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  • BOE, Tianma, TCL Report Strong Profits In 2021_03/27/22
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LGD Expects Guangzhou Will Increase Margins on OLED TV Panels
June 14, 2020

LGD’s investment in the Guangzhou fab was about $4.2 billion as part of a joint venture established between LG Display and Guangzhou Development District (GDD). LG Display holds a 70 percent stake in the JV. LGD hopes that the Guangzhou’s fab will enable it to cut production costs due to lower wages, government subsidies and the new technologies used . DSCC estimates that the subsidies will reduce LGD's depreciation costs by 65%.
 
Figure 1: GP3 Production – Korea vs. China
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Source: DSCC

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