Recently, it’s reportedly Yangzhou of Jiangsu Province would end procurement subsidization for MOCVD equipment in July of 2011. Epitaxial wafer plants registered after the date would no longer receive the subsidy of CNY10 million (US$1.5 million) per MOCVD machine.
Yangzhou city officials indicated that Yangzhou currently had 20,000 LED street lamps and would rise to 30,000 units in April of 2011. The city government was looking to adjust the 33% subsidy for LED street lamp installation cost.
With Yangzhou cutting the equipment incentive, it was rumored that other city could soon follow suit. Jiangmen of Guangdong Province is reportedly the next city to end government support for LED production equipment.
Industry sources estimated, the policy change could cause a rush of procurement ahead of the deadline in the first half of 2011.
