According to relevant data, Taiwanese manufacturers' small and medium-sized LCD panel shipments fell 1.3% to 309 million in the third quarter, and are expected to continue to decline by 11.3% in the fourth quarter.
The continued sluggish demand for LCD panels in the field of feature phones and white-box tablets, as well as the slowdown in the inventory growth of terminal equipment manufacturers due to the expected upgrade of Sino-US trade disputes, led to poor prospects for panel shipments in the fourth quarter.
In the third quarter, panel shipments in the tablet and mobile phone sectors declined by 12.4% and 1.7%, respectively, affecting overall panel shipments in three months.
Affected by off-peak seasonal factors, shipments of tablet panels and mobile phone panels are expected to continue to fall by 20.2% and 12.7%, respectively, in the fourth quarter. Shipments of other applications, including industrial controls, office equipment, wearables and niche markets, are expected to be less affected by the seasonality of the quarter.
Although most of Taiwanese manufacturers' small and medium-sized panel shipments continued to decline in the third quarter, Innolux successfully controlled the overall trend by increasing the supply of high-end LTPS mobile phone panels, achieving a 9.3% growth.
With Innolux and AU Optronics, which have LTPS panel production capacity, the decline in shipments of small and medium-sized panels will be much smaller than those without LTPS panel capacity.