Unpredictable demand for LCD panel
The large-size LCD market experienced severe shocks. The freight volume in March and April hit a new high this year, but suddenly dropped in May. In the past, most of the 1st quarter of the market cycle was the off-season, and gradually recovered afterwards. Unexpectedly, this year deviated from the norm, and the industry sighed that it was difficult to predict the trend this year.
In March, shipments of LCD panels over 9 inches totaled 12.5 million units, a record high for single-month shipments. In April, the number of LCD panels decreased slightly to 12.3 million. However, the LCD industry still stands out with an annual growth rate of 11%. The industry is optimistic that the market will soon recover. Su, unexpectedly in May's situation, China's TV market, the world’s largest TV market, saw a 13% year-on-year reduction in TV sales. In the past, 51 was the highest peak in China's demand for television. Manufacturers made big sales promotions and push new products. Unexpectedly, sales this year were unsatisfactory. South Korean industry sources revealed that panel shipments have dropped significantly last month, and operators have begun to adjust production capacity.
Insiders pointed out that the shocks in the past few months have been extremely severe, affecting the amount of parts purchased, and can no longer count on tablet PCs. Ultra-high resolution (UHD) TVs and smart phone panels can dominate the future growth of the LCD market. The industry predicts that the price of LCD panels will drop slightly this month. Panel makers will adjust their shipments and reduce the purchase of parts, which will affect upstream and downstream industries.
The slowdown in the growth of the Chinese market in recent times was mainly due to the fact that sales growth has been particularly bright in the first half of last year because the government subsidy program was about to end (the base period was too high). In addition, China is gradually shifting towards the big screen market. In the first quarter of this year, 50吋 increased by 20% on large-screen shipments, and its growth rate was more than double that of last year.
However, the supply and demand of traditional monochrome LCD screens continued to be steady, and there was no big ups and downs.