ltd., has successfully launched its 2.4 million pieces per year red and yellow LED epitaxial wafers and chips production line. This milestone event marks Focus Lighting’s entry into the mass production stage of full-spectrum LED chips, further advancing the company’s diversified development in the LED chip industry.
Red and Yellow LED Epitaxial Wafers and Chips Production Line Fully Operational
The total investment in this project amounts to ¥1.05 billion (approximately $145 million), with a capacity to produce 2.4 million Mini/Micro pixel pitch LED display chips annually. The production line mainly targets rapidly growing application markets such as large-screen displays, automotive displays, and micro-pitch displays. Upon full production capacity, the project is expected to generate over ¥600 million (approximately $83 million) in annual sales, with an expected annual profit of more than ¥100 million (approximately $14 million). As a result, Focus Lighting successfully transforms from a single GaN-based blue and green chip supplier into a comprehensive full-spectrum LED chip supplier, covering the three major application fields of lighting, backlighting, and displays.
Product Expansion and Application Field Upgrades
The red and yellow LED chips produced in this project will be primarily used in indoor and outdoor displays, automotive brake lights, traffic indicator lights, and landscape decorations, diverging from traditional applications of blue and green LED chips. The launch of this production line will significantly enhance the company’s capability to support RGB module supply, further penetrating the display, automotive, and lighting sectors. Despite the higher technical difficulty of red and yellow chips, they offer high returns, and the project is expected to greatly enhance the company’s market competitiveness.
Mini/Micro LED Chip Production Expansion
In addition to the red and yellow LED chip project, Focus Lighting continues to advance the research, development, and production capacity expansion of Mini/Micro LED chips. In November 2024, the company officially launched a Mini/Micro LED chip production line with an annual capacity of 2.4 million LED chips, which are widely applied in indoor large-screen displays, plant lighting, new energy vehicles, and AR displays. Starting in June 2025, the company plans to further expand production capacity at its Suqian plant, with a goal of reaching 200,000 pieces per month initially, and later increasing to 400,000 pieces per month between 2025 and 2026 to meet the rapidly growing market demand.
Performance and Future Outlook
Thanks to the recovery in demand from commercial activities, cultural tourism, large performances, and sports events, Focus Lighting expects to achieve a net profit attributable to the parent company of ¥195 million to ¥215 million (approximately $27 million to $30 million) in 2024, reflecting year-on-year growth of 60.95% to 77.46%. The company has shown strong performance, particularly in high-efficiency lighting, automotive lighting, and backlighting. With the introduction of Mini/Micro LED and full-spectrum LED chips, Focus Lighting is poised for tremendous business growth potential, and the company is expected to expand its business both domestically and internationally, gradually securing a more significant market position.
Conclusion: Strategic Layout Accelerates Company Development
Through the successful launch of the red and yellow LED epitaxial wafer/chip production line, Focus Lighting has implemented a full-spectrum strategic layout in the LED chip field. This project not only enhances the company’s market share in the display sector but also lays the foundation for future expansion in high-growth fields like Mini/Micro LED and automotive displays. As production capacity continues to expand, Focus Lighting is set to further increase its performance, achieve long-term stable growth, and occupy an important position in the global LED chip market.
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