As more reports emerge regarding the possible sanction on Chinese displays, the industry is looking out for further movement from the United States. South Korean media reported that Samsung Display (SDC) president Joo Sun Choi believes that the impact of the United States' actions on South Korea remains to be observed.
South Korean media outlets including ZDNet Korea and Chosun Biz reported that Choi held the 15th Display Day event at Seoul's Lotte Hotel World. During an interview, Choi stated that he remains cautious regarding the United States' export regulations on Chinese displays.
Previously, Chairman John Moolenaar of the House Select Committee on the Chinese Communist Party wrote to Defense Secretary Lloyd Austin a request to include BOE and Tianma into the Chinese Military Companies List (CMC).
At the time, South Korean media also reported that the local industry expected the extended sanctions to help SDC compete with Chinese manufacturers in the next-generation display OLED market.
China is catching up with South Korean display companies in the mobile OLED and IT OLED fields due to its low-price strategy and domestic demand. According to Omdia's compilation, based on shipments in the first quarter of 2024, Chinese display companies accounted for approximately 49.7% market share for the OLED market.
Meanwhile, the South Korean government will begin its 8-year investment in inorganic light-emitting displays from 2025. The investment scale will be approximately KRW500 billion (approx. US$379 million).
The government will also expand the training of outstanding talents at all levels including bachelor's, master's, and doctoral levels in accordance with industry needs, as well as strengthen independence in supporting materials, components, and equipment. It will also negotiate with relevant departments to continue strengthening the identification of national strategic technology while providing tax and financial benefits to promote private investment.
In terms of display investments, South Korea provides tax credits that can be extended for three years to support medium-to-long-term investments by enterprises. In addition, South Korea will strive to incorporate next-generation micro-LED materials, components, and equipment technology into its national strategy.
Article translated by Charlene Chen
