TrendForce: 50- to 65-inch panels fall below cash cost, manufacturers are under pressure to lose money in June

May 24, 2022

Core tip: Fan Boyu, deputy general manager of research at TrendForce, said that the current 65-, 55-, and 50-inch TV panels have all fallen below the cash cost. By June, panels of all sizes may fall below the cash cost, which means that the panel factory will suffer losses. pressure.
Fan Boyu, deputy general manager of research at TrendForce, said that the current 65-, 55-, and 50-inch TV panels have all fallen below the cash cost. By June, panels of all sizes may fall below the cash cost, which means that panel makers will be under pressure to make losses.

Fan Boyu pointed out in an online interview that it is currently expected that TV panels will continue to decline in June, and all sizes may face pressure to fall below cash costs. At present, TV demand in several major regions of the world is affected by unfavorable factors such as inflation. The demand for panels from brand customers continues to be weak. In addition, panel manufacturers are still conservative in reducing production. As a result, the problem of oversupply continues to worsen.

He explained that the survey showed that the price of TV panels continued to fall in late May, and the decline was wider than that in April. The average price of 32- and 43-inch panels fell by about US$5 compared with April, and the 55-inch fell by about US$7. There is pressure of overcapacity, down about 13 to 15 US dollars.
In addition, due to weak demand for notebook panels, brand owners' inventory levels are still high, and their willingness to buy panels is not high. Except for the 11.6-inch panel, which fell by about $1.5 to $1.6 in late April, other mainstream sizes fell by about $2.8 to $2.9.

In terms of LCD (Monitor) panels, they also faced the impact of sluggish demand in late May, and the decline showed signs of expanding slightly.

According to the latest survey by WitsView, a panel research center of TrendForce, among panel quotations in late May, the 65-inch TV panel saw the largest decline, with an average price of US$142 per piece, down US$8 compared to the first ten days of May, and an increase of US$8 compared to the first ten days of April. It fell $13, or 8.4%.

In addition, the average price of each 55-inch panel was US$97, down by US$5 from the first half of May; the average price of the 43-inch panel was US$61, down by US$4 from the first half of May; the average price of the 32-inch panel was US$33, compared with that in May. It fell $3 in the first half of the year.

In terms of displays, the average prices of 23.8-inch high-end wide viewing angle panels and 21.5-inch wide viewing angle panels in late May both fell by more than 7% compared to late April. The 23.8-inch high-end wide viewing angle panel fell from $69.6 in late April to $64.6 in late May; the 21.5-inch wide viewing angle panel fell from $54.8 in late April to $50.8 in late May.

In addition, the average price of 27-inch high-end wide viewing angle panels dropped 5% from $79.7 in late April to $75.7 in late May.

In the notebook panel part, the prices of 17.3, 15.6, and 14-inch panels in late May fell by US$1.9 compared to the first half of May; The average price of 11.6-inch panels in late May was $25.7, down $1 from early May.