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LG Display issued a clarification announcement and has not yet made a decision to sell the Guangzhou LCD factory
LG Display issued a clarification announcement and has not yet made a decision to sell the Guangzhou LCD factory
According to reports from Korean media Chosunbiz and the Financial Times, LG Display recently issued a statement saying that they are currently evaluating the future of LCD strategic assets including the Guangzhou LCD factory. However, they have not yet made concrete decisions or plans to sell these assets. LG Display is seriously considering this strategic move but has not yet made a decision on its final course of action. LG Display’s decision may have a significant impact on the company’s future development, so they are conducting in-depth research and evaluation on this issue. Regarding the future of the Guangzhou LCD factory, LG Display will continue to pay close attention to market dynamics and company strategies to ensure that it makes decisions that best serve the company’s interests. Public information shows that LG Display currently has two LCDs, GP1 and GP2, in the Guangzhou factory. The production lines have production capacities of 100,000 pieces and 200,000 pieces respectively, for a total of 300,000 pieces.
With the rise of display companies in mainland China, LG and Samsung have gradually shrunk their LCD panel business, reorganized their business structure, and focused on the more profitable OLED field.
LG Display has ended the production of large LCD panels for TVs in South Korea at the end of 2022. According to sources cited by market research company DSCC, China Star Optoelectronics may acquire LG’s Guangzhou LCD factory. Previously, the company acquired Samsung's 8.5-generation LCD factory in Suzhou, China, another Korean display company, in 2021.
Since the above-mentioned time point, Samsung’s display panel business has withdrawn from the field of LCD panel production and currently mainly purchases the required LCD panels from LG and Chinese manufacturers. Last year, Samsung increased the proportion of orders to LG, which is considered one of the reasons why LG Display will return to profitability in the last quarter of 2023.
According to previous reports on this site, Samsung intends to indirectly control LG Display’s Guangzhou LCD factory through CSOT.
The above is the detailed content of LG Display issued a clarification announcement and has not yet made a decision to sell the Guangzhou LCD factory. For more information, please follow other related articles on the PHP Chinese website!
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