TCL to Build World's Largest LCD Panel Factory in China

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Thumbnail image for tcl_lo10.jpgTCL has announced that its subsidiary China Star Optoelectronics Technology Co. (CSOT) will soon begin building a new Gen 11 LCD panel factory in Shenzhen, China. TCL says the new plant will be the world's largest LCD panel factory, and it will focus on producing larger-sized panels, with screen sizes of 65 inches and up. The Gen 11 plant will reportedly cost $7.8 billion.

From TCL
TCL is positioned to maintain its leadership and add even more large size TVs to its award-winning lineup. China Star Optoelectronics Technology Co., Ltd. (CSOT), a leading TV panel supplier and a subsidiary of TCL Group, will soon begin construction of the world's largest Gen 11 LCD panel fabrication plant in Shenzhen, China. The plant, estimated to cost $7.8 billion, will produce extra-large high-resolution flat panel displays targeting 65" and larger LCD TV markets. When complete, the new production line will surpass BOE's Gen 10.5, which started construction in December 2015, in terms of generation and investment, marking a new milestone in the display area for CSOT.

This new production capability adds to TCL's continued investment in making CSOT, which first began production in 2009, one of the world's leading panel factories. CSOT currently runs two Gen 8.5 lines which are ideal for producing panels as large as 55", while the Gen 11 higher-generation production lines offer great efficiency for larger-size panels. With the over-supply of traditional panels through competitors' Gen 8.5 capabilities and few suppliers with large size capabilities, the decision to build a Gen 11 fab was born.

"As TCL grows rapidly in the U.S., the expanded capabilities of CSOT are critical in helping us keep up with demand," said Chris Larson, vice president, sales and marketing, TCL. "We already benefit from a vertically integrated supply chain that gives us cost advantages over our competitors, and this investment will allow us to take a leadership position in large size TVs."

While the growth rate of traditional displays is slowing down, there's a huge demand for large-size high resolution panels. The global market has seen the mainstream TV size shifting, with demand for large-size TVs estimated to grow at an annual rate of more than 20 percent. Although displays bigger than 55" account for only 10 percent of today's TV market, the prospect of extra-large LCD panels is promising, and large-size high-resolution TVs will soon be mainstream. Upon completion, the Gen 11 panel fab will allow TCL to meet the needs of consumers in this emerging segment.

Additional Resources
TCL Launches Premium Roku TV Models at HomeTheaterReview.com.
CES 2016 Show Report and Photo Slideshow at Home TheaterReview.com.


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