It has been just over six months since lighting manufacturers worldwide learned that the rare earth phosphors needed to manufacture fluorescent lamps are becoming an increasingly rare resource. With China controlling over 95% of rare earth phosphors, they dictate the availability of the resource.
The initial reaction was one of concern for some, yet I was surprised by the lack of panic we were prepared for. In communication with sales and sales management from the manufacturer level, it seems as though, while concerned with customer reservations about increased prices, they were confident that the problems they would face would be industry wide, and adaptations would be similar across the board.
Astoundingly, even less concern was voiced from the lighting contractor and retrofit world. They didn't seem to be concerned at all, citing that even with the increases they can still demonstrate a quick ROI to their customer base. These are the initial reactions and observations from June of 2011, but has this changed 6-7 months later?
Personally, I am still not seeing the state of panic originally forecasted from any of the channels within the industry. I believe that the lack of concern is mainly due the industry's ability to adapt to market by recycling rare earth phosphors and the increased momentum in developing LED lighting. As today's industry experts, I ask for your thoughts. Do you believe that China's control of rare earth phosphors is truly detrimental to the lighting industry, or just the push we needed to truly develop and implement LED into the new way of the lighting world?
Jim Schafer
National Account Consultant, Lighting and Retrofit
Respond with your thoughts
As of January 3rd, 