“Prices of LED light bulbs continued to fall in the U.S., the U.K. and Japan this September,” said LEDinside analyst Allen Yu. “Japan again saw a more significant decline. Meanwhile, prices were generally stable in China, Germany, South Korea and Taiwan.”

Prices of LED packages in China remained stable this September. On the whole, demand in the market has become weaker, and LED chip suppliers have taken on additional capacity. However, chip and package suppliers’ inventories were relatively low during the first half of 2017.

While the slowing of demand have led to a build-up of inventories, package prices have not been significantly affected. If the demand still cannot keep pace with the supply increases of chips and packages in the fourth quarter, then chip and package suppliers in China will lower their prices to control their inventory levels.