Large-sized TFT-LCD Shipments Drop 13% MoM in Jan.: WitsView

Global shipments of large-sized (larger than 10-inch) thin film transistor-liquid crystal display (TFT-LCD) panels totaled 64.07 million units in January, down 13% month-on-month (MoM), with most makers' shipments having dropped except Samsung, BOE OT, and Sharp, according to WitsView.

LCD TV panel shipment in January declined 12% MoM to 17.41 million units, due mainly to the slow-season effect and TV vendors having stopped restocking parts to prepare for peaking sales during the Chinese Lunar New Year holidays, said WitsView, the display research division of the global intelligence provider TrendForce.

WitsView's senior research manager Jeffy Chen pointed out that Taiwan pulled ahead global counterparts in the 2013 4K2K, or UHD (Ultra High Definition), TV panel segment, and enjoyed a combined market share of 76%. In addition to being the earliest players to push 4K2K TV panels, Taiwanese companies pioneered to launch under-50-inch 4K2K TV panels, which perfectly meet rapidly increasing and strong demand from the Chinese market. From January 2014, Chen said, a group of global suppliers began small-volume shipments of their under-50-inch 4K2K TV panels, including AUO (42-inch), LGD (49-), Samsung (40- and 48-), CSOT (49-), which would elevate the shipment ratio of under-50-inch products to about 34% (of the overall 4K2K TV panels) from 26% in December 2013. Chen believes the increasingly fierce market competitions in the new segment would accelerate the price falls of medium-sized 4K2K TV panels, which is expected to help drive market expansion of such products.

January shipments of information technology (IT) panels dropped 9% MoM to 12.52 million units. All sizes saw shipment declines, except 23.6- and 24-inch products, WitsView said. Notebook PC panel shipments declined 9% MoM to 14.83 million units; while due to panel suppliers' cautiousness, the supply of 15.6- and 14-inch notebook PC panels still faced shortage. After a demand peak in the fourth quarter of 2013, major vendors such as Apple, Amazon, Google etc. began adjusting their parts inventory, while demand for Chinese white-brands slowed down, leading to a 20% MoM decrease in tablet panel shipments, which was 19.34 million units.

Chen said that most makers' panel shipments in January showed drops except Samsung, BOE OT, and Sharp. He explained that Samsung was supported by the strong demand for panels used in own-brand TVs and the Galaxy tablet PCs. BOE OT won Samsung's order for panels used in low-end tablet PCs; while Sharp received increased demand for higher-end TV panels from Korean customers. In the first month of this year, the three companies enjoyed MoM shipment growths of 9%, 24% and 11%, respectively.