AlGaInP LEDs in Short Supply After Explosion at Sanan Facility

Digitimes reports that an explosion occurred at Sanan Optoelectronics AlGaInP LED epitaxial wafer and chip plant in Tianjin, China in mid-September.

Industry sources revealed to the publication that the facility will take one to two months to become fully operational after the incident, which could affect the supply of the chips, commonly used in the manufacture of fine-pitch displays.

The sources added that AlGaInP LEDs account for 15% of Sanan’s consolidated revenues and that other AlGaInP LED chip-makers in the area such as Epistar, HC Semitek and Xiamen Changelight could see a temporary boost in their orders while Sanan is out of action.