South Korea's giant display giant LG is planning a huge investment to build a new factory producing LCD panels and LED backlighting products.
According to the Korea Daily, LG plans to invest 4 trillion won (about 3.34 billion U.S. dollars) to build a new factory for the manufacture of LCD glass substrates and LEDs. The factory will be established in Paju, Gyeonggi-do, South Korea, with an area of 840,000 square meters. m, is expected to begin production of LED devices and materials by next year. By 2012, LCD glass will be produced. The key purpose of LG's establishment of a new plant is to rapidly increase the production capacity of next-generation display and lighting products to meet market demand.
LG Innotek, a subsidiary of LG responsible for LED business, will invest 10,000 won by 2012. LG Innotek will use the new plant to produce LED-backlit BLU and lighting products. The first batch of products is expected to start production in May next year.
The new plant will be able to increase LG Innotek’s existing LED production capacity by a factor of 4. It is estimated that it will generate 1.5 trillion won (about US$1.25 billion) in LED revenue each year, and it is expected to account for 10% of the global LED packaging market by 2012.
LG officials stated that the new plant will create one-stop manufacturing solutions for next-generation technologies, including R&D, devices and devices, and LCD panels. “LG Chem and LG Innotek will be responsible for the production of glass substrates and components such as LED backlights, and LG Display will be responsible for the production of LCD panels. The mass production of LCD glass substrates and LEDs will help LG build stronger in the components and materials industry. The competitive position will also enhance our competitiveness in the display and mobile phones."