iSuppli: Quake Impact
On TV Supplies Minimal
By Greg Tarr On Apr 18 2011 - 4:01am
EL SEGUNDO, CALIF. —
A flat-panel production
report just released by IHS iSuppli is calling for
large-sized LCD TV panel prices to marginally decline
again this month, despite the recent Japanese
quake and tsunami disasters.
Across the three major large-sized LCD panel applications
for televisions, monitors and notebooks,
pricing as a whole will fall 0.5 percent in April from
their previous perch in March, the report found.
“The drop will be the smallest in several months,
indicating a growing reluctance among panel suppliers
to slash pricing any further especially at this
time of the year, which is normally considered the
slow selling season,” IHS said.
In televisions, large-sized LCD pricing declined
by 0.8 percent — the only application to post a
decrease. In comparison, notebook panel pricing
inched up by 0.2 percent, while monitor panel pricing
rose by 0.4 percent, the report said.
“The slight decrease overall in large-LCD panel
pricing shows that the segment has not yet suffered
major impacts from the Japanese disaster,”
said Stacy Wu, IHS senior analyst for displays research.
“Despite materials plants being shut down
immediately after the quake, many manufacturing
lines have recovered and production has returned.
And though Japan’s dominance in several key materials
for panels might indicate potential vulnerability,
suppliers are carrying approximately four to six
weeks of inventory. The net effect of this inventory
has been to limit supply disruptions to a minimum.”
The findings support statements recently made
by Sharp, when it temporarily shut down two large
panel LCD plants to divert scarce supplies to smaller
Suppliers have warned, however, of potential
trouble down the road. “If assorted troubles — including
the power outages now plaguing the country
— continue and become prolonged, demand for
panels may suffer, causing suppliers more difficulties,”
Wu noted. “Another slight decline in April is
expected, given that TV panels are still in a state of
oversupply,” the report predicted.