It’s actually rather simple and inexpensive to manufacture, which is why LED lights caused such a stir when they were originally introduced!
The Technical Specifications: LEDs are made up of two different types of semiconducting materials (a p-type and an n-type). Both p-type and n-type materials, also known as astringent materials, have been doped (immersed in a chemical known as a “doping agent”) to slightly alter their electrical properties from their pure, unaltered, or “intrinsic” state (i-type).
The p-type and n-type materials are made by mixing atoms of one element with atoms of another. These new atoms replace part of the existing atoms, altering the physical and chemical structure in the process. P-type materials are made from elements (like boron) with fewer valence electrons than the intrinsic material (oftentimes silicon). The n-type materials are made with elements that have more valence electrons than the intrinsic material (for example, phosphorus) (oftentimes silicon). As a result, a p-n junction with fascinating and beneficial features for electrical applications is created. What such attributes are depended primarily on the external voltage (if any) and current direction applied to the circuit (i.e. which side, the p-type or the n-type, is connected to the positive terminal and which is connected to the negative terminal).