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Home > Industrial News

LCD Prices Continue to Fall Resulting in Manufacturers to Reduce Production

Author : Chinese LCD manufacturer

Update time : 2019-10-08 16:46:13

According to BusinessKorea,as LCD panel prices continue to fall, Chinese LCD manufacturers have begun to cut production to ease the recession.

China's BOE, which ranks first in the world in terms of LCD shipments this year, with a market share of 18.2%, has decided to cut production. The company has begun to reduce production of the 10.5 generation LCD production line by 25% from July and other LCD production lines by 10%. Huaxing Optoelectronics and Huike also reduced the operating rate of 8.5 generation liquid crystal display products by 10% and 20%, respectively.

In addition to falling prices, the Chinese government has also reduced its support for panel makers. Chinese display companies have been increasing production of liquid crystal displays through subsidies from local governments. However, the Chinese government has recently decided to change its support measures because Chinese companies will have a market share of more than 50 per cent of the LCD market and competition for expansion among Chinese companies has become fierce.

As a result, South Korean market experts say Chinese display makers are likely to abandon excessive competition for factory expansion and further ease the glut. China's share of the global LCD market is expected to increase from 29 per cent in 2016 to 54 per cent in 2020.

As of August, the prices of 32-inch and 55-inch LCD TV panels were $33 (39300 won) and $106 (126340 won), down 20 per cent and 26 per cent respectively from the start of the year, according to IHS Markit, a global market research firm.

XIANHENG TECH is a professional TFT LCD screen supplier located in Shenzhen, the largest electronics city in China. If you have any questions, please feel free to email us to [email protected].

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