Polarizing plates / component films

Manufacturers of polarizing plates and component films

Makers puzzled by unprecedented uptick in demand; another “bubble (economy)” for polarizing plates? How long would it last (June at best)?

• Why do manufacturers continue production of display panels excessively? Growing demand for larger panel size is not the only reason
• Relocation of Shanjin’s production lines of 2.3m width polarizing plate from Korea and start of two polarizing plate production lines in Jiangsu Zhangjiagang Economic Development Zone both on schedule
• Production capacity in intensifying competition/ total production capacity of over 300 million square meters
• HMO (Hengmei Optoelectronics) making huge investments, yet market is skeptical about its repeatedly changing investment plans
• HMO produces 2.5 width polarizing plate by 2 production lines in Fuzhou, plans to build another production site in Danyang
• On the other hand, Japanese film makers are cautious about investments
• Zeon Corporation (producer of COP membrane) and Okura Industrial Co., Ltd (producer of PMMA) are the only two companies investing; supply disruptions for TAC film /protective coating continues in 2023
• Price rise for the first time in almost 10 years; makers increasing the price of P-TAC and PET films from April 2022 
• Spike in raw material price hitting the makers hard/ How long can makers of petrolium-based COP films hold out? 
• Growth opportunity for makers of PMMA-based films; companies accelerate reinforcement of production/development 
• Now that PET film production has peaked, “responsiveness” of outer PMMA film makers is being tested
• “Era of 2.5m wide-width polarizing plate” is yet to come: Shanjin has no plan to expand 2.5m polarizing plate production; the market expansion is up to HMO
• Would HMO focus on 2.5m polarizing plate even with the soaring cost of raw materials?