Large-sized panel prices fall further in Sept.
CNATAIPEI -- Quoted prices for large-sized flat panels in the second half of September continued to tumble as TV screen sales proved slower than expected, a research report said Saturday.
September 23, 2013, 12:03 am TWN
The report by market advisory firm DisplaySearch said that prices were being pushed downward by a large inventory caused by weak demand.
Prices for the large-sized panels, generally used in TVs and computers, fell by 2-4 percent over the second half of the month, while prices of larger TV screens fell by around 4 percent, DisplaySearch said.
TV sales in China have dropped off since Chinese authorities on May 31 ended a year-long subsidy on energy-efficient home electronics, it said.
DisplaySearch's findings were echoed by WitsView, another panel market research group, which found quoted prices for TV screens have fallen an average of 3-4 percent per month since the beginning of the third quarter because of China's policy change.
Beijing-based China Securities Journal cited unnamed sources earlier this week in a report that said China is planning next month to announce another round of subsidies on home alliance purchases which will take effect in January 2014.
Market analysts said the new subsidy plan could prompt Chinese TV brands to restock screens early to meet future demand, a move which could strengthen TV panel suppliers' pricing power.
Meanwhile, DisplaySearch reported that order prices for 13.3-17.3 inch screens used in laptop computers fell US$0.1-US$0.2 per screen in the second half of this month as global demand for laptops remained slow.
Panel prices are expected to stabilize later this year, however, when enthusiasm over laptops could pick up on the launch of Microsoft's Windows 8.1, its first major update to the Windows 8 operating system.
Panels for desktop stayed largely unchanged in the second half of September, with prices for screens over 21 inches dipping by US$0.2-US$0.4 during the period, the firm wrote.