LCD panel prices plummet, Chinese and Korean manufacturers are reducing production
According to foreign media reports, Korean and Chinese display manufacturers are adjusting the output of large LCD panels. Mainly because of the large investment of Chinese companies and the oversupply of panels, prices and profits have fallen rapidly.
Sakai Display Products Corp. recently postponed mass production of its Gen 10.5 LCD panel manufacturing plant in Guangzhou until April 2020. Previously, SDP planned to start the first phase of production last month, with a monthly output of at least 60,000 panels.
The Hon Hai Group, the owner of Sakai Display, started to build the plant in 2017 and recently completed the production of the plant, mainly producing 65-inch and 75-inch LCD TV panels. Foxconn Group’s investment in the plant The total amount is 61 billion yuan.
The postponement is because mass production is unlikely to be profitable. At present, the average selling price of large LCD panels is lower than the production cost, which means that the more production, the more losses.
According to industry news, Samsung Display significantly reduced its production of 7th and 8.5th generation LCD panels last month, and LG Display has recently stopped part of its 7.5th and 8.5th generation LCD panels. production line.
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