UPDATED. 2024-07-12 07:53 (금)
LG Display to extend LCD TV panel production in Korea by a year
LG Display to extend LCD TV panel production in Korea by a year
  • Gijong Lee
  • 승인 2021.01.09 21:18
  • 댓글 0
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Per LG Electronics’ request
Image: LG Electronics
Image: LG Electronics

LG Display will extend its production of liquid crystal display (LCD) TV panels in South Korea by a year, TheElec has learned.

The extensions comes from LG Electronics’ request as it was finding difficulty in securing sufficient volume of LCD panels.

LG Display has initially intended to halt LCD TV panel production in South Korea by the end of the 2020 while continuing production at its factory in Guangzhou, China.

But in the third quarter of 2020, LG Display decided to extend production in Korea due to high demand for LCD panels.

LG Electronics was especially focused on procuring in-plane switching (IPS) LCD TV panels. LG Display specializes in the technology __ IPS allows for wider viewing angle and color range, as is used in premium LCD TVs.

LG Electronics initially expected that it could procure IPS panels from China’s HKC and Sakai SIO (previously Sharp). But COVID-19 delayed HKC’s ramp up of its H4, 8.6th-generation (2,250mm x 2,600mm) line in China. Sakai SIO in the meantime had difficultly procuring lasses for LCD panel production. Also, for HKC and Sakai SIO, Samsung Electronics is a more important customer than LG. These issues prompted LG Electronics to ask LG Display to extend LCD production.

LG Display produces LCD TV panels at its 7th-generation (1,950mm x 2,250mm) P7 line and 8.5th-generation (2,200mm x 2,500mm) P8 line at Paju. While both lines produce TV panels, P7 makes more of them compared to P8 which focuses on IT panels. Both lines are thought to have production capacities of 120,000 to 130,000 sheets per month.

The higher than expected demand for LCD also played a part in LG Display extending LCD production in Korea. In the third quarter, panel prices increased by 30% from the previous quarter. Price continues to go up.

Not only will P7 and P8 lines extend their production, they may have even higher operations rates than before. LG Display planning to react to demand flexibly.

Samsung Display has previously said it plans to end LCD production by 2020, it continuing to produce them. It has previously said it may extend production from Samsung Electronics’ request. Samsung Display specializes in vertical alignment (VA) LCD panels.

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