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LGD adjusters working time to cope with the surge in LCD demand

by:Kimeery     2021-06-09

LG Display (hereinafter LGD) will change some large-size panel manufacturing employees from the original 4 groups of 3 shifts to 3 groups of 2 shifts starting early next year. It is mainly to respond to the soaring LCD demand in the short term under the new crown epidemic.

According to the Korean media hankyung, LGD will introduce 3 sets of 2 shifts in TV large-size production lines from next year. LGD has related production lines in Paju and Gumi, South Korea.

The 3-group 2-shift system is a system in which 3 groups have 12 hours a day and work 4 days of night shifts and then rest for 2 days. Compared with the 4-group 8 hours a day that LGD has been using since 2006, with 6-7 days of shifts and 2-3 days of rest, the business intensity is higher, but the rest time also increases. The use of the 2-shift system this time is to take into account the recent surge in LCD panel market conditions.

Under the epidemic, with the increase of home time, LCD TV demand and panel ASP have risen simultaneously in the second half of this year, and the LCD market has ushered in a 'sudden grand occasion.'

Previously, under the low-price offensive of Chinese panel makers, LCD TV large-size panel prices continued to fall, but this year has ushered in an increase for 6 consecutive months, with a maximum increase of 70%.

According to the market research agency Omdia, last month panel prices have reached 61 US dollars for 32 inches, 106 US dollars for 46 inches, 140 US dollars for 50 inches, 170 US dollars for 55 inches, and 220 US dollars for 65 inches, which are close to the highest price this year.

LGD CFO Suh Donghui said after the third quarter performance briefing: Although most of the LCD factories in South Korea have been adjusted, the remaining capacity will flexibly respond to changes in customer demand within the available range.

Relevant LGD said: In order to cope with the increase in the price of large-size LCD panels, although there have been discussions on 3 groups and 2 shifts and other various plans, the final conclusion has not yet been reached.

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