Breaking: Obama unveils 21st Century New DealBy Mike Allen & Jonathan Martin
Politico
12/6/08
President-elect Barack Obama added sweep and meat to his economic agenda on Saturday, pledging the largest new investment in roads and bridges since President Dwight D. Eisenhower built the Interstate system in the late 1950s, and tying his key initiatives – education, energy, health care –back to jobs in a package that has the makings of a smaller and modern version of FDR's New Deal marriage of job creation with infrastructure upgrades.
The president-elect also said for the first time that he will “launch the most sweeping effort to modernize and upgrade school buildings that this country has ever seen.”
“We will repair broken schools, make them energy-efficient, and put new computers in our classrooms,” he said in the address.
The president-elect is bringing new elements of his domestic agenda into his economic recovery plan, committing to a path toward giving every American access to an electronic medical record as part of an “economic recovery plan ... that won’t just save jobs, it will save lives.”
Obama had talked in the campaign about lowering health care costs by investing in electronic information technology systems, but not in the context of the economy.
Now, his key initiatives – education, energy, health care – are all being tied back to jobs.
[???]
“When Congress reconvenes in January, I look forward to working with them to pass a plan immediately,” Obama says in the address. “We need to act with the urgency this moment demands to save or create at least two and a half million jobs so that the nearly two million Americans who’ve lost them know that they have a future. And that’s exactly what I intend to do as president of the United States.”
Obama had committed just before Thanksgiving to saving or creating 2.5 million jobs in the next two years, more than twice his campaign promise of 1 million new jobs over an unspecified period. But he didn’t say how he would do it. On Saturday, he began to spell it out, offering "five key parts" of his economic plan:
[SHALL WE REMIND PRESIDENT-ELECT OBAMA AND THE AMERICAN PUBLIC OF HIS PRIOR CAMPAIGN PLEDGE TO CREATE 5 MILLION NEW ‘GREEN COLLAR JOBS’, WHICH HE HAS SINCE STEPPED BACK FROM AND PERHAPS RECONSIDERED ??].
[See: How QUIXOTIC - US 'Green Collar Jobs' Now Include Servicing 'Outsourced' Manufactured Windmill IMports!!, ITSSD Journal on Energy Security, at: http://itssdenergysecurity.blogspot.com/2008/11/how-quixotic-us-green-collar-jobs-now.html; How Can Obama Deliver Millions of U.S. 'GREEN COLLAR' Renewable Energy (Wind) Manufacturing Jobs If They Are Mostly Owned/Outsourced By/To Europe?, ITSSD Journal on Energy Security, at: http://itssdenergysecurity.blogspot.com/2008/09/how-can-obama-deliver-millions-of-us.html ; How Can Obama Deliver Millions of 'GREEN COLLAR' Jobs If Most Windmill Manufacturing Jobs Will be Outsourced to China and India?, ITSSD Journal on Energy Security, at: http://itssdenergysecurity.blogspot.com/2008/09/how-can-obama-deliver-millions-of-green.html ; How Can Obama Deliver Millions of Low Paying and Low-Skilled Green Collar Jobs to Americans If They Can Easily Be Given to Illegal Immigrants?, ITSSD Journal on Energy Security, at: http://itssdenergysecurity.blogspot.com/2008/09/how-can-obama-deliver-millions-of-low.html ].
—ENERGY: “[W]e will launch a massive effort to make public buildings more energy-efficient. Our government now pays the highest energy bill in the world. We need to change that. We need to upgrade our federal buildings by replacing old heating systems and installing efficient light bulbs.[???] That won’t just save you, the American taxpayer, billions of dollars each year. It will put people back to work”… [???]
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http://obamajokeshq.blogspot.com/2008/09/obama-lightbulb-jokes.html
http://www.eyrie.org/~thad/strange/lightbulbs.htmlhttp://www.soundpolitics.com/archives/011141.html
http://answers.yahoo.com/question/index?qid=1006050131664
[THE JOKE OF IT:]
How Many ______ Does it Take to Change or Screw in a Lightbulb??
1) Q: How many senior Presidential Aides does it take to change a light bulb?
A: None. They're supposed to keep the President in the dark.
A: One: to award a billion dollar sole-source contract with Halliburton to replace it.
A: Thirty-eight: One to say that no one could have foreseen the bulb's burning out, one to spin stories for newspapers that the President's bulb-changing program is working well, and thirty-five to go out on talk shows to accuse the Democrats of being weak on light, and one to deny rumors that it's still dark in there.
A: Sixty: thirty to bribe staffers to write letters telling everyone how wonderful it is to sit in the dark, and thirty more to bribe newspaper editors to publish those letters.
A: The Administration will defend its policy of warrant-less surveillance of all Americans suspected of supporting foreign terrorist bulbs entering this country.
2) Q: How many presidential campaign staff does it need to change a light bulb?
A: 220! One to write a speech about how good it will be when the bulb is actually changed, one to write a speech about why the other candidates can't even spell "lightbulbe", eighteen to find out what the other candidates did when the lightbulb failed, and another two hundred to find out what the other candidate's families think about lightbulbs, bulbs, pear-shaped objects, light in general, any form of energy.
3) Q: How many US Presidents does it take to screw in a light bulb?
A: None, the constitution says that only Congress can screw in light bulbs, so only Congress is responsible for the dark, which is why we need a Constitutional amendment.
A: Only one. If he can handle 250000000 people a day I think he can handle screwing one extra lightbulb.
4) Q: How many Obama supporters does it take to change a lightbulb?
A: "[Like Obama,] That's not funny!".
A: None. President Obama will turn all the burned-out lightbulbs back on after he heals the sick and lowers the oceans.
A: At least 1000. One to turn the bulb and 999 MSM reporters to write how brilliant he was to come up with the idea.
A: None. Under the Obama administration, we will move on to a more progressive source of light; candles.
A: None. Obama supporters proclaim that both the nation and the light bulb are ready for change, but none of them have the experience necessary to change anything.
A: None. If the light bulb needs replacing, then the room must currently be black from the burned out bulb. Just what is wrong with a black room? Are you a racist?
A: It takes exactly TWO Obama supporters to change a light bulb: one to mix the Apple-tinis and the other to call an electrician.
A: One, if it's a "typical" white-bulb; Three--one changes bulb, 2 cling each to gun & religion; One, if you let me finish my waffle; One--if this is a rapid pull-out of deployed bulbs; Ahhh-i'll have Jesse do it; One preacher--but G-d---that bulb & America.
A: Obama was against installing the lightbulb there in the first place. But if the lightbulb is going to be replaced, we need to define a timeline to have it replaced, otherwise it will never happen. We need to be as careful taking the lightbulb out as we were careless in installing it.
A: One--and another 10,000 in taxes for universal bulb care.
A: First, we need to form a committee to explore if the light bulb actually needs to be changed. Just because the bulb isn't as bright as the other bulbs isn't necessarily the bulb's fault and besides, who are we to make judgements regarding if a light bulb should be light or dark....making judgements makes you a racist!
Then we form a task force to explore how much federal money should be given to various state agencies with adaquate federal oversight to ensure that all light bulbs that want to be changed should be changed, but only after ascertaining if the light bulb actually wants to be changed. This will be accomplished through public input from various groups supported by taxpayer dollars.
After giving the money to the states to ensure all light bulbs have had adaquate training in how to survive if you want to remain dark, the states will grant the cities the money to form a governmental agency in charge of changing light bulbs. The way to handle that would be to form an oversight committee to ensure that some backwoods town just doesn't go around changing any old light bulb that they deem to be dark! The state will form legal monopolies to make sure that the bulbs are changed with the utmost safety in mind. This will not be paid for by public funds, but will be paid for by imposing a 50% tax hike on all light bulbs. That way, only the manufacturer pays to dispose of the bulb, not the public.
5) Q: How many Barack Obamas does it take to change a light bulb?
A: None. Barack simply hopes, and the light bulb changes itself.
A: None. He just glows with enthusiasm and lights up the room.
A: None. He just gushes about hope and the mainstream media stumble all over themselves to change it for him.
6) Q: How many Bush Administration officials does it take to screw in a light bulb?
A: None. There is nothing wrong with the light bulb; it's condition is improving every day. Any reports of it's lack of incandescence are totally unfounded, and the result of delusional "spin" assaults from the fanatic, elitist, liberal media. That light bulb has served honorably, and anything you say undermines the lighting effect and dims it's ego.
Why do you hate freedom?
A: None. There is nothing wrong with the light bulb; it's condition is improving every day. Any reports of it's lack of incandescence are totally unfounded, and the result of delusional "spin" assaults from the fanatic, elitist, liberal media. That light bulb has served honorably, and anything you say undermines the lighting effect and dims it's ego.
Why do you hate freedom?
7) Q: How many politicians does it take to change a lightbulb?
A: Two. One to change it, and another one to change it back again.
A: Four, one to change it and the other three to deny it.
8) Q: How many MP's does it take to change a lightbulb?
A: Twenty-one. One to change it and twenty to form a fact-finding committee to learn more about how it's done.
9) Q: How many Conservative economists does it take to change a lightbulb ?
A: None. The invisible hand does it.
A: None. "There is no need to change the lightbulb. All the conditions for illumination are in place. Recent surveys show growing confidence in the lightbulb lighting up again."
A: None, because, look! It's getting brighter! It's definitely getting brighter !!!
A: None. The invisible hand does it.
A: None. "There is no need to change the lightbulb. All the conditions for illumination are in place. Recent surveys show growing confidence in the lightbulb lighting up again."
A: None, because, look! It's getting brighter! It's definitely getting brighter !!!
10) Q: How many Liberal Democrats does it take to change a lightbulb?
A: None. "Well it's not really a question of should we change it or should we not change the lightbulb, but more a question of...(blah blah waffle)"
11) Q: How many liberals does it take to screw in a light bulb?
A: One liberal and twenty eight delegates representing all the social, economic, and ethnic communities.
A: Two-one to do it and the other to keep the first one's knee from jerking.
A: None: They can't remove the old ones since they are already part of the environment.
12) Q: How many bureaucrats does it take to screw in a light bulb?
A: Two. One to assure everyone that everything possible is being done while the other screws the bulb into the water faucet.
A: Five - one to change the light bulb and the other four to fill out the Environmental Impact Statement.
A: One to spot the burned-out bulb, his supervisor to authorize a requisition, a requisition typist, twelve clerks to file the requisition copies, a mail clerk to deliver the requisition to the purchasing department, a purchasing agent to order the bulb, a clerk to forward the purchasing order, a clerk to mail-order a receiving clerk to receive the bulb....
A: Seven-- one to supervise, one to arrange for the electricity to be shut off, one to make sure that safety and quality standards are maintained, one to monitor compliance with local, state, and federal regulations, one to manage personnel relations, one to fill out the paperwork and one to screw the light bulb into the water faucet.
A: Two - one to screw it in and one to screw it up.
A: Just one. But she gets promoted three times before she finally finishes screwing it up.
A: None, we contract out for things like that.
13) Q: How many safety inspectors does it take to change a lightbulb?A: Four. One to change it and three to hold the ladder.
14) Q: How many Quality managers does it take to change a lightbulb ?
A: We've formed a quality circle to study the problem of why lightbulbs burn out and to determine the best thing we as managers can do to enable lightbulbs to work smarter, not harder.15) Q: How many admin assistants does it take to change a lightbulb ?
A: None. I can't do anything unless you complete a lightbulb design change request form.
16) Q: How many civil servants does it take to change the light bulb?
A: 45. One to change the bulb, and 44 to do the paperwork.
17) Q: How many Federal employees does it take to screw in a light bulb?
A: Sorry, that item has been cut from the budget!
18) Q. How many Mexicans does it take to change a light bulb?
A. Just one, but he brings about fifteen of his relatives anyway.
19) Q. How many Socialist Workers Party members does it take to change lightbulb?
A. Four. One to change the bulb, one to write about it for "the paper", one to sell you "the paper" and another to follow you home and ask why you weren't at the bulb changing, if you plan to make the next one and if you were still as committed.20) Q: How many socialists does it take to change a light bulb?
A: One to petition the Ministry of Light for a bulb, fifty to establish the state production quota, two hundred militia to force the factory unions to allow production of the bulb, and one to surreptitiously dial an '800' number to order an American light bulb.
[THIS IS ESPECIALLY TRUE, IF FUTURE AMERICAN UNION MEMBERSHIP IS OPENED UP TO PRIMATES. IN EUROPE, THIS IS A DISTINCT POSSIBILITY!!]
[See: Austria: Activists Ask European Human Rights Court to Declare Chimpanzee a 'Person', International Herald Tribune (May 21, 2008) at: http://www.iht.com/articles/ap/2008/05/21/europe/EU-GEN-Austria-Chimp-Challenge.php ].
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[THE TRUTH OF THE MATTER, HOWEVER, IS NOT REALLY THAT FUNNY].
How GE Is Plugging Into the Green Movement to Move Jobs and Advanced Technology to ChinaScrewThat Bulb.org
Save the environment … or save a U.S. job? That’s the choice General Electric is forcing on U.S. consumers and its own workers.
GE is promoting new, energy saving light bulbs known as compact fluorescents, or CFLs. These bulbs last longer and use less energy than the typical incandescent bulbs found in most U.S. homes – but can cost up to 10 times the price.
GE is asking consumers and its employees to sign a pledge to “go green” and start purchasing the CFL light bulbs, which are imported from China. The problem is that each pledge leads to the loss of jobs in U.S. lighting plants. GE is actually asking workers in its lighting plants to pledge to put themselves out of a job!
As a company, General Electric is synonymous with the light bulb: Thomas Edison’s incandescent bulbs built GE into the global corporation it is today. But if GE has its way, it will no longer manufacture light bulbs in the United States. Since 1980, employment in GE lighting has dropped by 68%. If everyone switched to the Chinese-made CFL bulbs, all U.S. plants would close.
But it doesn’t have to be this way. The growth of “environmentally sustainable technology” was supposed to be a breakthrough on par with the discovery of incandescent bulbs. Green manufacturing was supposed to stimulate our economy, not lead to further deindustrialization. Cutting-edge products like the CFLs should lead to more jobs and profits. GE is making the profits … but it is sending the jobs to China, a country known for exploiting workers and polluting the environment.
GE supported a European Commission ban on Chinese-made CFLs … so CFLs bought in Europe are manufactured in Europe. But GE is refusing to invest in advanced technology for its U.S. plants so workers here can have a future too.
Please join with us, the workers at GE lighting, to ask GE to manufacture green in U.S. plants, so we all can benefit. We shouldn’t have to choose between a clean environment or a pink slip for American workers. Sign our petition today.
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http://www.nytimes.com/2008/01/26/business/26interview.html
Seeking a More Flattering Light on, and From, Bulbs
By CLAUDIA H. DEUTSCH
New York Times
January 26, 2008
SOME 26 years ago, when Robert Pai joined Sylvania’s fluorescent technology laboratories, he and his fellow researchers did not think much about compact fluorescents. They were more interested in solving problems with mercury and ballast, and otherwise making big industrial fluorescent lamps more efficient and safer for the environment. Much has happened since. Sylvania is now part of Osram Sylvania, a unit of the German company Siemens. Dr. Pai — he has a doctorate in physics — is heading compact fluorescent research. And compact fluorescents, usually called C.F.L.’s, are definitely on researchers’ minds.
In a recent conversation, Dr. Pai, who is retiring this month, explained why some of the problems with compact fluorescents — they do not work with dimmer switches, they still use mercury and they make people and objects look weird — remain intractable. But he expressed optimism about the industry’s chances of developing light bulbs that please environmentalists, energy conservationists and finicky consumers in time to meet the efficiency standards that Congress has mandated for 2012. Excerpts from the interview follow:
Q. Despite all the hoopla surrounding them, compact fluorescents are still not big sellers. Isn’t it time to pursue light-emitting diodes, or some other answer to light bulb efficiency?
A. We’re all looking at L.E.D.’s and other technologies. But we really are making progress with C.F.L.’s, too. We’ve got programs to address the problem with dimmers.
We’ve been testing a new bulb that looks promising in terms of consumer acceptance for the quality of the light. But I admit, people who are extremely color-conscious will have to wait another few years before they can happily leave incandescents
Q. The common perception is that people who are even mildly color-conscious must avoid compact fluorescents. Why is that?
A. The fact that you’re even asking the question means this industry has not done a good job of advertising the strides we’ve made in quality of light.
Q. What about quality, period? Compact fluorescents are supposed to last much longer than incandescents, but I’ve heard lots of complaints from people whose C.F.L.’s burned out quickly.
A. All of the big manufacturers make their bulbs in China, and we do, too. But we have Sylvania people there whose full-time job is to ensure that vendors are maintaining product quality. We are confident that our 10,000-hour lamp will last 10,000 hours. The problem, though, is that anybody can import C.F.L.’s from China, which means there’s an awful lot of unbranded and untested product in the stores.
Q. Can you explain in layman’s terms why you cannot eliminate mercury and ballast from compact fluorescents, and why they shed harsh light?
A. Generating light is a function of vapor pressure. Too little vapor, and most of the energy goes to heat the lamp. Too much vapor, and the light gets trapped and degenerates into heat. Mercury is still the only substance that yields just enough vapor pressure to shed light efficiently without having to heat the lamp.
Ballast, which is what converts electrical power into a form that can be used by the lamp, poses a different problem. We’ve had experimental lamps that could operate with electricity that comes directly from the wall outlet. But when the current or the temperature deviated even slightly, the lamp exploded.
And as for the light — think of a blacksmith heating up a horseshoe. First it glows red, then orange, then as it gets hotter, it glows blue and white. Compact fluorescents do get hot, particularly in enclosed fixtures, and that’s why they shed that bluish-white light. We need to find ways to add more red to the spectrum.
Q. What are the relative pluses and minuses of the different kinds of light sources?
A. Incandescents are still the simplest technology. You throw some electricity into a filament and it lights up. And they offer full-spectrum color. But about 95 percent of the energy is wasted as heat, and making them more efficient would also make them much more expensive. Halogen lamps, common for automotive headlights or spotlights in retail displays, are a bit more efficient, but they’re also more expensive.
C.F.L.’s are extremely efficient, and cheaper to operate over their lifetime. But the color just isn’t the same as incandescents, they don’t work well for spot lighting and for now they don’t work with dimmer switches.
Most of the research is aimed at L.E.D.’s. They generate many colors of light and they are very efficient. But for now, they have big downsides, too. It is expensive to dissipate their heat, and they become less efficient if you diffuse the light over a wide area.
Q. Are any of those problems close to being solved?
A. I don’t expect much change in the immediate future. But I’ll bet that anything I say now will be out of date 5 or 10 years down the road.
Q. I understand you are retiring to Florida. How will you light your new home?
A. The place we’re moving to has all kinds of dimmers, so I’m going to have to negotiate with my wife about taking some of them out. But I guess I won’t be using C.F.L.’s in places like the dining room until the dimmer problem is solved. And I figure, eventually we’ll all convert to L.E.D.’s. But my crystal ball is not good enough to say when.
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http://www.youtube.com/watch?v=e-LOtKIIKcg
IMPORTANT INFORMATION ABOUT ENERGY SAVER LIGHT BULBS!
Only Made in China!!
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http://www.youtube.com/watch?v=BqrCij6CbHA&feature=related
Compact Florescent Light Bulbs: The Truth – They’re Dangerous!!
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http://www.iht.com/articles/2007/10/15/business/bulb.php
EU formally approves one-year extension of Chinese light-bulb duties
IMPORTANT INFORMATION ABOUT ENERGY SAVER LIGHT BULBS!
Only Made in China!!
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http://www.youtube.com/watch?v=BqrCij6CbHA&feature=related
Compact Florescent Light Bulbs: The Truth – They’re Dangerous!!
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http://www.iht.com/articles/2007/10/15/business/bulb.php
EU formally approves one-year extension of Chinese light-bulb duties
Bloomberg News, Reuters
October 15, 2007
October 15, 2007
LUXEMBOURG: The European Union formally approved a one-year extension of anti-dumping duties on imports of Chinese energy-saving light bulbs on Monday, despite protests from environmentalists, leading companies and several EU capitals.
The move gives Osram, a unit of Siemens of Germany, more time to prepare for stiffer competition in a case that split European providers of the bulbs.
The continuation of the duties of up to 66.1 percent on the bulbs from producers in China - plus smaller exporters in Pakistan, Vietnam and the Philippines - was approved by EU foreign ministers, Portugal, which holds the rotating EU presidency, said. The extension was first reported this summer, when a European official told the International Herald Tribune that it was a compromise aimed at avoiding a split in the European Commission.
Environmental groups have criticized the extension, saying it undermines EU efforts to save energy and be a leader in the fight against climate change. The EU did not renew the duties for the traditional five years because producers in the EU like Philips Electronics of the Netherlands say the trade protections reduce demand for energy-efficient lighting.
"It is in the short-term interest" of the European Union "to continue the measures for a further adjustment period," the EU said. "After this, the likely negative effects on consumers and other operators would be disproportionate to the benefits."
The light bulbs, known as integrated electronic compact fluorescent lamps, are among about 40 products from China that face EU tariffs meant to shield European manufacturers from below-cost - or "dumped" - imports.
Two other companies with EU presence, General Electric and Havells Sylvania, also backed an end to the duties, leaving Osram as the only major European producer that wanted to prolong them. Osram, which makes energy-saving bulbs in Germany and Slovakia, said the longer protection was justified by the need to uphold rules on fair trade.
Traditional incandescent light bulbs use five times more electricity than energy-saving bulbs, which cost more in stores. In the EU, about 2.1 billion incandescent household light bulbs are sold annually, and energy-saving bulbs account for 10 percent to 15 percent of the total market, which also includes halogen bulbs, according to Philips.
Philips, which imports large amounts of the energy-saving bulbs, and the Swedish retailer Ikea, supplier of about a fifth of EU demand, opposed any extension. The Italian lighting company Targetti is headed to court to fight the extension and seek reimbursement for duties paid since 2001.
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http://online.wsj.com/article/SB119153000588749258.html?mod=googlenews_wsj
No more innovation light bulbs!
Endless Innovation Blog
October 9, 2008
If you're like me, you're sick to the point of exhaustion of seeing the traditional light bulb being used as a symbol of innovation. There are light bulbs everywhere you look -- on the covers of innovation books, on the covers of business magazines, as graphical icons on blogs, and as corporate logos for innovation software companies. Isn't it time we got rid of the light bulb as a symbol of "innovation"? Especially since more people are turning to CFLs instead of traditional light bulbs anyway.
Anyway, this article in the Wall Street Journal was the tipping point: GE Will Speed Contraction of Incandescent Bulb Business. That's right -- the traditional light bulb business is slowly dying as the result of more people turning to energy-efficient and environmentally-friendly CFL bulbs. The very company that gave birth to the light bulb is scaling back its light bulb business:
"General Electric Co. will accelerate the shrinking of its 128-year-old incandescent light-bulb business in response to global pressure to switch to energy-efficient lighting. GE said it will close seven of the 54 plants and warehouses that serve its incandescent-bulb business by November 2008 and lay off 1,400 workers. Over two years, GE will have eliminated 16% of its lighting work force. GE previously laid off 3,000 workers in the unit."
The move gives Osram, a unit of Siemens of Germany, more time to prepare for stiffer competition in a case that split European providers of the bulbs.
The continuation of the duties of up to 66.1 percent on the bulbs from producers in China - plus smaller exporters in Pakistan, Vietnam and the Philippines - was approved by EU foreign ministers, Portugal, which holds the rotating EU presidency, said. The extension was first reported this summer, when a European official told the International Herald Tribune that it was a compromise aimed at avoiding a split in the European Commission.
Environmental groups have criticized the extension, saying it undermines EU efforts to save energy and be a leader in the fight against climate change. The EU did not renew the duties for the traditional five years because producers in the EU like Philips Electronics of the Netherlands say the trade protections reduce demand for energy-efficient lighting.
"It is in the short-term interest" of the European Union "to continue the measures for a further adjustment period," the EU said. "After this, the likely negative effects on consumers and other operators would be disproportionate to the benefits."
The light bulbs, known as integrated electronic compact fluorescent lamps, are among about 40 products from China that face EU tariffs meant to shield European manufacturers from below-cost - or "dumped" - imports.
Two other companies with EU presence, General Electric and Havells Sylvania, also backed an end to the duties, leaving Osram as the only major European producer that wanted to prolong them. Osram, which makes energy-saving bulbs in Germany and Slovakia, said the longer protection was justified by the need to uphold rules on fair trade.
Traditional incandescent light bulbs use five times more electricity than energy-saving bulbs, which cost more in stores. In the EU, about 2.1 billion incandescent household light bulbs are sold annually, and energy-saving bulbs account for 10 percent to 15 percent of the total market, which also includes halogen bulbs, according to Philips.
Philips, which imports large amounts of the energy-saving bulbs, and the Swedish retailer Ikea, supplier of about a fifth of EU demand, opposed any extension. The Italian lighting company Targetti is headed to court to fight the extension and seek reimbursement for duties paid since 2001.
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http://online.wsj.com/article/SB119153000588749258.html?mod=googlenews_wsj
No more innovation light bulbs!
Endless Innovation Blog
October 9, 2008
If you're like me, you're sick to the point of exhaustion of seeing the traditional light bulb being used as a symbol of innovation. There are light bulbs everywhere you look -- on the covers of innovation books, on the covers of business magazines, as graphical icons on blogs, and as corporate logos for innovation software companies. Isn't it time we got rid of the light bulb as a symbol of "innovation"? Especially since more people are turning to CFLs instead of traditional light bulbs anyway.
Anyway, this article in the Wall Street Journal was the tipping point: GE Will Speed Contraction of Incandescent Bulb Business. That's right -- the traditional light bulb business is slowly dying as the result of more people turning to energy-efficient and environmentally-friendly CFL bulbs. The very company that gave birth to the light bulb is scaling back its light bulb business:
"General Electric Co. will accelerate the shrinking of its 128-year-old incandescent light-bulb business in response to global pressure to switch to energy-efficient lighting. GE said it will close seven of the 54 plants and warehouses that serve its incandescent-bulb business by November 2008 and lay off 1,400 workers. Over two years, GE will have eliminated 16% of its lighting work force. GE previously laid off 3,000 workers in the unit."
That being said, what do you think should become the new symbol of innovation?
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http://cenvironment.blogspot.com/2008/01/compact-fluorescent-light-bulbs-come.html
Compact Fluorescent Light Bulbs Come From China
Center for Environment, Commerce & Energy
January 28, 2008
China-born Ellis Yan, right, 53, owns Shanghai, China-based TCP Inc, the largest manufacturer of compact fluorescent light (CFL) bulbs sold in the U.S. About 200 million CFL bulbs were sold in 2006 and TCP provided 70% of those bulbs. GE and Sylvania are gearing up to compete with TCP and currently resell TCP bulbs under their names. TCP is currently the main supplier of CFLs to Home Depot and Wal-Mart. TCP has 3,000 employees.
Two big events have helped in the advancement of CFLs. One was the electricity crisis in California in 2001, which led to a huge conservation push that included replacing light bulbs. Second is the Energy Security and Independence Act of 2007, which phases out traditional incandescent light bulbs by 2012. Mercury is a concern in CFLs. About five milligrams of mercury are used in the typical bulb. A tiny amount of mercury is heated until it turns into gas that reacts with other gases to produce light. Mercury is toxic.
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http://www.salon.com/tech/htww/2007/10/05/cfls_and_ohio
GE to Ohio: Turn off your light-bulb factories
By Andrew Leonard
How the World Works
Salon.com
Oct. 05, 2007 Environmentalists often tout the theory that investing in forward-looking energy-efficient technologies is a smart way for U.S. companies to create domestic jobs and carve out a competitive niche in the global economy of the future. But it doesn't necessarily have to work out that way. On Thursday, General Electric, citing the fact that sales of incandescent bulbs are declining by about 10 percent a year, announced that it was closing seven lighting manufacturing facilities in North and South America.
Six of those plants are in Ohio. The vast majority of the compact fluorescent light bulbs that are replacing incandescents are manufactured in China. A union-led campaign launched in March argues that GE should invest in new lighting technologies in the United States, but GE claims that to manufacture CFLs in the U.S. would require adding 50 cents to the price of each bulb.
(At Screwthatbulb.org, a site created by the Communications Workers of America, the union claims that the European Commission banned Chinese-manufactured CFLs, but that assertion is not correct. There is a steep tariff on Chinese CFLs in the EU, but even so, two-thirds of the CFLs sold in Europe are made in China.)
A story in the Youngstown, Ohio, Vindicator covering the closing of two local plants serves as a minor elegy for every factory forced to close by the pressures of globalization.
GE said Thursday the Austintown Products Plant and Niles Glass Plant are to be shut down Nov. 1, 2008, with production shipped to foreign plants or outside suppliers....
The Austintown plant, which has 73 workers, is one of three plants that make filaments for incandescent bulbs. [A spokesman for GE] said production volumes for these bulbs are down, so the company now can fill all of its orders at the other plants, which are in Mexico and Hungary....
So, yet another paradox that may not bear too much pondering, if one wants to make it through the day. Replacing your incandescents with CFLs will cut your electricity bill, there's little doubt about that, but it will also contribute to job loss in Ohio, and the likely increase of industrial pollution in China.
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http://blog.360.yahoo.com/blog-6IqCKWAzfrLlzHFAL37elhA-?cq=1&tag=general.electric
GE: Here's a bright idea: How 'bout American-made compact fluorescents?
Yahoo 360 Beta
(10/4/07)
China has been in the news lately with pet food and toy scares that have prompted legislation such as HR 3610 which would tighten import controls regarding safety. There have also been bills aimed at China's currency practices which Congress thinks contributes to our balance of trade deficit.
A Senate Banking bill (S 1677 ) seeks to strengthen the definition of currency “manipulator” to make it tougher for Treasury to avoid giving that label to China. A Finance bill ( S 1607 --related bills: H.R. 2942 , H.R. 782 , S. 796 ) aims to toughen the Treasury Department’s investigations of questionable foreign currency practices. It would require officials to examine “fundamentally misaligned currencies.”
But I never thought about China with regard to compact fluorescent bulbs until today's piece in the Wall Street Journal, "GE to Pare Manufacture of Traditional Lightbulbs: Demand Grows for Energy-Efficient Lighting" by Kathryn Kranhold. (The updated title is : "GE Will Speed Contraction Of Incandescent-Bulb Business.")
Almost everybody will tell you that compact fluorescents are a good idea from the EPA to your local power company to environmental lifestyle magazines. The small amount of mercury is less than that added to the environment by coal burning plants. The Energy Bill, still awaiting its conference committee reconcilation even included a plan to transition to these energy savers from the old-style incadescent bulbs. Who tells you, however, how the bulk of these bulbs, even those produced under American labels, such as General Electric, are made in China?
GE promotes the bulbs on its website, but doesn't talk about the repercussion for American employment. And unfortunately, Kranhold's article is little more than a rewritten media release from the company. What I learned from news stories from affected areas in Ohio was more instructive.
John Booth of Crain's Cleveland Business asked today about the feasibility of adapting the existing plants to fit with GE’s new technology and production needs and was told by Michael Petras, GE's vice president of electrical distribution and lighting that the cost would not have justified the result.
It would be over a $40 million investment to do one factory. And then, you’re not competitive [in the market].
Petras told Booth that GE’s corporate leaders gave the lighting business $500 million to cover the entire restructuring. Part of that amount will cover severance packages and lease payoffs. GE would not specify how many of the jobs in Northeast Ohio will go to other GE plants in the United States.
Don Shilling, the Youngstown (OH) Vindicator's Business Editor mentioned September 21 that "Union leaders had kicked off a campaign earlier this year that asked manufacturers to make CFLs in the U.S. so domestic plants aren't phased out if incandescent bulbs fade away."
That campaign is by the Communication Workers of America, which has launched a petition:
I'm green and I support U.S. jobs. GE should invest in U.S. plants so we can manufacture CFL bulbs and other technologically advanced and environmentally friendly products in the United States. I want to support the environment and good U.S. jobs. I want to buy a U.S.-made CFL light bulb. GE, do the right thing and invest in America.
Lights of America produces bulbs here and has been a leader in the CFL field, while also making a cheap LED bulb. At least one hardware chain in NE carries LOA's CFLs, as does Amazon.com and others.
Political scientist John Rynn (article archive, email), commenting on Grist August 31, made an interesting point that it's:
important to rebuild the manufacturing base of the U.S., in a sustainable manner... a wealthy country must manufacture the bulk of its own goods in order to stay wealthy. But even for sustainability purposes, as I argued in "Wind power needs manufacturing", the U.S. will need to recreate its physical and energy infrastructure with its own manufacturing prowess as well.
The difficulty of buying Chinese (or German, or French, or Japanese) is that eventually, the U.S. dollar will collapse from the huge trade deficits so engendered, and then Americans will be stuck in a "developing" country, that is, a nonindustrial one. And then we won't have the wherewithal to rebuild the society sustainably.
Unfortunately, it's gotten so bad that governments at all levels are going to have to encourage manufacturing...buying Chinese is a symptom of a larger problem.
Now here's what I would like to know: How come American industry, citing climate change, asks for boatloads of money to develop questionable technology such as coal liquification or nuclear power plants, but none to retool factories to manufacture cutting edge products in this country?
[ACTUALLY, AMERICAN INDUSTRY SHOULD BE ASKING FOR BOATLOADS OF MONEY TO DEVELOP NOT ONLY RENEWABLE ENERGY TECHNOLOGIES, BUT ALSO, COAL LIQUIFICATION, COAL GASIFICATION & NUCLEAR ENERGY. AMERICA'S ENERGY NEEDS & ENERGY SECURITY CANNOT BE SATISFIED BY ONLY RENEWABLE TECHNOLOGIES].
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http://www.china.org.cn/business/news/2007-08/30/content_1222590.htm
EU Extends Antidumping Duties on Chinese Light Bulbs
China.org.cn
8/30/07
Chinese energy-saving light bulbs may face antidumping measures from the European Union (EU) for one more year as the European Commission made a compromised proposal on Wednesday.
The EU's executive body agreed to the one-year extension of the six-year-old duties when its commissioners held their first meeting after the summer break. As a compromise, the antidumping measures will end automatically after the extension.
"Following discussions within the commission and with member states the commission will recommend that it is in the community's interest to discontinue these measures in the next year," the commission said in a press release.
The proposal, which had to be approved by EU member states, was put forward in accordance with the overall interests of the EU, commission spokesman Johannes Laitenberger told reporters at a daily news briefing.
"There are grounds to leave the possibility of continuing these antidumping measures for another year, mainly to allow for a soft transition in a changing market reality" for the European industry, he said.
Stephen Adams, the press officer for EU Trade Commissioner Peter Mandelson, confirmed with Xinhua that the one-year extension was meant to provide a transition period, after which the antidumping duties will be dropped automatically without the need for further review.
The one-year extension is started once the approval of member states is made, probably within one month, said Adams.
http://www.china.org.cn/business/news/2007-08/30/content_1222590.htm
EU Extends Antidumping Duties on Chinese Light Bulbs
China.org.cn
8/30/07
Chinese energy-saving light bulbs may face antidumping measures from the European Union (EU) for one more year as the European Commission made a compromised proposal on Wednesday.
The EU's executive body agreed to the one-year extension of the six-year-old duties when its commissioners held their first meeting after the summer break. As a compromise, the antidumping measures will end automatically after the extension.
"Following discussions within the commission and with member states the commission will recommend that it is in the community's interest to discontinue these measures in the next year," the commission said in a press release.
The proposal, which had to be approved by EU member states, was put forward in accordance with the overall interests of the EU, commission spokesman Johannes Laitenberger told reporters at a daily news briefing.
"There are grounds to leave the possibility of continuing these antidumping measures for another year, mainly to allow for a soft transition in a changing market reality" for the European industry, he said.
Stephen Adams, the press officer for EU Trade Commissioner Peter Mandelson, confirmed with Xinhua that the one-year extension was meant to provide a transition period, after which the antidumping duties will be dropped automatically without the need for further review.
The one-year extension is started once the approval of member states is made, probably within one month, said Adams.
The EU has imposed an antidumping tariff of up to 66 percent on energy-saving light bulbs from China since 2001, which was due to expire in July 2006.
However, the EU later conducted an expiration review amid requests by industry to determine whether to prolong the tariffs for another five years.
During the review period, which lasts 15 months after the expiration and is set to end this October, the antidumping measures remain in force.
Whether to extend the antidumping duties against Chinese energy-saving bulbs has led to heated debate within the EU.
"This case has once again shown the complexities of managing antidumping rules in a global economy and against the broad range of EU interests," Mandelson said in a statement.
Last month, a majority of trade experts in the EU's executive body decided to support an end to the antidumping measures, a position also shared by the EU's top trade official.
But the extension proposal was said to be a compromise mainly between Mandelson and Enterprise Commissioner Guenter Verheugen, who pressed for a two-year transition period and has expressed concern about job losses at German producer Osram, part of the German-based Siemens group.
Osram has pushed to keep the duties in place, while most European producers, led by Dutch electronics group Philips, want them to be lifted.
Both companies have part of their production based in China for cost saving, but Philips has a much larger presence and imports more than other European companies, to such an extent that it can hardly be classified as a European producer.
"Continuing duties would be a backward, protectionist move to safeguard the short-term interests of one single company," Philips said in a statement prior to the commission's decision.
The Foreign Trade Association (FTA), which represents EU importers, said the move was bad news both for the industry and for consumers.
"It is not good for the European industry as some major producers do not want the duties to be extended. And also, it is not good for consumers since the prices are already high because of the duties," FTA spokesman Stuart Newman told Xinhua.
The antidumping measures were also criticized by environmentalists as unjustified in the EU's fight against global warming.
Ahead of Wednesday's meeting, the Switzerland-based World Wildlife Fund (WWF) urged the EU to end the duties, arguing that Europe has to rely on imports to meet its demand for low-energy light bulbs, which is essential to realize the bloc's goal of reducing greenhouse gas emissions by 20 percent by 2020 from the level of 1990.
"Ending the antidumping investigation and allowing imports of Chinese integrated compact fluorescent lamps could contribute to savings of 23 million tons of CO2 per year, equivalent to 0.5 percent of EU greenhouse gas emissions," Tony Long, director of the WWF's European Policy Office, said in a letter to EU Environment Commissioner Stavros Dimas.
It was estimated that EU domestic production can only meet 25 percent of its demand for energy-saving light bulbs, which could reach up to 400 million units by the end of this year.
(Xinhua News Agency August 30, 2007)
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http://gpj2.mofcom.gov.cn/aarticle/workaffair/200708/20070805043847.html
EU proposes extending anti-dumping measures against Chinese bulbs
From:Xinhua Article type:Reproduced
2007-08-30 05:29
BRUSSELS -- Chinese energy-saving light bulbs may face anti-dumping measures from the European Union (EU) for one more year as the European Commission made a compromised proposal on Wednesday.
The EU's executive body agreed to the one-year extension of the six-year-old duties when its commissioners held their first meeting after the summer break. As a compromise, the anti-dumping measures will end automatically after the extension.
"Following discussions within the commission and with member states the commission will recommend that it is in the community's interest to discontinue these measures in the next year," the commission said in a press release.
The proposal, which had to be approved by EU member states, was put forward in accordance with the overall interests of the EU, commission spokesman Johannes Laitenberger told reporters at a daily news briefing.
"There are grounds to leave the possibility of continuing these anti-dumping measures for another year, mainly to allow for a soft transition in a changing market reality" for the European industry, he said.
Stephen Adams, the press officer for EU Trade Commissioner Peter Mandelson, confirmed with Xinhua that the one-year extension was meant to provide a transition period, after which the anti-dumping duties will be dropped automatically without the need for further review.
The one-year extension is started once the approval of member states is made, probably within one month, said Adams.
The EU has imposed an anti-dumping tariff of up to 66 percent on energy-saving light bulbs from China since 2001, which was due to expire in July 2006.
However, the EU later conducted an expiration review amid requests by industry to determine whether to prolong the tariffs for another five years.
During the review period, which lasts 15 months after the expiration and is set to end this October, the anti-dumping measures remain in force.
Whether to extend the anti-dumping duties against Chinese energy-saving bulbs has led to heated debate within the EU.
"This case has once again shown the complexities of managing anti-dumping rules in a global economy and against the broad range of EU interests," Mandelson said in a statement.
Last month, a majority of trade experts in the EU's executive body decided to support an end to the anti-dumping measures, a position also shared by the EU's top trade official.
But the extension proposal was said to be a compromise mainly between Mandelson and Enterprise Commissioner Guenter Verheugen, who pressed for a two-year transition period and has expressed concern about job losses at German producer Osram, part of the German-based Siemens group.
Osram has pushed to keep the duties in place, while most European producers, led by Dutch electronics group Philips, want them to be lifted.
Both companies have part of their production based in China for cost saving, but Philips has a much larger presence and imports more than other European companies, to such an extent that it can hardly be classified as a European producer.
"Continuing duties would be a backward, protectionist move to safeguard the short-term interests of one single company," Philips said in a statement prior to the commission's decision.
The Foreign Trade Association (FTA), which represents EU importers, said the move was bad news both for the industry and for consumers.
"It is not good for the European industry as some major producers do not want the duties to be extended. And also, it is not good for consumers since the prices are already high because of the duties," FTA spokesman Stuart Newman told Xinhua.
The anti-dumping measures were also criticized by environmentalists as unjustified in the EU's fight against global warming.
Ahead of Wednesday's meeting, the Switzerland-based World Wildlife Fund (WWF) urged the EU to end the duties, arguing that Europe has to rely on imports to meet its demand for low-energy light bulbs, which is essential to realize the bloc's goal of reducing greenhouse gas emissions by 20 percent by 2020 from the level of 1990.
"Ending the anti-dumping investigation and allowing imports of Chinese integrated compact fluorescent lamps could contribute to savings of 23 million tons of CO2 per year, equivalent to 0.5 percent of EU greenhouse gas emissions," Tony Long, director of the WWF's European Policy Office, said in a letter to EU Environment Commissioner Stavros Dimas.
It was estimated that EU domestic production can only meet 25 percent of its demand for energy-saving light bulbs, which could reach up to 400 million units by the end of this year.
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http://info.hktdc.com/alert/eu0715a.htm
New anti-dumping investigations set to be triggered in coming months
Business Alert – EU
Hong Kong Trade and Development Center (HKTDC)
Issue 15, 2007 (27 July)
Hong Kong traders will recall that, famously, ten industry associations recently wrote to the President of the European Commission, Jose Manuel Barroso, accusing the European Commissioner for Trade, Peter Mandelson, of taking a softer stance on anti-dumping cases without consulting the Member States. The European Commission's trade defence teams have experienced a shortage of new investigations over the last six months, a situation which these associations claim demonstrates an unofficial change in policy by the Trade Commissioner. This dry spell follows a particularly active period in 2006, which saw the launch of 36 trade defence measures by the European Commission thereby protecting EU industry from imports originating in countries such as, in particular, the Chinese Mainland.
Those calling for more action by the EU are particularly concerned that even where cases are initiated, this does not necessarily signify a rise in the imposition of trade defence measures, due to the fact that cases can also be terminated before any measures are adopted. This approach -- towards a more limited use of trade defence measures -- can be seen in the Commission's latest proposal to terminate the current investigation concerning imports of energy saving light bulbs from mainland China.
Duties of up to 66.1% have been in force on "integrated electronic compact fluorescent lamps" (CFL-i) since February 2001. However, following an expiry review examining whether the duties should remain in force, the Commission will shortly submit a proposal to Member States' representatives, that it would not be in the "Community interest" for duties to be maintained for a further five years. The requirement of examining the Community interest is essential under EU law before trade defence measures can be imposed.
The removal of anti-dumping tariffs is likely to reduce the price of energy-saving light bulbs in the EU, something which is expected to have significant and positive environmental effects. European Commissioner for Trade, Peter Mandelson, has stated that he aims to introduce a zero-tariff regime for key environmentally friendly goods, consistent with the March 2007 call from EU leaders, with German Chancellor Angela Merkel at the forefront, exhorting the Commission to phase out the use of old-fashioned incandescent light bulbs over the next few years.
Now, ironically, it is expected that Germany will be one of the strongest opponents of the Commission's latest plans, supporting national light bulb manufacturer Osram which lobbied extensively for the duties to remain in force. The duties are serving to provide further protection for manufacturers of inefficient light bulbs, and the three other major manufacturers of energy saving light bulbs, Philips, GE and Sylvania, all oppose continuation of the measures.
On the other hand, it appears that the current drought in cases is likely to come to an end over the coming months, with indications from the European Commission that several new investigations could be initiated during late 2007.
The Commission is expected to shortly propose the prospect of imposing duties on imports of ferro silicon, used in the production of carbon steel, from the Chinese mainland, Russia, Kazakhstan and the former Yugoslav Republic of Macedonia. Hong Kong traders should note that according to the draft plans, imports of ferro silicon from the Chinese mainland would be subject to duties of between 9 and 36%. Provisional measures are also planned for imports from South Africa of electrolysed manganese dioxide, used in the production of batteries.
As for future new investigations, while the list of the exact products to be covered and any other details are as yet far from clear, it is likely to include many products shipped from the Chinese mainland. As reported in Business Alert-EU (Issue 01/07), there have been rumours for some time that investigations would cover products such as furniture, ceramics, candles and tableware.
The latest developments indicate that new investigations are likely to be initiated in sectors such as chemicals, minerals and metals. Defensive action is also expected to be taken against the textile industry, which could result in a controversial sequel to the 2005 dispute which resulted in around 80 million garments of Chinese origin being blocked at European ports.
In addition, the Commission appears to be taking a strong stance towards the alleged circumvention of anti-dumping duties on imports of shoes originating in the Chinese mainland and Vietnam. As reported in Business Alert-EU (Issues 6/07 and 10/07), the European Commission has for some time been investigating the substantial decline in imports of footwear from the Chinese mainland since the imposition of definitive measures in October 2006. In March 2007 Commission officials expressed concern about "widespread circumvention" of the measures.
The European Commission has now signalled plans to launch an investigation into claims that companies affected by the measures are avoiding payment of the duties by illegally shipping goods via Macao, whose exports to the EU for April to November 2006 were elevated at more than 1700% when compared to the same period in 2005.
It therefore remains to be seen how exactly the trends concerning the imposition of EU trade defence measures and initiations of new investigations will evolve during the rest of 2007. Hong Kong traders will be aware that despite the recent respite, an onslaught against merchandise originating in the Chinese mainland is unlikely to cease anytime soon.
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http://www.voyantes.net/blog/?p=203
Compact Fluorescent Lamps (CFLs)
This entry was posted on Saturday, January 13th, 2007
I have just finished uploading my pictures from last weeks trip to lebanon to my flickr account. among them are five or so that show massive energy saving light-bulbs (or CFLs as they are officially known) used for outdoor lighting of shops and a gas station.
This is a trend that i had already noticed last december in china (not sure if in india): Energy efficient CFLs seem to be all over the place in areas like the Pearl River Delta with it’s rapidly growing energy consumption or Lebanon, whose power generating capacities have been severely reduced in the 2006 war (if you look closely at my pictures from lebanon you will see that all but one light bulb are of the CFL type).
This is in stark contrast with the situation in Europe where these types of light-bulbs still seem to occupy a niche position. Now most likely this is due to the fact that we do not have the same energy constraints (yet) and can thus afford to happily wast our electricity, but a little bit of googling reveals that the fact that you do not see many CFLs around here (i do not have a single one in my house) is probably due to an altogether different reason:
Since 1998, China has become the world’s largest producer and exporter of the energy-saving lamps, changing the structure of a global market that was once monopolized by European and American companies such as Philips, GE, and Siemens-Osram. Chinese manufacturers supplied close to 1 billion CFLs worldwide in 2004. […] In the face of intense international competition, the low price of the Chinese-made bulbs has been the leading factor behind this growth.
[…] The European Commission imposed the five-year CFL duty in 2001 after the European Lighting Companies Federation, a trade group for European producers, claimed that China was flooding the market with cheap bulbs. The anti-dumping tariff was a huge blow to Chinese CFL manufacturers, who were dependent on exports for a large share of their market. Half the country’s CFL enterprises went bankrupt within the year, reducing the number of domestic producers from 4,000 to 2,000 in 2001, then to some 1,400 in 2002. To stay afloat, Chinese manufacturers shifted their attention to Asia and the Americas, regions that have imported more than 70 percent of China’s energy-saving bulbs in recent years. [source: worldwatch.org: China Pushes for Even Greater Share of World CFL Market]
So the real reason for not seeing lots of CFLs in Europe lies in the fact that the EU Commission decided to apply import duties on cheap CFLs from the PRC so that companies like Phillips, GE and Siemens can continue to make a little profit while we are happily wasting electricity. Makes me wonder about the European Commission’s sense of urgency even more than i did last week…
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http://www.worldwatch.org/node/4104
China Pushes for Even Greater Share of World CFL Market
by Zijun Li on June 15, 2006
Next month marks the expiration date for the European Union’s stringent anti-dumping duty on Chinese compact fluorescent lamps (CFLs), imposed in July 2001. As long as European lighting-industry leaders do not push the EU to extend the 66-percent tariff during an upcoming review, this would be an opportune time for China’s CFL industry to further strengthen its position in the world market, according to China Energy Daily.
Since 1998, China has become the world’s largest producer and exporter of the energy-saving lamps, changing the structure of a global market that was once monopolized by European and American companies such as Philips, GE, and Siemens-Osram. Chinese manufacturers supplied close to 1 billion CFLs worldwide in 2004, or about 75 percent of the global total, according to Global Source’s report Light Bulbs & Tubes. In the face of intense international competition, the low price of the Chinese-made bulbs has been the leading factor behind this growth.
China’s surging CFL industry has put unprecedented pressure on European manufacturers in recent years. The European Commission imposed the five-year CFL duty in 2001 after the European Lighting Companies Federation, a trade group for European producers, claimed that China was flooding the market with cheap bulbs. The anti-dumping tariff was a huge blow to Chinese CFL manufacturers, who were dependent on exports for a large share of their market. Half the country’s CFL enterprises went bankrupt within the year, reducing the number of domestic producers from 4,000 to 2,000 in 2001, then to some 1,400 in 2002. To stay afloat, Chinese manufacturers shifted their attention to Asia and the Americas, regions that have imported more than 70 percent of China’s energy-saving bulbs in recent years.
Despite the high tariff, however, a substantial number of Chinese CFLs suppliers remain attracted to the European market because of the relatively high price margins compared with Southeast Asia. And as new EU environmental laws, such as the Waste from Electrical and Electronic Equipment (WEEE) directive, require manufacturers to provide high-quality products that meet strict environmental requirements, the added value of the energy-saving lamps could generate margins as high as 20 percent in Europe (compared with only 6–8 percent in other regions). Recognizing the opportunities, Chinese CFL suppliers are seeking active participation in the upcoming tariff review process in the hope of overturning the anti-dumping restrictions.
Chinese CFL manufacturers are also beginning to explore China’s domestic market, as energy savings tops the national agenda. With more than 1,000 producers nationwide, the indigenous industry has already developed top-notch brands including TCP, TCL, and Oupu. Mass participation in the market has ensured the market’s saturation. Meanwhile, the emergence of high-quality national brands promises robust competition.
Experts believe the peak in Chinese CFL consumption will come in the next few years. A key impetus is the government’s energy-saving scheme, outlined in the 11th five-year national economic plan, which will likely drive policies encouraging CFL consumption. The nation’s robust real-estate market is also stimulating demand. The Beijing City Planning committee estimates that city residents will consume 200 million RMB (US$25 million) annually in home illumination over the next few years. Already, more than 50 million CFLs had been consumed nationwide as of late 2005, and rapidly developing rural areas will continue to provide new markets. Moreover, as the energy-saving bulbs become increasingly affordable for the average Chinese consumer, this is expected to reduce the price pressure on CFL suppliers and enhance their position in the overall lighting market.
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China Sourcing Report
Light Bulbs & Tubes
China is one of the world's leading producers of light bulbs and tubes, exporting 8.6 billion units in 2004, up 36% from the year before.
Light Bulbs & Tubes
China is one of the world's leading producers of light bulbs and tubes, exporting 8.6 billion units in 2004, up 36% from the year before.
Low price is the main factor driving this growth. In the face of intense competition, manufacturers are being forced to minimize increases despite soaring raw-material costs.
The result? Unparalleled sourcing opportunities at extremely low prices. But where do you start...and which suppliers are best positioned to meet your demands?
With in-depth supplier profiles, industry analysis, detailed specifications for top-selling export products and much more, this report gives you the answers.
Suppliers: 58 Products: 114 Pages: 102 Published: May 05
Industry overview:
Industry snapshot
No. of manufactures 2,100
No. of exporters 1,200
Exports US$1.2bn
Capacity utilization 80%
Export ratio 50%
China's exports of light bulbs and tubes are on an upswing, with 2004 shipments soaring 36 percent over 2003 figures to reach US$1.2 billion. Overseas trade is showing signs of strong growth this year as initial figures have already risen 18 percent.
China's exports consist mostly of fluorescent lamps, incandescent and halogen bulbs. Exports, when studied in terms of volume, consist mainly of incandescent bulbs, which are the most mature products in the industry. In fact, close to 80 percent of the 8.6 billion light bulbs and tubes exported in 2004 were incandescent bulbs. Only 13 percent were fluorescent lamps and the rest were halogen bulbs.
However, when it comes to export value, fluorescent lamps are the biggest revenue earner, mainly because export prices of fluorescent lamps are much higher than incandescent bulbs. In 2004, for instance, China-made fluorescent lamps averaged US$0.68 apiece whereas incandescent bulbs were priced at only US$0.03 each. In the same year, the US$778 million worth of fluorescent lamps that China exported made up 65 percent of total shipments for the year. Incandescent bulb exports pale in comparison, accounting for only 19 percent of export value.
Fluorescent lamps have registered the highest growth rates among the various bulb types from China, growing an average 40 percent in the past several years. In 2004, suppliers exported 42 percent more fluorescent lamps than in 2003. Both incandescent and halogen bulbs, however, still registered 27 percent growth in exports last year. Leading exports in this product line are compact fluorescent lamps, aptly named because their smaller-than-usual constructions generate more light than conventional fluorescent bulbs.
CFLs are a booming business on their own with the supplier base now consisting of more than 1,000 makers churning out close to 1 billion CFLs annually, about 75 percent of total global output. Some makers of standard fluorescent lamps have already branched out into CFLs as the technology and processes used to make both types are the same.
Halogen bulbs are the third most commonly exported light bulb type in China, accounting for 16 percent of export value in 2004.
New-generation light sources such as LEDs are on the drawing board of some large suppliers, but development is still at the initial stage as makers have yet to adopt advanced technology needed to manufacture these products.
New directive hampers exports to EU
China exports about 70 percent of its energy-saving bulb output — composed mainly of CFLs and standard fluorescent lamps — mainly to Asia, North and South America. Only 20 to 30 percent is sent to the European Union after the region implemented anti-dumping restrictions.
Suppliers will continue to focus mostly on markets outside the EU in the next 12 months, especially after the Waste from Electrical and Electronic Equipment directive takes effect in the region this August. The WEEE directive requires makers to provide deposits for expenses incurred in the collection, treatment, recycling and environment-friendly disposal of waste electric and electronic products.
