The rapid growth of investment in the display panel industry in China has benefited from the vastness of the Chinese market. Investors are extremely optimistic about the panel industry. On the other hand, it comes from local governments' strong support for the panel industry, and also offers a large number of preferential policies in land and taxation. In the first half of 2017, the shipment volume of domestic LCD panels reached 31.82 million square meters, accounting for 33% of the world's total. It is expected to be ranked first in the world in 2019.
China's LCD panel production capacity is expected to rank first in the world in 2019
In addition to the LCD panels, China is also narrowing the gap between its production capacity and shipments of small and medium size AMOLED panels. Foreign media predicts that the annual production capacity of small- and medium-sized AMOLED panels of Chinese panel makers will grow at a compound annual growth rate of 76%, reaching 11.31 million square meters in 2022, accounting for 33.4% of the world's total production capacity, second only to South Korean panel makers.
China's first flexible AMOLED production line will be mass-produced in 2017
On October 26, 2017, BOE Chengdu Flexible AMOLED Sixth Generation Line announced mass production. This is China's first flexible AMOLED production line and the world's second-generation 6th generation flexible AMOLED production line. The landing of the production line means that it has broken Samsung’s long-term monopoly on the small-size OLED market. It also indicates that more domestic mobile phone products will be able to use OLED screens in the future. By 2021, BOE's AMOLED panel production capacity is expected to exceed LG Display, becoming the world's second largest supplier.
There will be more domestic mobile phones that can use OLED screens in the future
Currently BOE has delivered customers including Huawei, OPPO, VIVO, Xiaomi, ZTE, Nubian and more than a dozen manufacturers. In the future, more domestic mobile phone brands will be able to use OLED screens. At present, BOE is actively upgrading its production capacity, and all its new expansion projects can be supported by local governments. In 2022, the production capacity of small-sized AMOLED panels will reach 20% of the global production capacity, becoming a major supplier to international smartphone manufacturers.
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