Panel prices continue to rise
Global TV panel market supply/demand ratio was 2.8% in the second quarter, according to GroupIntelligence (the balance between supply and demand is 5%). Large panels of 50 inches and above are still in short supply, while small panels are in balance. It is expected that the mainstream size panel prices in April to maintain a large increase, the price increase in May will be differentiated.
Specifically, Insight expects 32-inch LCD panels to rise $6 in April, and expects prices to narrow significantly to about $2 in May as demand falls back. Expected 39.5 inches -43 inches to maintain a more than $5 increase, the increase significantly narrowed in May; The average price of 50 inches is expected to rise $11 in April and $6 in May; The average price of 55 inches is expected to rise $12 in April, and the increase in May is expected to remain larger than $5. In terms of large size panels, supply and demand continue to be tight, which is expected to maintain a large increase of around $10 in April-May.
More than that, other LCD application scenarios continue to increase prices. Group Intelligence believes that driving IC supply shortage and SDC shutdown on the global display panel market caused by the shortage of continued significant impact, March-April brand and second-tier market panel prices have shown an expanding trend of increase. The second-tier market is particularly obvious. The supply of some specifications products in the second-tier market is obviously insufficient and the price stall rises, resulting in a shrinking trend in the ultra-low-end terminal market. It is expected that the supply and demand of global monitor panel is still significantly tight in the second quarter, and the price of mainstream specifications will maintain a large increase.
In terms of notebook panels, Group Intelligence pointed out that in the second quarter, the epidemic brought home office and education standard case demand has not decreased, domestic and overseas market demand remains strong, terminal inventory is low, brand stocking is active, notebook panels continue to supply and demand tension, superimposed to drive the cost increase brought by IC price rise, Forecast April - May notebook panel prices continue to maintain a large increase, some specifications increase.
Domestic manufacturers hold the pricing power
It is understood that from the past industry development process, panel is a cyclical industry. In the future, as the industry's production capacity continues to concentrate on the top enterprises, the market competition gradually tends to be rational, and the industry will gradually enter the track of healthy development.
Global LCD leader BOE said in the recent survey summary, this round of panel price rebound background and characteristics of the process is different from the past cyclical rise, semiconductor display industry will go out of the cyclical characteristics in the future, but will become a certain growth industry. There are four reasons:
First, this round of panel price rise is caused by market reasons, supply reasons, technological progress reasons, high-end products and the influence of COVID-19 epidemic on consumption characteristics. There are profound internal reasons and external drivers, and this factor will still exist in the future.
Second, the obvious feature in this round of price rise is the agglomeration effect of top enterprises. Supply chain, manufacturing end and consumption end are obviously close to the top enterprises. Once the top three enterprises in the industry occupy more than 60% of the market share, the stability of the industry development will be significantly enhanced.
Third, in the next three years, the capacity increase of the semiconductor display industry is basically the same as the capacity consumption caused by technological upgrading, product upgrading, capacity withdrawal, market application expansion and other factors, and there will be no obvious capacity redundancy.
Fourth, when the characteristics of industry development turn into growth characteristics, price fluctuations will still exist, but the range of fluctuations will narrow, the time period will be longer, and the resilience of the recovery of enterprises will be significantly enhanced.
TCL Technology (9.150, -0.08, -0.87%), another domestic panel manufacturing giant, said that the overall industry's supply-side growth has slowed sharply and the supply and demand structure remains stable. Ooption head manufacturers for future expansion have an advantage, as new LCD investments are already under very strict restrictions.
