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In 2012, the growth rate of China's LED packaging equipment market fell to 10%, but 2013 will become a turning point in the growth of the equipment market. GLII expects that the growth rate of China's LED packaging equipment market in 2013 will be higher than that in 2012, reaching 14%, and the market size will reach 9.8 billion yuan, the highest annual growth rate in the past three years. Among them, the replacement market will become the main driving force for the overall market growth.
Due to the overheated investment in the LED industry in recent years, many enterprises have relatively excess capacity, and the LED packaging equipment market will be affected in the next few years. However, the High-Tech LED Industry Research Institute (GLII) expects that the LED packaging equipment market will grow at a rate of more than 10% in the next few years due to the rapid growth in equipment replacement market demand. 
This article will analyze the reasons for the growth of China's LED packaging equipment replacement market in the next few years from the three aspects of new demand, technology upgrade and cost in the packaging equipment market.
New equipment demand in 2013 still accounts for more than 50% of total LED packaging equipment demand
GLII expects that China's LED packaging device market will reach 46.1 billion in 2013, a year-on-year increase of 16%. GLII expects the price of LED packaged devices to decline in 2013 to be much smaller than in 2012. In terms of market capacity demand, China's LED packaging capacity utilization rate is between 60% and 70% in 2012. Even if China does not increase LED packaging equipment in 2013, the production capacity will still be able to meet this year's capacity demand. However, due to the entry of many new companies and the expansion of existing enterprises, GLII expects that such equipment still accounts for more than 50% of the total equipment demand. However, in the next three years, equipment update demand will gradually occupy the main position.
2013 will become the first year of China's LED packaging equipment replacement
The stability of LED packaging equipment directly affects the rapid improvement of LED packaging process technology and the quality of LED packaging devices. With the rapid improvement of LED packaging device technology, it also requires timely upgrade or replacement of equipment. 
According to GLII data, in 2012, China's LED packaging equipment market was 8.6 billion, of which replacement equipment accounted for only 30%. By 2013, this proportion will be close to 50%. The rapid growth of replacement equipment invisibly drives the LED packaging equipment market quickly. demand.
Packaging equipment has reached the replacement cycle before 2009
Before 2009, China's LED packaging equipment technology needs to be improved, especially in the field of high precision. Therefore, high-precision equipment such as front-end solid crystal machine, wire bonding machine and back-end sorting tape machine are basically imported, replacing cycle. In about 4 years. Most of the other auxiliary equipments use domestically produced equipment (such as vacuuming machines, ovens, etc.). The auxiliary equipment does not affect the working efficiency to a large extent, so the replacement period is extended to about 5 years.
In 2013, the replacement equipment will start from the crystallizer, wire bonding machine and sorting tape machine, and the die bonding machine and wire bonding machine will become the main replacement products.
From the GLII survey of domestic equipment enterprises, it has been found that LED packaging equipment has been gradually replaced by multi-functional equipment and semi-automatically upgraded into automation, which has become an inevitable trend of industry development.
Multi-function equipment accelerates the replacement of old equipment. Before 2011, all the LAMP series, including the measurement, the bad shear angle and the second cut, required 4 equipments, or the glue, the mold release and the spray release mold in the glue filling. Glue filling is also completed by 4 sets of equipment, which not only has complicated processes, low production efficiency and unstable quality, but also greatly restricts the production efficiency and cost control of LAMP series enterprises.
In 2012, multi-function equipment (cutting foot testing machine, glue filling machine, etc.) appeared, and all four processes were integrated and automatically produced. The production efficiency was improved and the product quality was further improved. In 2012, MFPs were put into the market one after another, replacing the phenomenon of multiple devices, indirectly reducing equipment investment, and increasing production efficiency . 
MSQ Current Transformer
CA Current Transformer
Kilowatt-hour Meter
Fuse and Base
Fuse Links
Voltage Stabilizer
Machine Too Control Transformer
[Source: Gaogong LED's "LED Research Review" magazine February issue GLII 岑 self-power] By the end of 2012, China already has more than 1,700 LED packages, and has become the most important production base of LED packaging devices in the world. According to statistics from the High Industry Research Institute (GLII), in 2012, China's LED output value reached 39.7 billion yuan, a year-on-year increase of 24%. The matching LED sealing market reached 8.6 billion yuan, a year-on-year increase of 7.5%, which was less than expected.