Samsung Display resumes construction of A5 plant

Samsung Display appears to have resumed construction of its A5 plant in Asan of South Chungcheong Province, marking a year since the construction was halted due to slow demand.

As evidence, industry sources said on Nov. 13 that a cargo crane entered the grounds of the second industrial cluster in Asan Display City, where the A5 plant was being built until construction came to a stop last year. By Nov. 15, Samsung Display is expected to install its first tower crane.

“Samsung Display placed orders for 30 tower cranes, which is enough to erect 3 to 4 buildings,” said one industry source.

The moves to resume building the A5 come following Samsung Display’s announcement last month that it would be investing 13.1 trillion won into its next-generation displays. At the time of the announcement, President Moon Jae-in and Samsung Electronics’ Vice Chairman Lee Jae-yong were present. The 13.1 trillion won will be use to transition Samsung’s Gen-8.5 LCD lines.

Meanwhile, sources say that the A5 plant can be completed next year, given that Samsung Engineering build its A2 plant in just 6 months in 2010. “The real issue is not when the plant will be completed, but what will go inside it, and when the equipment will be installed,” said another market source close to the issue.

He pointed out that Samsung Display had left its A3 plant empty for nearly 2 years after it was built.

Some believe Samsung will produce Gen-10.5 and Gen-8.5 QD Displays, or the Gen-6 flexible OLED panels from the A5. “It won’t be easy to figure this one out, even for the Samsung Display executives,” said another source.

The Elec is South Korea’s No.1 tech news platform.