The LG Display (LGD) Guangzhou 8.5-generation OLED panel production line project with an investment of 46 billion yuan will be put into production in the third quarter of this year. On the evening of February 18, Sun Yongzhen, vice president of global public relations of LGD, revealed in an exclusive interview with the first financial reporter that the project will reach the design capacity of 60,000 substrates per month by the end of 2019. LGD global OLED TV this year. Panel shipments will increase to 3.8 million units.
Recently, the craze of collapsible mobile phones has triggered external attention to OLEDs. In the large-size OLED field, OLED TV has been launched in the market for about six years, but the penetration rate of China's OLED TV is still lower than that of developed countries such as Europe and the United States.
Previously, there was only one 8.5-generation OLED panel production line in the world, and the LGD factory in South Korea. Guangzhou 8.5-generation OLED panel production line is the world's second and China's first 8.5-generation OLED panel production line. Its production this year will ease the current shortage of OLED TV panels, and will accelerate the promotion of OLED TVs in China.
As an OLED TV panel supplier, LGD shipped 2.8 million OLED TV panels worldwide in 2018. Sun Yongzhen said that this year LGD's OLED TV panel shipments target is 3.8 million. This means that it will grow by 35.7% year-on-year.
Guangzhou 8.5 generation OLED project will become a new force. By the end of 2019, Guangzhou's 8.5-generation OLED project will produce 60,000 substrates per month, increasing LGD's monthly OLED substrate production capacity to 130,000. Each substrate can cut 6 55-inch OLED TV panels. According to this calculation, the LGD Guangzhou 8.5-generation OLED project can produce 360,000 55-inch OLED TV panels every month at the end of this year.
This has led to the expansion of the Chinese OLED TV manufacturers' camp. Sun Yongzhen said, "The sales of OLED TV panels in the Chinese market account for about 10% of LGD's global OLED TV panel sales. After Skyworth, Konka, Changhong, etc., Hisense will also launch OLED TVs this year. With Hisense, OLED TVs Sales in the Chinese market will have good expectations."
Chinese consumers are accepting new technologies very quickly, but China's OLED TV market is slower than some developed countries such as Europe and the United States. “With the Guangzhou plant put into production, the market share of OLED TVs in China will also increase.” Sun Yongzhen is looking forward to this.
Dong Wei, vice president of Avi Cloud (AVC), predicted that with the upgrade of consumption and diversified demand, by 2020, the market size of high-end color TVs with a price of over 8,000 yuan in China will reach 2.8 million units, of which 2020 will be sold in China. Breaking through 1 million units.
At the 2019 CES (Consumer Electronics Show) in January this year, LG released a commercialized rollable OLED TV, which attracted industry attention. Sun Yongzheng revealed that after the launch of the new LGD Guangzhou plant in the third quarter of this year, the exhibition hall will also exhibit a curlable TV. Previously, LGD has built a 8.5-generation liquid crystal (LCD) panel production line in Guangzhou. He believes that the 8.5-generation OLED production line will be put into production and will make new contributions to the local area.
In recent years, Chinese panel factories have risen rapidly. Sun Yongzhen said that China's liquid crystal (LCD) panels are developing rapidly and have been investing heavily in LCDs, resulting in oversupply of LCD panels. The cost control of LCD panel in China panel factory is better. LGD does not have the advantage in the cost of LCD panel. The advantages are in ultra-large size, ultra-high-definition panel and commercial display. Therefore, LGD will switch to OLED.
After mass production of the 8.5-generation OLED project in Guangzhou, LGD will increase its OLED panel production capacity of 30,000 substrates per month in Guangzhou according to market conditions. At the same time, Sun Yongzhen revealed that LGD is still preparing to invest in the 10.5 generation OLED panel production line in South Korea.
In the field of small and medium OLED panels, another Korean panel giant Samsung is one step ahead of LGD. LGD is now actively working in the small and medium OLED field. For the current hot OLED collapsible mobile phone screen, Sun Yongzhen revealed to the First Financial Reporter that LGD has been preparing and developing, and has been communicating with end customers, and the terminal customers are also watching Samsung and Huawei launch folding mobile phones. "We have been doing technical research and will do some results on small and medium OLEDs this year."
