Affected by the COVID-19,many foreign companies and industries shut down, resulting in a serious imbalance in the supply of LCD panels and ICs, leading to a sharp rise in display prices, the main reas

Affected by the COVID-19, many foreign companies and industries shut down, resulting in a serious imbalance in the supply of LCD panels and ICs, leading to a sharp rise in display prices, the main reasons as below:

With the promotion of 5G, 5G smart phones have become the mainstream of the market, and the demands for power IC has doubled.

1. The COVID-19 has caused a large demands for online teaching, telecommuting and telemedicine at home and abroad. Sales of entertainment and office electronics such as mobile phone, tablet computer, laptop computer, TV and so on have increased significantly.

2. The automobile industry, which is weak due to the impact of the COVID-19, but from the the second half of 2020, and the demand will increase greatly.

3. The speed of IC expansion is difficult to catch up with the growth of demand.On the one hand, under the influence of the COVID-19, major global suppliers suspended shipment, and even if the equipment entered the factory, there was no technical team to install it on site, which directly led to the delay of capacity expansion progress. On the other hand, the increasing market-oriented prices and more cautious factory expansion have led to the shortage of IC supply and a sharp rise in prices.

4. The turbulence caused by Sino US trade frictions and epidemic situation has led Huawei, Xiaomi, Oppo, Lenovo and other brand manufacturers to prepare materials ahead of time, the inventory of the industrial chain has reached a new high, and the demands from mobile phones, PCs, data centers and other aspects is still strong, which has intensified the continuous tightening of market capacity.

We predict that the LCD industry will continue to be out of stock before Q3 in 2021. If you has a definite order demands, please make a forecast orders in advance, and lock in resources to ensure order delivery!