The challenges of lacking core technology and low screen quality once concerned mainland LCD TV manufacturers. However, this situation is rapidly evolving, with mainland panel producers expected to take a strong global position by 2019 due to their growing production capacity. According to data from the first half of 2017, the global display industry generated $49.7 billion in revenue, up 11% year-on-year, while shipment volume reached 96.49 million square meters, an increase of 17%.
Mainland panel manufacturers have been expanding their production capabilities through multiple high-generation lines. In the same period, domestic panel shipments totaled 31.82 million square meters, accounting for 33% of the global total. By 2019, it's anticipated that China will lead the world in panel production.
*China’s LCD Panel Strives to Be the First in the World in 2019*
According to a report by IHS Markit, a renowned British research firm, in February 2017, BOE (Business Electronics Corporation) surpassed LG Electronics, securing a 22.3% global market share in LCD panels, becoming the top display panel supplier. The top five panel suppliers globally are: BOE (22.3%), LG (21.6%), AU Optronics (16.4%), Innolux (15.7%), and Samsung (9.9%).
BOE and Huaxing Optoelectronics are currently constructing some of the most advanced panel production lines. BOE plans to launch its 10.5-generation line next year, while Huaxing Optoelectronics’ 11th-generation line is set to go online in 2019, making it one of the most advanced facilities in the world. These developments are expected to solidify mainland China's position as the leading global panel producer.
The panel industry is highly capital-intensive, and investment heavily influences growth. With government support, mainland manufacturers can benefit from subsidies. Meanwhile, South Korean companies may shift more resources toward OLED technology, especially Samsung, which already has a strong foothold in small-size OLEDs. Taiwanese manufacturers face similar challenges to Japan, with limited funding and slower development.
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