Shenwan Hongyuan Securities survey, the mainland panel prices fell sharply in the first quarter of this year, 43-inch, 49-inch and 55-inch declines were 32.37%, 24.72% and 18.60%; panel prices fell to 102 US dollars, 136 US dollars and 175 US dollars, Lower than the average panel price in 2016. April is still falling. According to WitsView's panel price report in late April, the 43-inch and 55-inch average price is US$93 and US$169 per tablet, which is more than in the first quarter. Sliding.
Xu Xingjun, an analyst at GF Securities, pointed out that in the second quarter, the global LCD TV panel market was seriously oversupply, with bear the brunt of April, and the panel prices accelerated. It is expected that the first half of the year's results will be generally not optimistic.
Quzhi Consulting analyzed that panel plant stocks were high, but demand was weak, and overall shipments were weak. Coupled with rising trade war risks, global political and economic shocks intensified, causing negative impact on the TV panel market.
Xu Xingjun believes that the overcapacity situation in the LCD panel market in mainland China is the reason for the vicious competition in the price war.
Xu Xingjun pointed out that in order to break the dominance of the LCD panel market from South Korea, Taiwan and Japan for a long time, the mainland has been pushing the country to provide financing, tax relief, and government subsidies since 2010, allowing LCD panel production capacity to shift to the mainland, and domestic terminal brands gradually Rise.
In the next five years, the world is expected to add 18 new panel production lines and the mainland will occupy 14. The mainland is expected to surpass South Korea in 2019 and become the number one producer of LCD panels.
In the process of seizing the market, the price war has been unavoidable. Mainland China BOE, China Star Optoelectronics and other mainland panel makers will inevitably seize the market share of competitors before they can gradually grasp the pricing power of products. Analysts believe that the price war At least, it will last for one to two years. It is worth noting that Korean panel makers did not fight price wars in this scramble and opened up new battlefields. The Global Times reported that Samsung, the world's largest panel maker, realized that Chinese panel makers were involved in the production of LCD panels. After that, it may lead to excess capacity, so it began to sell liquid crystal panel production lines, or transform into more advanced OLED panels.
South Korea's other large panel company, LG Display, shuts off numerous LCD production lines to produce large-size OLED panels. The report pointed out that under the pressure of the rapid display technology upgrade, Chinese panel companies will continue to invest blindly, which may cause history to repeat itself and lag behind. Korean business.