Highlights of the day: Production line relocation continues despite easing trade tensions

Trade tensions between the US and China seem to be easing a little, but it remains uncertain whether the more "friendly" atmosphere will be subsequently followed by a full truce between the two super economies. For notebook vendors who risk higher tariffs for Chinese imports if the trade war doesn't end, they are still having their manufacturing partners moving production lines out of China although they have yet to fully commit orders to the relocated plants. In the display industry, which has been plagued by oversupply, Chinese makers are shifting more of their capacity to producing IT panels, seeking to stem losses from the competitive large-size TV maket segment.

Notebook ODMs see vendors slow down orders on trade war easing: US notebook vendors have slowed down placing orders with Taiwan ODMs amid seemingly easing of US-China trade tensions, but have not asked the manufacturers partners to stop moving production lines out of China, according to industry sources.

China display makers shifting more capacities for IT panels: Some China-based flat panel makers are shifting more of their production capacities to the manufacture of IT applications as they seek to stem losses resulting from keen price competition in the large-size TV panel segment, according to industry sources.

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