'The actual investment burden of Chinese companies is only about 20%'. A Japanese technician who jumped to Huaxing Optoelectronics pointed out that in China, local governments provide financial support to the land-based panel factories through government industry funds, according to the Nikkei Chinese. The actual visit of the network found that from TVs, mobile phones to organic EL panels, the land plant can receive policy subsidies of up to several hundred billion yen.
In spite of this, mainland panel makers have always been criticized by the market due to their lack of technical capabilities and low product yield. Although these panel makers have opened production capacity, many of the products produced by the panel maker are not favored by the market and they are not even marketable. .
However, Tianma Microelectronics' second plant in Xiamen, which was put into operation in 2016, also fell into this dilemma. Products were returned due to poor yields by many mobile phone brands. It was not until Tianma transferred technicians from NEC panels to upgrade the plant. Technology and Product Yield. NEC sold small and medium size LCD panel subsidiary NEC LCD to Tianma Microelectronics in 2011.
"From the beginning of a year ago, the yield rate (product yield) has improved drastically. We have finally achieved full-load operation, and the ordering of components has also reached a higher level," a salesman at a Japanese company said with relief. This Japanese company Is the liquid crystal panel component supplier of the second factory in Xiamen, China Tianma Microelectronics.
Mainland China's panel makers have gradually gained control over their production technology because of their huge capital and their advantages in advancing. Japanese media said that for Japanese, Korean and Taiwanese manufacturers such as Sharp, Samsung and AUO, it is naturally a major threat. In addition, the land plant will continue to grow over the next 2 years. Starting a new plant, with the increase in product yield, is also expected to increase product competitiveness.
However, Japanese media pointed out that the major customers of the products of the mainland panel makers are still Huawei-based mobile phone brands, which are actually a major weakness in the business.
In the past few years, the mainland smart phone market has grown rapidly and the local brand market has a high market share. Mainland panel makers such as BOE and Tianma have benefited from this, and their shipments have increased. But nowadays, with the slowdown in the growth of the smart phone market, panel makers The capacity has been continuously expanding and it has fallen into oversupply.
Japanese media believes that the future of land plants in Japan, the United States and South Korea and other foreign mobile phone brands will affect their growth.