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>> Hon Hai Sharp strong combination of the world's largest LCD plant intensive preparation 14th,Apr,2017
Sharp announced that Hon Hai and Sharp are considering building the world's largest liquid crystal display plant in China, the purpose of the United States, the United States, the United States, the United States, the United States, Is the combination of Hon Hai's capital and Sharp's technology, the price war aimed at Korean rivals.
Nikkei News 10 exclusive disclosure of the news, the report said Foxconn and Sharp plans to begin in early 2019, will be low-cost mass production of LCD panels, and this plan may be China's local government subsidies, the total investment will be more than 800 billion yen , About $ 6.95 billion.
Construction site location locked in Guangzhou, but if other cities offer better subsidies, it is possible to consider the city outside of Guangzhou, and it is learned that both sides have begun to contact production equipment manufacturers.
Foxconn and Sharp are through the joint venture SDP (Sakai Display Product) and Qunchuang, and Sharp's Kameyama II plant with the production of TV panels, SDP is 10-generation panel plant. It is expected that the plants to be built in China may use larger substrates, and SDP will have a successful experience in reducing costs and is expected to enhance panel competitiveness.
Hon Hai and Sharp hold the global panel factory 20% market share, ranking in Samsung Electronics and LG Display, ranked third. In China, BOE Technology Group and Shenzhen China Huaxing photoelectric is also supported by the regional government, the construction of large-scale LCD factory, is expected to start operation in 2018 or 2019.
Reported analysis, Sharp Hon Hai expansion of the war situation may further depress the panel prices, so that their own risk, Sharp in the past in western Japan Sakai factory investment burned too much money, resulting in the need to solve the financial dilemma by Hon Hai. Hon Hai has promised to provide huge funds to the TV panel factory, Sharp can provide technology, the two sides may make the two companies return on investment faster than the OLED panel program.
Reported that the use of organic light-emitting diode OLED panel is considered the next generation of smart phone display, Sharp has decided to set up a prototype in Japan production line, and is considering the establishment of a large capacity in China production line. The report argues that, due to the increasingly fierce competition from South Korea, coupled with the Japanese companies still face a lot of technical barriers to production, Sharp need to carefully consider the investment schedule, can not be too hasty.
Sharp President Dai Zheng Wu said in a press conference at the earnings report, as of March 2017 so far in the second half of 2016 fiscal year, Sharp and Hon Hai cooperation effect, will contribute to business interests of 9.9 billion yen, about NT 2,782 million yuan.
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