Chinese LCD panel manufacturers are raising prices for TV and monitor screens, a shift that will likely increase costs for consumers buying large-screen displays. BOE, TCL CSOT, and HKC have notified major buyers, including Samsung, LG, and Sony, of these increases. This move signals a tightening supply market where panel makers are prioritizing profit margins over volume growth.
Chinese panel giants BOE, TCL CSOT, and HKC are increasing costs for TV and monitor manufacturers
The three Chinese firms control 70 to 85 percent of the global market for 65-, 75-, and 85-inch TV LCD panels. Samsung Display exited LCD production in 2022, and LG Display sold its Guangzhou facility, leaving these three companies with dominant market share. This consolidation gives them significant leverage to set prices without fear of losing customers to competitors.
BOE plans to introduce new pricing structures in the fourth quarter of 2024. TCL CSOT and HKC are raising prices for selected products starting in September. These increases are not driven by capacity shortages, as some fabs operate at only 70 percent utilization. Instead, manufacturers are limiting production to avoid oversupply and support higher prices.
The price hikes affect both the Chinese domestic market and global supply chains. Major TV makers are the primary recipients of these notices, but the trend may ripple through the PC monitor market as well. Buyers should expect higher retail prices for large-screen displays in the coming months as manufacturers pass on these increased component costs.
Source: NotebookCheck
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