China's TFT LCD capacity to see huge growth

China's manufacturing capacity for TFT LCDs is expected to grow by 35 percent and 50 percent in 2007 and 2008, respectively, according to the Semiconductor Equipment and Materials International (SEMI) trade group.

SEMI estimates that China will eventually take 20 to 30 percent share of the world market's TFT LCD manufacturing equipment. "To date, there has been very little production of TFT LCD materials or components in China," said Mark Ding, president of SEMI China. "However, the influx of both Chinese and foreign-owned companies that are beginning to establish these local facilities is helping to significantly grow this market, and will ultimately help establish China as a global panel making market center of TFT-LCD materials and components."

SEMI added that new investments continue to pour in China, such as Truly Semiconductors Ltd's 2.5G project, Shanghai Tianma Microelectronic Co. Ltd's 4.5G line construction, and a 6G plant for Shanghai SVA-NEC Liquid Crystal Display Co. Ltd.