TrendForce: January LCD TV Panel Prices Decline Constantly, Some NB Panel Prices Surge

According to the survey on mid-and large-sized panel sizes for Jan. 2014 by WitsView, the display research division of the global market intelligence provider TrendForce, the LCD TV panel prices declined constantly, the 21.5W monitor panel price rise $0.5 on the capacity adjustment, China’s labor shortage, and spec shift, while the 20W, 23.6W, and 24W prices remain flat and other sizes show small drops $0.3-0.5. NB panel prices climb on the panel supply and brands’ active restocking as the 15.6 HD Wedge and Flat surge $0.5, while the 14.0 HD Wedge and Flat and the 17.3HD+ panels stay flat.

LCD TV Inventory Clearance Pressure Climbs in Q1, Large-sized LCD TV Panel Price Cuts Deepen

WitsView research director Burrell Liu indicates as LCD TV brands attempt to reach the annual target with the aggressive restocking strategy for Lunar New Year, the Q4 2013 shipment attained 62.1 million units, rising 22-23% QoQ, and the LCD TV shipment for the entire year came to 204 million units, dipping 1.2% YoY. As Q1 is the traditional slow season, the LCD TV brands’ Q1 shipment is likely to decline 26%, and the soft demand causes another impact to the TV panel prices.

Based on the inventory of the supply chain, after the year-end peak season, international brands’ set inventory declined to 5-6 weeks, which was healthy compared to Chinese top six brands’ set inventory level 6-7 weeks at the end of last year. However, the constantly declining set and panel prices and consumers’ expectation for low prices after the Black-Friday promotion led to sluggish end demands. The 32” module and open cell prices are expected to decline $2-3 in the month.

The 39”-42” products, influenced by the capacity allocation and strategies, are expected to see price drops $2-4. The 46”-48” and 55” module and open cell prices, affected by the operational Gen 8.5 capacity and intense inventory clearance pressure at the end of last year, dip $5-10. Chinese prices show fluctuations at the end of December, and as the 48”price significantly impacts the 50”, and the 50” sees relatively high inventories of modules and open cells, the size is expected to see price drop $5-7.

Monitor Panel Prices Trim, Some NB Sizes See Rising Prices

The planning for the 65” LCD TV products squeezed G6’s monitor panel capacity, especially the 19.5W and 21.5W. The 21.5W capacity is relatively tight on the demands for AIO and small-sized TV and LGD shifting IPS capacity. Overall, the 18.5W/19W/19.5W see price drop $0.3, especially the 19.5W which needs to pay attention to the following supply and demand as well as brands’ restocking. The 20W/23.6W/24W prices remain flat or decline slightly with the 23W pressured by the 23.6W and 24W and seeing price drop $0.5. The 27W has a price drop $0.5-1.

Liu says due to the overall annual NB panel demand and supply as well as the spec shift, some brands started to restock actively from Q4 last year and announced 15.6” NB priced lower than 14” due to the strong 15.6” sales. The 15.6” NB sales is expected to grow significantly, 3-5%, with the Intel and Microsoft’s subsidy measure and brands’ launches of NBs priced at $299 in June.

The overall 15.6” panel prices are relatively stable in January with the Wedge and Flat panel prices remaining flat. The overall 15.6” price increase averages around $0.2-0.5. The 14” sees the Wedge type price staying flat and the Flat type staying flat or dipping $0.1. The 17.3” price stays flat or rises slightly. The 11.6”, 13.3”, and Ultra-slim panels of all sizes decline $0.1-0.2.