Chinese electronics manufacturer SVA Group plans to increase its production capacity of LCD panels in a bid to attract Corning Inc. to set up its planned LCD glass substrate finishing facility in Shan…
Chinese electronics manufacturer SVA Group plans to increase its production capacity of LCD panels in a bid to attract Corning Inc. to set up its planned LCD glass substrate finishing facility in Shanghai. Corning announced on 2 February 2006 that its board of directors had approved a proposal to allocate about USD 1 billion to establish a LCD glass substrate finishing facility in the China mainland. As the location for the facility remains undecided, Shanghai-based SVA Group and Beijing-based BOE Technology Group Co., Ltd., two leading LCD panel producers in China, are competing to bring the facility near to their LCD panel plants, citing huge savings in transport costs. Tao Jun, an official at the head office of SVA Group, revealed that the group intends to increase the capacity of its fifth-generation LCD panel production lines from 52,000 items (before cutting) to 60,000 in the 1H 2006 and again to 90,000 pieces by the end of the year. Moreover, the group will build another line capable of producing no fewer than 90,000 pieces per annum, at the end of 2006. Corning hopes the LCD panel plant near its new facility have an annual capacity of no fewer than 90,000 – 100,000 pieces, in order to be profitable.