sva tft lcd color tv made in china

The LCD panel industry was included in China"s Eleventh Five-Year Plan, and China"s LCD market is already among the fastest-growing in the world. These factors have stimulated the growth of the TFT-LCD panel industry in China.

SVA-NEC has a solid downstream foundation in the industry chain, and since the establishment of its 5G production line has been expanding its upstream operations. SVA-NEC has maintained firm relationships with Japanese companies and therefore has been able to form partnerships with upstream and downstream companies through the establishment of joint ventures. In this manner, the company has already begun tapping core technology. Particularly notable is its relationship with NEG to establish - after setting up two production lines - a glass substrate furnace in Shanghai, which is projected to help reduce production costs in the future. SVA-NEC has also partnered with Fuji Photo Film to create China"s first large format color filter production facility and partnered with IVO partner MindTech on LCM (LCD Module) projects in Kunshan and Shanghai. All of these initiatives are expected to strengthen SVA-NEC more competitiveness in the LCD panel industry.

All of SVA-NEC"s technology comes from NEC, and although NEC is one of Japan"s five largest LCD panel manufacturers, LCD production is no longer among the company"s core operations and its technology has started to lag behind the competitors. SVA-NEC is also lacking competitiveness in terms of R&D investment, R&D capabilities, and specialized technology. Meanwhile, SVA-NEC is also limited by NEC"s background, which forces the company to import equipment and materials and drives up costs. Financially, SVA-NEC is hovering on the brink of profitability.

BOE obtains its technology mainly from BOE Hydis, which is one of Korea"s top three LCD panel manufacturers. BOE has one of China"s only three 5G production lines, and its subsidiary TPV is the world"s largest monitor ODM manufacturer. However, BOE is still one or two generations behind Japanese, Korean, and Taiwanese panel manufacturers and has relatively limited production capacity since it is a latecomer to the industry. Furthermore, an excess of global production capacity and falling prices have hastened BOE"s descent into unprofitability.

BOE, SVA-NEC, and IVO all have a 5G TFT-LCD production line and a monthly capacity of 90,000, 80,000 and 30,000 units respectively. However, the continually falling LCD panel prices have put the three companies in dire straits.

In late 2006, the three companies decided to merge, but because of difficulties relating to shareholding structure, the merger has been pushed back from June 2007 to the third quarter of 2007. At any rate, the merger is expected to help China"s TFT-LCD panel industry found economies of scale while reducing the financial and technological risks associated with building a next-generation production line. It is also expected to help reduce costs in component procurement. Whether or not the merger will ultimately succeed, however, remains to be seen.

This report looks at the current development of Chinese TFT-LCD panel manufacturers SVA-NEC and BOE, focusing on the aspects of R&D, production and distribution, product lines, and industry chain deployment.

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In China. The biggest LCD panel manufacturer in the world now.  BOE has G4 (Chengdu), G5 (Beijing), G5.5 (Ordos), G6 (Hefei, Chengdu, Mianyang, Dalian), G8 (Beijing, Hefei, Chongqing), Fuqing, Dalian, Chongqing) and 10.5 (Hefei) production lines.

In China. It was joint ventured by TCL and Shenzhen Government. It mainly focusses on TV and cell phone screens. It has G6 (Shenzhen), G8.5 (Shenzhen, Suzhou,Wuhan) and G11 (Shenzhen) production lines.

In China. It was joint ventured by TCL and Shenzhen Government. It mainly focusses on TV and cell phone screens. It has G6 (Shenzhen), G8.5 (Shenzhen, Suzhou,Wuhan) and G11 (Shenzhen) production lines.

In Taiwan. One of the daughter company of Foxconn/Hon Hai.  In 2010, it bought the then famous LCD manufacturer, ChiMei, then changed its name to Innolux. It has G7.5 production lines.

In Korea and China. It is used to be the 2nd biggest TFT LCD manufacturers. LG also planned to stop the production but delayed the plan after the price increased. LG has G7.5 and G8.5 (Guangzhou) production lines.

In Korea. It used to be the biggest TFT LCD manufacturers before it was dethroned by BOE in 2019. Because of tough competition, Samsung planned to stop the production in 2021 but delayed because the price increase during the pandemic.  Samsung has G7 and G8.5 production lines.

In Japan and China. The pioneer and queen of LCD industry. Because of high cost and tough competitor, Sharp was acquired by Foxconn/Hon Hai in 2016. Sharp has G8, G8.5(Suzhou), G10, G10.5 (Guangzhou) production lines.

In China and Japan. In 2011, Tianma acquired 70% share from NEC to rename as “NLT Technologies”. Tianma has G4.5 (Shanghai, Chengdu, Wuhan), G5 (acquired from SVA: SVA Information Industry Co.,Ltd.). G5.5 (Xianmen, Shanghai for AMOLED),  G6 (Xiamen, Wuhan for AMOLED).

TOKYO, November 10, 2003 - NEC Corporation (NEC) and SVA (Group) Co., Ltd. (SVA) today announced that the two companies have established a TFT LCD joint venture company in Shanghai, China, "Shanghai SVA NEC Liquid Crystal Display Co., Ltd."

Shanghai SVA NEC Liquid Crystal Display Co., Ltd. will plan, develop and manufacture TFT LCD panels and modules for PCs, monitors and TVs, while focusing on China"s huge market as its main sales target. The joint venture company is the first facility in China that will be capable of handling every aspect of TFT LCD manufacturing from the initial array and cell process to the final production line phase.

The new company"s capital totals 50 billion yen (controlling share, SVA Group: 75%, NEC: 25 %.). With capital expenditure forecast at 85 billion yen, a state-of-the-art fifth-generation production line (glass base: 45 thousand sheets per month) with a large-size glass substrate of 1,100mm x 1,300mm, is scheduled to begin operation in October, 2004. The facility will employ an initial workforce of approximately 1200 staff.

In April, 2003 NEC separated its LCD business by way of corporation separation and established a new company, NEC LCD Technologies Ltd. (NEC LCD Technologies). NEC LCD Technologies develops, designs, manufactures and sells color LCDs.

The company focuses on providing TFT LCD solutions designed to meet the requirements of industrial and high-value added display applications. For commodity products, NEC aims to strengthen its business model by carrying out product development, production and sales through the new joint venture company in China.

Holding company for companies that perform product development, manufacturing and sales of household electric appliances, home communication terminals and CRT, PDP, STN LCD displays

SVA (Group) Co., Ltd. (SVA) was founded in 1995. Today, SVA is the largest electronics group in China. It has over 20,000 employees worldwide, R&D in US, China, and Taiwan, and production facilities in China, Argentina, and South Africa. International Corporate Partnerships with fortune 500 companies include Hughes, InFocus, JVC, Kenwood, Motorola, National, Samsung, Sharp, Siemens, SONY, Toshiba, and VDO. For more information, please visit the SVA home pages at: http://www.sva.com.cn

The economic rebound in the first quarter of 2009 was mainly due to LCD TV. The economic recession of Europe and America will only make consumers reduce the consumption on such necessities in the late phase. Although Europe and America suffered economic recession, the market shares of LCD TV did not fluctuate much because of manufacturers’ promotion strategies, WON depreciation and further development of LCD TV in the first quarter of 2009. With the push of China and other emerging countries, the market rebounded significantly. Japanese enterprises were panicked and reduced production greatly when economic recession arose, resulting in short supply. This strong rebound was still lack of powerful support, especially in emerging countries. In China, when the property market begins to rebound, real estate sales will promote the consumption on home appliances. In the mid and late rebound phase of the property market, consumers will wait and see, and real estate sales will decline, so that home appliances consumption will also drop. The unemployment rate is still rising in Europe and America and economic recession has not ended, so if consumers are aware of the fact, they will certainly cut expenditure.

From Q1 2005 to Q4 2010, the fluctuation of TFT-LCD industry seems to be magnified, but the fact is not. The global economy has experienced the most significant recession since the Great Depression in 1929. TFT-LCD industry is the upstream of consumer electronics and IT industry, and the two industries always follow the trend of the global economy. Excluding external factors, the fluctuation of TFT-LCD industry is lessened, especially the extent of decline shrinks, which is because LCD TVs develop rapidly, IT industry is relatively stable and notebook computers develop well. Before 2000, 80% of TFT-LCDs were used in notebooks, thus on which TFT-LCD industry was highly dependent, and then TFT-LCD industry fluctuated a lot. In the future, LCD TV industry, Netbook industry and LED notebook industry will enter the mature stage, which will make TFT-LCD industry tend to fluctuate less, but on the other hand, the industry will lack growth momentum.

TFT-LCD industry relies heavily on upstream raw materials and components. In the cost structure of TFT-LCD, upstream components account for 70-85%. Therefore, to be cost-efficient shall be supported by the strong upstream, but for Chinese enterprises, it is hard to do so. In many Chinese enterprises, including joint ventures, profit is often transferred to the upstream. In addition to glass substrates, Taiwan has nearly all of upstream industrial chains, which is the biggest driver for Taiwan"s success in TFT-LCD industry. TFT-LCD industry can prompt a huge industrial chain. Japanese manufacturers occupy the top position in the industrial chain, and they usually sell their technology rather than products. Almost every Taiwanese manufacturer in the upstream industrial chain has received technical support from Japan, so do South Korea manufacturers. Taiwanese manufacturers’ success lies in fast access to market through technology licensing, while Japanese manufacturers rely on supporting Taiwanese enterprises to combat South Korea rivals. Japanese manufacturers still master the upstream firmly.

According to the planning of the State Administration of Radio, Film and Television (SARFT), China in 2015 will shut down analog TV and complete the integral transition of cable TV from analog to digi...