China: Paradise for Taiwan LCD makers

China: Paradise for Taiwan LCD makers

It has been pointed out by the report that these companies are gearing up to make the most of it foreseeing the China panel mart growth

Thursday, September 17, 2009

BEIJING, CHINA:With the panel market in China showing trends of an exceptional recovery of late, Taiwan-based TFT-LCD equipment suppliers are now lining up measures to compete for orders from such panel makers.

Among the TFT-LCD equipment suppliers who are looking at biting ff a major chunk of the pane market are Kenmec Mechanical Engineering, Mirle Automation and Usun Technology, said Digitimes.

It has been pointed out by the report that these companies are gearing up to make the most of it foreseeing the China panel mart growth. They in fact expect China to be their major market over the next two to three years.

Kenmec, Mirle and Usun currently boasts of major customers in AU Optronics (AUO) and Chi Mei Optoelectronics (CMO). The equipment makers are in fact pinning their hopes on bagging orders from China-based LCD players or subsidiaries located in the region. This comes at a time when the two Taiwan-based panel makers are urging the government to lift the ban on local firms investing in front-end panel production in China.

A related news report added that Kenmec has already secured orders for LCD module (LCM) and associated automation facilities from Tianma, system makers Konka and Skyworth. Kenmec has seen growing orders placed with its Suzhou plant , operating out of Jiangsu Province in China, with the total volume for the fourth quarter of 2009 through the second-quarter 2010 estimated at 300-400 million yuan (US$43.9-58.6 million).

Digitimes has clarified that China's stimulus measures have created new LCD TV demand. The market is thereby seen as growing 64.6 per cent to about 22 million LCD TVs in 2009, and to around 30 million units by 35 per cent in 2010.

Meanwhile, China-based panel makers such as BOE Technology and Info Vision Optronics (IVO) would soon start building 8.5G plants, while SVA-NEC and Tianma Microelectronics would look at upping output.

©CIOL Bureau