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Company News >> Continental Panel Quality Advances Japan-Korea Panel Factory Threatened
In the face of the recent decline in panel prices, and the slowdown of the mainland smartphone market, Japanese media said that the future performance of the Luji factories in Europe, America and Japan will be the key. However, under the policy subsidy, the land plant has been catching up with the production technology and the new production capacity will be gradually opened in the next two years, which will pose a certain threat to the Japanese and Korean panel factories.
"The actual investment burden of Chinese companies is only about 20%," said a Japanese technician who jumped to Huaxing Optoelectronics. In China, various local governments provide financial support to land-based panel factories through government industry funds. According to the Nikkei Chinese website, they found that from the TV, mobile phones, and organic EL panels, the land plant can receive up to several hundred billion yen in the policy. subsidy.
In spite of this, for a long time, mainland panel makers have been criticized by the market for their lack of technical capabilities and low product yields. Although the capacity of these panel makers is wide open, the products made out of them are not favored by the market and there is no way to sell them.
However, Tianma Microelectronics' second plant in Xiamen, which was put into production in 2016, has also fallen into this predicament, and its products have been returned by many mobile phone brands due to poor yield. Until Tianma transferred the technical personnel of NEC panel, it improved the plant's technology and product yield. NEC sold NEC LCD, a subsidiary of small and medium size LCD panels, to Tianma Microelectronics in 2011.
"From the beginning of a year ago, the yield rate (product yield) has greatly improved. We have finally achieved full-load operation and component orders have reached a higher level," a salesman at a Japanese company said with relief. The Japanese manufacturer is a supplier of liquid crystal panel components to the second plant in Xiamen, China Tianma Microelectronics.
Mainland China's panel makers have gradually begun to master production technology because of their huge capital and their advantages in the future. Japanese media said that it is a natural threat to Japanese, Korean and Taiwanese manufacturers such as Sharp, Samsung, and AUO. In addition, the land plant will open new plants one after another in the next two years. With the increase in product yield, it is also expected to increase product competitiveness.
However, Japanese media pointed out that the main products of mainland panel makers are still dominated by Huawei and other mainland mobile phone brands. This is actually a major weakness in the business.
In the past few years, the mainland smart phone market has grown rapidly and the local brand market has a high share. The mainland panel makers such as BOE and Tianma have benefited from this, and their shipments have increased. But nowadays, with the slowdown in the growth of the smart phone market, panel makers have continued to expand their production capacity and have fallen into oversupply.
Japanese media believes that how the land plant will develop the markets of foreign mobile phone brands such as Japan, the United States and South Korea will determine the key to its growth.

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