Car panel price diving | profitable test

With the automotive electronics, the number of panels used in each vehicle has also risen, driving the demand for automotive panels to maintain double-digit growth every year. The output value has even surpassed that of the Mobile PC, making it the second-largest application in the mid- and small-size panel market. However, the mainland, Korean panel makers have joined the market for car panel panels, and the market competition has become increasingly fierce. Panel makers pointed out that the price of on-board panels has dropped by as much as 20% to 30% this year, and the time for product introduction into depots has also been shortened, and profits have been tested.

According to IHS Markit statistics, the total mobile phone panel shipments exceeded 20 billion units in 2018, which is the largest application market for small- and medium-size panels. The number of in-vehicle panel shipments is less than 200 million units a year, and shipments are less than 10 points for mobile phone panels. No.1, not comparable to the Mobile PC, but because of high quality requirements, high unit price, and its output value exceeds that of the Mobile PC, it has become the second largest application in the small and medium size panel market. It used to be regarded as the blue ocean market in the panel industry.

In recent years, the growth of consumer products such as TVs, monitors, laptops, and even mobile phones has been dulled. In-vehicle panels are a few applications that can maintain double-digit growth.

In addition to the growth of the market, the quality requirements for on-board panels are high, and the lead-in time is long. For panel makers, the unit price is higher and the profit is better. Once imported, the order shipment time may be as long as 7 to match the automotive product life cycle. 8 years.

However, in the past, the market for car panels dominated by panel makers in Japan and Taiwan had a stable market ecology after Korea and mainland panels joined the war. Especially in the first half of this year, the TV panel market was very sluggish, and the demand for IT panels and mobile phone panels was weak. More 5 generations, 5.5 generations, and even 6 generations of panel plant production began to produce on-board panels, resulting in a significant increase in the price of on-board panels. The panel maker revealed that since the beginning of the year, the car panel has been scored 20% to 30% in one go, allowing panel makers to profit. Faced with a great test.

The supply chain pointed out that the automotive industry is now becoming more and more electronic. The number of sensors and panels used in each vehicle is increasing, and vehicle electronics is gradually becoming platform-oriented. Standards are formed, so the replaceability of parts on the vehicle is improved. In the past, the lead-in period for on-board panels was two to three years, and now it is often less than a year before it can be certified for volume production. Moreover, the quality of the mainland panel factory also comes up and the price is low. Depots and system factories are also willing to compare prices. The blue sea of ​​the panel turned red sea, and the era of high profits has passed.

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