TCL-owned panel supplier Shenzhen China Star Optoelectronics Technology (CSOT) has announced it has commenced production of its high generation panel modules, underpinning TCL’s vertical integration strategy.
The High Generation Panel Module Project, which started in May 2017 and covers an area of 519,000m², represents an investment of $1.5 billion and is part of TCL’s Module-Set Integrated Smart Manufacturing Industrial Park Project in Huizhou, China.
Senior executives from TCL and Huizhou government officials attended a ceremony to celebrate the production kick-off in Huizhou, China last week. (Photo: Business Wire)
Phase one of the construction is expected to be completed in 2019, with a design capability of 40 million modules per year, while phase two is expected to be completed in 2021, with a design capacity of 60 million modules per year.
In May 2018, CSOT announced its latest joint investment of $6.55 billion in a second 11G panel production line in Shenzhen, China, known as “t7″, which will have the design capacity to manufacture 90,000 substrates per month, primarily dedicated to 65″, 70″ and 75” 8K displays.
There was also further progress with CSOT’s first 11G panel production line, known as “t6”, with the company moving main production equipment into place in preparation to commence mass production in March 2019. “t6″ will have a design capacity of 90,000 substrates per month, targeting 65″ and 75” LCD screens.
Analyst Comment
This is the second big Chinese-owned fab to come online. As we heard at the Business Conference at SID, there is a need for around four fabs by 2022, but there are going to be something between 8 and 12 built! (BR)
