TCL Huaxing wants to make a comeback in IT and commercial panels. Recently, TCL Huaxing's 8.6 generation oxide semiconductor new display device production line project has been put into production. Zhao Jun, COO of TCL Huaxing, believes that the panel market demand is expected to return to normal in the first half of next year.
On September 29, TCL Huaxing's 8.6 generation oxide semiconductor new display device production line project (referred to as "TCL Huaxing Guangzhou t9 Project") was officially put into production.
With an investment of 35 billion yuan, TCL Huaxing Guangzhou t9 project plans to build a production line with a monthly capacity of 180,000 glass substrates. This project is also the first high generation production line specializing in the production of high-end IT products and professional display LCD panels.
Zhao Jun, COO of TCL Huaxing, said that t9 production line not only has a great improvement over the existing production line in terms of technical process, but also can make up for the shortcomings of TCL Huaxing in product structure and production line structure.
TCL Huaxing, which was founded in 2009, has established local leading advantages in TV and LTPS based on mobile applications in the past, but lacks competitive product lines in the higher-end commercial field. The production of t9 project will help TCL Huaxing to expand its business in medium-size IT panels and vehicle panels with higher added value, and improve its product matrix and business system in the full-size field.
It is known that TCL Huaxing Guangzhou t9 project can produce 6 "~100" display panels and module products, including small size products such as mobile phones, medium size products such as flat panel, laptop, car and display, large size products such as TV and commercial display, and full-size products.
At the same time, with the increasing popularity of 5G, big data, cloud computing and other new technologies, in the future 5G+AIoT and other multiple application scenarios, TCL Huaxing Guangzhou t9 project products are intended to meet the needs of differentiated products in smart home, smart office, education, smart city, smart medical and other new scenarios.
On September 26, Sigmaintell's research said that due to the continued decline in the inventory of major brands and the expansion of production cuts by panel manufacturers, the market has been expected that the price may reach the bottom and rise. It is expected that the price of large-size panels for various applications will stop falling and stabilize in stages in the fourth quarter.
In this regard, Zhao Jun believes that the stabilization of the panel market has been more obvious and certain. On this basis with the advent of the promotional season, do not exclude the possibility of the overall market even some rebound.
On the demand side, the demand for new applications is growing rapidly. Although the demand for two big applications represented by TV and mobile phone is relatively low at present, the on-board display, commercial display and public display represented by new energy vehicles, including other differentiated applications and medical display, are growing fast.
At the same time, Zhao Jun believes that "affected by the epidemic, the housing economy in 2020 and 2021 led to the concentrated outbreak of some demand, to some extent overdraft the later demand. In addition, due to the impact of the international situation of the epidemic, the overall consumer demand in the three major markets has been greatly suppressed due to their own reasons. The suppression effect is similar to the concentrated outbreak in 2020, which will be released in the future."
Zhao Jun also believes that the overall demand represented by consumer electronic panels will also show a small steady growth, growth rate of 3% to 5%, but still continue the trend of steady growth, the demand for the whole panel industry in the medium and long term is cautiously optimistic.
On the supply side, Zhao sees a growing tendency for the entire panel industry, at least the LCD panel industry, to concentrate in China. "Although the current industry panel enterprises show a trend of overcapacity, a large number of them belong to 4.5 generation lines, 5 generation lines, and even 20 years old production lines. As these lines exit, the industry will return to a healthier, more benign environment." Zhao Jun said.
Face the recovery of the overall market and the demand of niche, zhao said, "the market rebound, the market look overall demand to the downlink, but the downside is also used to demand the influence of excessive overdraw, influence the effect of the first half of next year can get the latest digestion and IT market demand relatively stable and healthy will restore to its original state, We think overall demand will return to normal in the first half of next year."
Jin Chongzhi, CEO of TCL Huaxing, said the t9 project will have an annual output value of 30 billion yuan after completion, with an estimated 350 million yuan in annualized benefits. The project will contribute an annual output value of 30 billion yuan to Guangzhou after completion. It will also drive investment in upstream and downstream industries, give full play to the industrial agglomeration effect, form a semiconductor industry cluster with an output value of 100 billion, and accelerate Guangzhou's goal of "World Display Capital".
