TV panel price increase in July hits a record high in recent years, and demand is unstoppable

According to TrendForce's Display Research Division, the recent panel market demand is unstoppable. After TV panels emerged from the purchasing adjustment slump caused by the epidemic last quarter, demand quickly recovered, causing the price increase in July to be higher than expected. Except for 75 inches, the prices of TV panels of other sizes have a significant upward trend in July, among which 32 inches and 55 inches will have the opportunity to increase by 8 to 10% for the whole month. The 43-inch, 50-inch and 65-inch panels, which are also actively stocked, are estimated to increase by an average of 6 to 8%, which has become a rare prosperity in the panel industry in recent years.

Qiu Yubin, vice president of TrendForce, said that behind the bullish outlook of the overall panel market, the price differences between different suppliers and purchasing brands are also worth discussing. First of all, the difference in quotations between panel manufacturers stems from the fact that after Korean manufacturers faded out of the LCD market, the supply power of the two major manufacturers, BOE and CSOT, has expanded, so they have more say in the attitude and magnitude of price increases. In addition, observing the four major brands, Samsung, LGE, TCL and Hisense, Chinese brands have shown strong ambitions in the export market, and their stocking momentum is better than that of Korean manufacturers. Naturally, their acceptance of price increases is slightly higher than that of other competitors. After the epidemic slowed down, with the recovery of consumer market confidence and the support of brands stimulating sales, the demand for TV panels in the third quarter is safe. However, the sharp increase in panel quotations has led to a shrinking profit for brands, which may become the biggest obstacle to the continued rise in prices.

In terms of IT panels, TrendForce pointed out that although the demand is not as good as that of TV panels, it is expected to continue to perform steadily. Since the outbreak of the epidemic, notebook computers have benefited from the demand for work from home and distance education. Due to the return to school in the third quarter and the stabilization of consumer market confidence, the overall demand performance remains strong, driving the price increase of notebook panels by 1~2% this month. There are some noises of demand adjustment in the demand for monitor panels, but supported by the strong production capacity of TV panels, the panel quotations this month continue to remain the same as last month.