As a direct consequence of the Covid ‑ 19 pandemic, like Samsung Display, the screen manufacturer LG Display announces the postponement of the shutdown of the LCD.
The coronavirus crisis, with its multiple lockdowns and curfews, will have had as a main corollary for everyone to spend much more time at home. Deprived of outings, consumers have therefore equipped themselves more than usual with electronic goods, particularly in terms of television sets to take advantage of a larger screen and advanced Smart TV functions (streaming).
Surprise LCD panel shortage in 2020
As a result, TV sales experienced remarkable growth in 2020, resulting in tensions over the supply of LCD panels. Indeed, the gradual withdrawal of Korean manufacturers Samsung Display and LG Display (see our Samsung Display news: LCD shutdown at the end of 2020 and focus on QD Oled and QNED and CES 20 technologies> LG Display will stop LCD production in South Korea from the end of 2020) led to shortages of slabs, therefore an increase in prices (+ 30% in the third quarter compared to the previous quarter and the increase has continued since), while the latter had been trending down for several years with the arrival on the market from Chinese manufacturers.
LG Display LCD production doubled in 2021
At the request of their respective sister company Samsung Electronics and LG Electronics, in charge of marketing televisions, the Korean LCD panel producers have therefore reviewed their strategy by deciding to continue manufacturing LCD TV panels for about a year. . To, on the one hand, meet the demand for panels from Samsung and LG (number 1 and 2 in the TV market, it should be remembered), on the other hand, to benefit from this new found profitability. As a result, the P7 and P8 LCD panel manufacturing lines at the Paju plant will undoubtedly post their best production figures in 2021 since their start-up, and around double that in 2020. This shows the needs. from LG Electronics.
Our Korean colleague The Elec specifies in its columns that “LG Electronics initially expected to source IPS panels from Chinese manufacturer HKC and Taiwanese Sakai SIO (formerly Sharp factory acquired by Foxconn)”.