Today, about one-third of the global panel production capacity is concentrated in mainland China. Domestic manufacturers have initially possessed the same strength as the global panel industry leaders, and this is inseparable from the support of national policies and continuous investment. The following is an LCD industry policy and environmental analysis.
According to LCD industry analysis, LCD demand area increased by 5.7% in 2017: In 2017, large-size panel shipments of more than 7 inches (flat, notebook, monitor, TV) will continue to decline by 2.1% year-on-year. About 748 million pieces. However, with the mainstream size of TV still zooming in, the global LCD demand area will grow by 5.7% year-on-year. When calculating the oversupply index, it is also necessary to consider the cutting efficiency. From the perspective of the main large-scale production line, the cutting technology is also taken into account, and the cutting efficiency is between 85% and 96%. Considering that the cutting technology has gradually matured, the cutting efficiency is about 88% in 2015-2016, and the cutting efficiency is increased to about 90% in 2017-2019. In 2017, the oversupply index was only 2%, the lowest in recent years.
Through the LCD industry policy and environmental analysis, in recent years, the export scale of China's LCD industry has shown a downward trend, mainly due to the slowdown in the development of the global electronics industry. In 2016, the domestic LCD display industry exported 29.93 million units, down 10.98% year-on-year, and the export value was 2.13 billion US dollars, down 29.85% year-on-year. In 2017, the export volume of China's LCD industry was only 19.5 million units, a further sharp decline.
At the same time, the export value and export unit price of LCD monitors in China have also shown a downward trend. In 2016, the export value of LCD monitors in China was US$2.13 billion, down 29.85% year-on-year, while the average export price was only US$71.17 per unit. In 2017, the export value and export volume of LCD monitors in China continued to fall.
According to the LCD industry policy and environmental analysis, according to the data, China's panel supply ratio will surpass South Korea to become the world's largest panel producer in 2019. From the perspective of global LCD demand changes, global LCD still maintains a growth rate of 4.5% in 2017, and the domestic auto-supply rate of TV panels is still far from the 80% target set by the Chinese government. The localization substitution effect Continued, coupled with the continuous expansion of LCD TV size, has increased the demand for domestic LCD production capacity.
According to the area calculation, the demand side growth in the next three years is in the range of 5.0-7.0%, and the supply end 2017 is less than the same period of last year, only 2.8%, mainly due to the reduction of LCD production capacity and the investment in AMOLED production by Korean manufacturers. Among them, Samsung showed that it closed its L7-1 production line in the second half of 2016, and transferred some L7-2 capacity to produce AMOLED, and 2017 closed L6 production line; LG Display plans to gradually shift 6th generation line and 8th generation line to AMOLED production capacity. . In 2018, global production capacity expanded rapidly to 7.9%, from 2019 to 10.1%. The above is all about LCD industry policy and environmental analysis.