LGD Guangzhou plant’s mass production time was postponed to May, and the production target was reduced accordingly

NDRC, March 23, it is reported that South Korean Display manufacturer LG Display will send more than 100 employees to Guangzhou, China via chartered flights later this month, to make final preparations for the operation of its new OLED Panel factory. LG Display’s Guangzhou plant will start mass production of large-size OLED panels in May this year.

LG Display’s OLED panel plant in Guangzhou was completed in August last year and planned to start production. However, due to poor yield and the impact of the new crown pneumonia epidemic, LG Display’s Guangzhou plant mass production plan was postponed for half a year. In addition, industry insiders pointed out that not only did the LG Display Guangzhou plant postpone mass production, but this year’s production target will also be reduced due to the impact of the epidemic.

LG Display had hoped to start mass production in January. The goal is to produce 15,000 panels per month in the first quarter, increase to 40,000 panels in the second quarter, 55,000 panels in the third quarter, and finally reach 70,000 panels in the fourth quarter. Capacity. At present, LG Display has lowered its monthly production target and climbing speed. It is expected to reach a monthly production capacity of 15,000 yuan in the second quarter, increase to 45,000 yuan in the third quarter, and reach 60,000 yuan in the fourth quarter.

LG Display CEO Chung Ho-young said in January that it took longer than expected to optimize yield, but the company has solved the fundamental problem.

In fact, other panel manufacturers around the world may also reduce production in the first half of this year. However, it is expected to recover in the second half of the year. For example, BOE’s B17 factory’s LCD output in the first quarter will be halved compared to the original plan, with 25,000 in the second quarter, 45,000 in the third quarter, and 80,000 in the fourth quarter.

In December 2019, BOE predicted that the second quarter of this year would be 50,000, the third quarter would be 70,000, and the fourth quarter would be 90,000. CSOT has postponed the mass production plan of its 10.5 generation LCD production line T7 from September to December this year. In general, due to the coronavirus, the production of flat panel displays in new factories in China is expected to decline overall.