JDI Begins Chinese Withdrawal

The Nikkan Kogyo Shimbun, a Japanese-language paper, has published a story stating that Japan Display is to sell an LCD facility to China’s Jiangxi Holitech Technology. Second-hand sources say that the plant, in southern China, produces small- and medium-sized LCD modules. The deal is valued at $16.2 million.

Japan Display does not own the plant directly. Instead, the facility is owned by Morningstar Optronics Zhuhai: a subsidiary of Taiwan’s Star World Technology. Japan Display’s wholly-owned subsidiary, Taiwan Display, is Star World’s majority shareholder.

The source says that JDI is disposing of the facility – and others in China – due to the ‘large change’ in China’s smartphone market.