The LED display industry opened 2026 with a sweeping industry-wide “price surge”. Leading companies including Leyard, Unilumin, and Lampspeed took the lead in issuing price adjustment notices, raising product prices by a full 3%–15%, marking the official start of a new round of industry price adjustments.
The Price Surge: Transmission and Differentiation Along the Industrial Chain
This round of price increases is not an isolated event, but a continuation and deepening of industrial chain adjustments that have been underway since 2025. A clear transmission path has emerged: price hikes first began in the upstream packaging sector, gradually spread to the midstream and downstream, and finally fully manifested in terminal applications.
In August 2025, packaging manufacturers such as MLS, Jingtai Optoelectronics, and Dongshan Precision raised prices by 5%–10%, launching the current round of increases. In the following December, nearly 30 enterprises followed suit, including MLS, Nationstar Optoelectronics, Gaoke Huaxing, Star Semiconductor, Ruisheng Optoelectronics, and Tiandian Optoelectronics. Price increases expanded from core components such as LED chips and PCBs to terminal products including advertising displays.
Entering 2026, a large number of enterprises issued price adjustment letters, with increases ranging from 5% to 20%, fueling the price surge across all links of the industrial chain. These included Leyard, Silan Microelectronics, Qiangli Jucai, Unilumin, BOE Crystal Core, Skyworth Commercial, Hisense Commercial, Zhongqi Optoelectronics, New Vision, Haijia Group, Mingwei Electronics, Fullhan Microelectronics, San’an Optoelectronics, Infineon, Chuanglian Power Supply, and Kaisida.
“This round of price adjustments is a passive response by enterprises to mounting cost pressures,” industry analysts noted. Soaring precious metal prices have been the main driver. Data shows that gold prices have risen more than 70% since early 2025, silver prices surged 170%, and copper prices rose 36% to hit record highs. These key raw materials account for a significant share of costs in the LED industry chain: gold makes up roughly 70% of packaging costs, copper prices directly impact PCB and wiring expenses, and core components such as chips and LEDs account for 30%–40% of total display costs.
Notably, pricing strategies differ noticeably among enterprises. Top players such as Leyard and Lampspeed implemented maximum increases of 15%, mainly targeting high‑threshold Mini/Micro LED and COB products. Small and medium‑sized enterprises adopted milder hikes, mostly 5%–8%, focusing on conventional SMD product lines. This divergence reflects structural industry characteristics: high‑end products, supported by technical barriers and strong premium capacity, can better pass on cost pressures; low‑end and mid‑range products face overcapacity and homogeneous competition, leaving limited room for price adjustment.
Deep Transformation: From Price Competition to Value Creation
On the surface, price increases are a direct result of cost pass‑through; at a deeper level, they signal a fundamental shift in the LED industry’s competitive logic. For years, the industry has been trapped in a vicious cycle: low‑price competition → declining profits → insufficient R&D → product homogenization. Average product prices have fallen by 30%–40% cumulatively, severely restricting healthy development.
The newly revised Anti‑Unfair Competition Law of 2025 provided a legal basis for industry governance, with national authorities repeatedly emphasizing the need to “curb disorderly low‑price competition”. Against this backdrop, the current price surge is not only a release of cost pressure but also a proactive choice for the industry to abandon cutthroat internal competition and pursue high‑quality development. Leading enterprises have publicly stated they “will not participate in rock‑bottom price competition”, hoping that price adjustments will eliminate firms surviving only on low prices and guide industry resources toward technological innovation, quality improvement, and service optimization.
Industry observers commented: “Behind the price hikes is an upgrade in competitive strategy. Enterprises are shifting from pure price competition to value competition centered on technology, quality, and service. This transition will drive the entire industry toward healthier and more sustainable development.”
Differentiated Breakthroughs by Leading Enterprises
Faced with similar cost pressures, A-share listed LED leaders have demonstrated distinctive coping strategies and resilient performance.
Lyard achieved a V‑shaped recovery from losses to profitability, with estimated net profit attributable to parent company shareholders of ¥300–380 million in 2025. This turnaround stemmed from its strategic shift from “scale expansion” to “value creation”, building diversified competitive advantages by optimizing project quality, deepening global layout, advancing Micro LED commercialization, and implementing digital management reforms.
Unilumin displayed systematic risk management capabilities. Leveraging its industry-leading position, the company boasts strong bargaining power both upstream and downstream, smoothing cost fluctuations through proactive inventory management. It continues to promote high value‑added businesses such as Mini/Micro LED and “LED + AI”, enhancing risk resilience through product structure optimization. Moving forward, Unilumin will further deepen its “LED + AI” integration strategy, providing customized solutions for B‑end markets including government, enterprise, and education, while steadily exploring emerging consumer scenarios in the C‑end market.
Absen expects its 2025 net profit to double. In 2026, the company will focus on three directions: scaling up applications of COB and MIP technologies and accelerating the rollout of AI + display scenarios; expanding into emerging sectors such as LED cinema screens and AR displays; and optimizing its global market layout while tapping potential domestic markets including educational informatization.
Leyman Optoelectronics pursued breakthroughs through product innovation. Its “HD King · Cool Screen Master” series of ultra‑energy‑saving products received positive market feedback, and its new “Home Giant Wall” based on self‑developed PSE technology is expected to become a new growth driver. AOTO Electronics adheres to the integrated “AI + Visual Communication” strategy, deeply cultivating advantageous fields such as film and television and finance, while expanding new businesses including virtual live streaming and new retail to foster a second growth curve.
Conclusion
The LED display industry stands at a crossroads of development. The price surge acts as a mirror, reflecting both pressures from rising raw material costs and the inevitable trend of the industry shifting from scale expansion to quality and efficiency.
With advancing technology and expanding application scenarios, advanced technologies such as Mini/Micro LED and COB will gradually become mainstream. These technologies not only deliver superior visual performance but also offer stronger cost control potential. Meanwhile, integration with new technologies such as AI and the Internet of Things will open new growth avenues for LED displays in smart cities, virtual production, automotive displays, and other fields.
Industry experts believe future competition will emphasize comprehensive strength. “Enterprises with core technologies, sophisticated supply chain management, and the ability to provide total solutions will gain an edge in the new round of industry consolidation. Companies relying solely on price competition will face increasingly narrow survival space.”
Although this price surge has brought short‑term pain to the industry, it has laid the groundwork for long‑term healthy development. As enterprises channel more resources into technological innovation and value creation, and market competition shifts from price‑based to multi‑dimensional value‑based rivalry, the LED display industry can truly achieve the leap from “Made in China” to “Created in China” and gain greater voice and competitive advantages in the global market.
Source: Jiwei Network
