LG Display announced on Tuesday that its plan to build a new OLED panel manufacturing facility in Guangzhou, China, has been approved by the Chinese government.
LG Display said in a statement today that the new Chinese plant will be built through a joint venture. The registered capital of the joint venture company is 2.6 trillion won (about 2.33 billion US dollars), and LG Display will hold 70%.
It is reported that LG Display's plan to build a new OLED panel manufacturing plant in China was approved by the Korean Ministry of Trade in December last year.
LG Display said that once the new plant in Guangzhou is mass-produced in the second half of next year, its monthly output of large-size OLED panels will increase from the current 60,000 to 130,000.
According to LG Display, the production of large-size OLED panels in China will help to better meet the growing demand for TV panels worldwide, especially in the Chinese market.
LG Display said last year that it will build a joint venture plant in Guangzhou to produce large-size OLED panels. The panels produced at the factory will be used for television and electronic billboards.
It is reported that this will be LG's first OLED panel factory in China, located in the Guangzhou Development Zone, adjacent to the 8.5-generation LCD panel factory officially put into operation in 2014.
It has been previously reported that the registered capital of the joint venture factory is about RMB 15.7 billion. The joint venture partner has not yet been determined, but LG will own 70% of the shares.
Currently, LG Display is the world's largest manufacturer of TV LCD panels, and it also covers the manufacture of almost all large-size OLED TV panels worldwide.