Shipments of large-size (9-inch and above) LCD panels by Taiwan's makers (excluding Sharp) are set to expand 4.9% sequentially in the second quarter of 2019 despite intensive competition from China-based rivals, Digitimes Research estimates.
The sequential gains will come after Taiwan makers saw their shipments shrink 12.8% sequentially to 54.4 million units in the first quarter, affected by annual maintenance by some makers during slow season and reduced shipments from Chunghwa Picture Tubes (CPT).
Additionally, increased TV panel shipments from China-based players, including BOE Technology, CEC-Panda LCD Technology and Irico Electronics, also weighed on the shipment performance of Taiwan's panel makers in the first quarter.
Looking ahead, some device brands are likely to step up their purchases of panels in advance on concerns that current shortages of COF substrates for production of 4K TVs and high-end smartphones could worsen in the second half of the year, therefore pushing up Taiwan's shipments of large-size panels in the second quarter.
Meanwhile, Digitimes Research believes that the squeezing effect of increasing large-size panels from China's makers will also weigh on Taiwan's shipments of monitor and notebook panels over the long term in addition to the current impacts on TV panels.