Display Investment and Issue Resolution Business Meeting on the 18th
211.5 Billion KRW Invested in High-Value OLED R&D
[Asia Economy Reporter Han Yeju] The government will provide policy financing funds worth 900 billion KRW to the display sector this year. To enhance export competitiveness, it plans to invest 211.5 billion KRW in high value-added organic light-emitting diode (OLED) research and development (R&D).
Jang Young-jin, First Vice Minister of the Ministry of Trade, Industry and Energy, announced this on the 18th at a meeting with companies to discuss investment and difficulties in the display industry held at the Korea Chamber of Commerce and Industry in Jung-gu, Seoul.
Attendees at the meeting included Choi Kwon-young, Vice President of Samsung Display, Kim Hee-yeon, CSO of LG Display, presidents of materials, parts, and equipment companies, the president of the Korea Electronics Technology Institute, and the vice chairman of the Korea Display Industry Association. They shared plans for export and investment support in the display industry and discussed various measures to expand private companies’ facility investments and exports.
Last year, the display industry saw exports decline by 1.1% to 21.1 billion USD as the COVID-19 special demand ended and global demand decreased. Companies focused more on increasing the operating rate of existing production lines rather than new investments.
The Ministry of Trade, Industry and Energy forecasts the OLED market to expand from mobile to information technology (IT), transparent OLED, and automotive displays this year, increasing by 1.5% from the previous year to 21.5 billion USD (26.6385 trillion KRW). Private investment is expected to expand not only in 6th generation but also up to 8th generation as OLED demand for IT products grows.
Jang Young-jin, First Vice Minister of the Ministry of Trade, Industry and Energy (photo), is delivering opening remarks at the meeting between companies to discuss investment and resolve difficulties in the display industry held on the 18th at the Korea Chamber of Commerce and Industry in Jung-gu, Seoul. [Photo by Han Ye-ju]
Vice Minister Jang said, "The display industry has traditionally been a strong sector, but recently it has faced the most intense competition. However, since it is a field where continuous new developments are expected, I thought it was important to listen to the industry’s opinions," adding, "Life without displays is unimaginable, so we must continue to nurture this sector." He further stated, "We are currently planning to provide 900 billion KRW in financial support and will announce the details soon."
Companies attending the meeting raised various requests, including designation of display-specialized complexes and expansion of tax benefits, policy financing support to promote new investments, and expansion of government R&D for materials, parts, and equipment.
Panel companies hope for swift progress in designating advanced strategic industry detailed technologies and specialized complexes to secure next-generation display competitiveness, and they expect the legislative process for national strategic technologies to be completed promptly. Materials, parts, and equipment companies requested that their technologies be included alongside panel technologies in national strategic technologies and called for expanded government proactive support such as increased R&D and policy financing funds.
Vice Minister Jang urged, "This year, the slowdown in global economic growth and increased global uncertainties will exacerbate difficulties in the real economy and burden our exports. I ask the industry to unite efforts to actively foster OLED and high value-added new products so that display exports can be revitalized."
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