The global LED industry is undergoing a significant transformation, marked by executive reshuffling at major corporations and strategic overseas acquisitions by Chinese companies, signaling a shift in the market landscape.

Executive Departures Signal Industry Transformation

Recent months have witnessed notable leadership changes across prominent LED companies, suggesting a period of strategic realignment. On October 10, 2025, BOE Technology Group, a leading Chinese display panel manufacturer, announced the resignation of its vice chairman, Gao Wenbao, for personal reasons after 22 years with the company.

This was followed by the resignation of Foshan Lighting’s chairman, Wan Shan, on September 28, 2025, who had served in the position for less than two years. Foshan Lighting has experienced five management changes within a year, including positions of chairman, directors, and CFO, amid declining financial performance.

Similarly, in early September, both Xiamen Changelight and Sichuan Huati Lighting announced executive departures. The trend continued with the late September departure of Zhang Peng, global vice president and CEO of China region at Ledvance, who cited health reasons after nearly five years in his position.

These management changes occur against a backdrop of industry-wide challenges, including intense price competition and shifting market dynamics that have pressured profitability across the sector.

Strategic Overseas Acquisitions Strengthen China’s Position

Chinese LED firms have actively pursued strategic overseas acquisitions to accelerate their global expansion and technological advancement. A notable case is San’an Optoelectronics’ recent acquisition of Lumileds Holding B.V., a global LED manufacturer, for $239 million in partnership with Malaysian firm Inari Amertron Berhad.

Through this acquisition, San’an gains 74.5% ownership of Lumileds, obtaining established production facilities in Singapore and Malaysia, and access to Lumileds’ extensive international client network, particularly in the automotive lighting sector. This move significantly enhances San’an’s presence in premium market segments and strengthens its global supply chain capabilities.

China’s Path to Industry Leadership

China’s growing influence in the global LED industry stems from several strategic advantages. The country has developed comprehensive industry ecosystems spanning materials, technology, talent, and manufacturing processes, creating formidable barriers for competitors seeking to replicate its success.

Chinese manufacturers have also benefited from proactive government support, including policies addressing destructive low-price competition through revised anti-unfair competition laws, helping transition the industry from price wars to value-based competition.

Furthermore, Chinese companies have demonstrated remarkable commitment to research and development, even during challenging market conditions. For instance, NationStar invested 93.09 million yuan in R&D in 2024 despite financial pressures.

The combination of strategic acquisitions, comprehensive supply chains, supportive government policies, and sustained innovation has positioned Chinese firms to increasingly dominate the global LED industry, reshaping competitive dynamics and accelerating the industry’s transition from cost-based competition to value creation.