The multiple adjustments of tariffs on LCD panels are related to industry investment. The domestic LCD panel giants are the ones with the highest tariff increase. BOE even proposed a plan to increase from 3% to 8%-10%. However, some research institutions believe that frequent adjustment of tariffs is a "double-edged sword." Although the domestic panel industry can be protected in the short term, the whole enterprise will often pass on the increased cost to the consumers, which may lead to a slowdown in LCD TV sales, which will damage the entire LCD panel industry chain.
The LCD panel industry entered the industry's deep losses in the second half of 2010, including all panel companies in South Korea and Taiwan's LCD panel giants, which have suffered losses, while gross margins have fallen sharply to single digits. A new tariff increase of 2% means their survival line. It has been pulled down again, and it is inevitable to invest and build factories in the mainland.
It is understood that South Korea's Samsung in Suzhou, LGD in Guangzhou, and Taiwan's AU's three 8.5-generation lines in Kunshan have been approved by the National Development and Reform Commission, but temporarily suspended due to weak market demand. Recently, it was reported that LGD plans to restart the 8.5-generation line plan during the year. These foreign counterparts who have bypassed tariff barriers will bring more competitive pressure to domestic panel makers. In the case of the overcapacity of LCD panels in the world, the possibility of Samsung and LGD to build new panel production lines in the mainland is almost zero. According to their plan, the equipment of the 8.5-generation line in Korea will be moved to China, so that no increase in production capacity can be achieved. Under the circumstance of China's tariff barriers.
For the domestic high-generation panel industry, the effect of tariff increase on LCD panels began to occur, but it was somewhat different from its original forecast. Judging from the current domestic LCD panel industry, the situation faced by BOE with a loss of 3 billion yuan last year is the most difficult. The capacity utilization rate of the Hefei 6th generation line, which was put into operation in November 2010, has not yet exceeded 50%. The 32-inch and 26-inch LCD TV panels produced are still in the stage of sampling and trial for domestic TV manufacturers, while the Beijing 8th generation line The same is true.
Huaxing Optoelectronics, which has downstream TCL multimedia demand support, is better. TCL multimedia sources said that according to group planning, TCL multimedia LCD TV shipments will reach 14.5 million units this year, of which about 5 million 32-inch LCD TV panels will be purchased from Huaxing Optoelectronics. Huaxing Optoelectronics plans to reach 100,000 pieces of monthly design capacity by the end of the year, and the total panel shipments in 2012 will reach 6-8 million pieces. In addition to TCL Multimedia, the panel of LCD TVs sold by Samsung Electronics, which accounts for 15% of Huaxing Optoelectronics, in China will also be partially supplied by Huaxing.
Even so, domestic panel makers such as Huaxing Optoelectronics and BOE still need to upgrade their product structure. Foreign countries, especially Korean panel makers, have completed layout and development in areas such as LED backlights, 3D panels, and 4K*2K ultra-high-definition panels. A lot of new size panels are produced, and BOE's current panel size is still 32 inches, 46 inches, 55 inches and other conventional sizes. When domestic LEDs and 3D TVs are rapidly popularized, domestic panels need to be improved in product layout.
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