Demand from South Korean and Chinese TV makers is set to turnaround in the second quarter of this year despite weak demand in the first quarter, according to research by Omdia.
In Q2’23, orders for LCD TV panels are expected to grow 19% YoY. For the full year, 2023, panel shipments may hit 161.4 million units, equivalent to an 8% YoY increase over 2022. While this is a recovery, of sorts, it signals a change in the balance of power in the TV industry. South Korean manufacturers, Samsung and LG, could see increases in their volume purchases but 2022 was pretty brutal so volumes will still lag 2021 numbers.
Chinese TV vendors seem to be of the opinion that the future’s so bright they may even have to wear shades. These vendors are stocking up to be ready to take advantage of any uptick in consumer demand in the second half of 2023.
This all smells like a price war, and a battle for market share in the latter part of 2023. The Chinese TV vendors are probably going to win. There’s just not enough justification for a change in consumer demand in 2023 unless you just think that it can’t be worse than the end of 2022 and the beginning of 2023.
