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China to dominate flat panel display manufacturing by 2018: research

China to dominate flat panel display manufacturing by 2018: research

Taipei, Nov. 7 (CNA) China will become the largest producer of flat-panel display (FPD) by 2018 as Chinese panel manufacturers continue ambitious expansion plans, according to business research provider IHS Inc. While conventional thin film transistor liquid crystal (TFT LCD) displays are rapidly trending towards commoditization and currently suffering from declining prices and margins, China is quickly adding capacity in all FPD manufacturing segments, IHS said in a statement on Nov. 5. Supported by financial incentives from local governments, Chinese TFT capacity is projected to grow 40 percent per year between 2010 and 2018, IHS said. On the contrary, Japan, South Korea and Taiwan have restricted investments to focus mainly on advanced technologies, as TFT capacity for FPD production in these countries is forecast to grow on average at less than 2 percent per year between 2010 and 2018, the research firm added. That means China is expected to become the largest FPD-producing region in the world by 2018, accounting for 35 percent of the global TFT capacity, compared with just 4 percent in 2010. IHS explained that China's central government has generally encouraged investment in FPDs, in order to shift the economy to higher technology manufacturing, to increase domestic supply and to support gross domestic product (GDP) growth. In terms of individual FPD makers, South Korea's Samsung Display and LG Display were the top two producers in 2010 by making up 24 percent and 22 percent of the global FPD capacity, respectively, followed by Taiwan-based Innolux Corp. (??) with 17 percent and AU Optronics Corp. (AUO, ??) with 15 percent, and Japan' Sharp Corp. with 8 percent. In 2018, Samsung Display is forecast to remain the world's largest FPD producer with a 19 percent market share, followed by LG Display (18 percent), China's BOE Technology Group (14 percent), Innolux (13 percent) and AUO (11 percent). (By Jeffrey Wu)


Updated : 2021-09-23 14:10 GMT+08:00