TV panel market outlook still uncertain
DetailsEditor | 21 March 2015
Even though the general outlook for TV panel prices for the upcoming second quarter is said to be optimistic, there are definite jitters in the market, according to a new study from WitsView.
The analyst found that as the market enters the second quarter, new product models will likely be launched to satisfy the demands of retailers who are expected to stock up, thus initiating a wave of demands. Likely drivers will be Chinese Labor Day and a potential new subsidy programme for energy-efficient appliances that could trigger a wave of replacement demand.
Yet WitsView cautioned that some TV brand vendors have become conservative in their decision-making and begun to reduce the scales of their panel purchases. Furthermore, the depreciation of euros and currencies from the emerging markets continues to affect vendors’ margins, and this in turn hurt TV sales and the demands for panels.
“The prices of large-size TV panels such as the 55 and 65-inch have kept falling in March,” explained WitsView Senior Research Director Eric Chiou. “The price of the 32-inch has also certainly experienced a drop in the range of US$1–2 because the supply-demand inversion has put an enormous price-reduction pressure on this size category.”
The analyst observed that quotes for 48- and 49-inch panels have yet to see a general reduction, but that noises in price dealing were increasing in China and other regional markets. It added that panel demands from the 40–43-inch sizes have not been visibly affected, so their total prices have remained steady in 2015