Home
Global Supplier Directory
APPLIANCE Engineer
Supplier Solutions
APPLIANCE Line
Whitepaper Library
Calendar of Events
Association Locator
Contents Pages
Market Research
Subscription Center


 
Daily News

LG Looks to Expand TV Operations in Taiwan
Oct 3, 2005
 Printable format
 Email this Article
 Search

LG Electronics Co, the Korean consumer electronics maker, is considering expanding its manufacturing partnership with Taiwanese television makers in a bid to further trim costs, a high-ranking official said. LG's current partnership with Taiwanese TV maker Ya Hsin Industrial Co has helped the Korean company get around the 10 percent import tariff and 13 percent commodity tax on its 32-inch liquid-crystal-display (LCD) TVs sold in Taiwan.

"It's a trend to manufacture the sleek TVs locally to fend off the intensive competition by saving costs," said Sam Park, an assistant general-manager of LG Electronics' Taiwan branch. Competition in the Taiwanese market in particular is heating up this year after a group of other local brands mushroomed, he said, as companies here get easier access to LCD panel supplies from AU Optornics Corp and Chi Mei Optoelectronics Corp. Besides, there are a lot of good TV makers in Taiwan, he continued.

After launching the mainstream 32-inch models through such a partnership, "It's worth thinking about extending the partnership to the manufacture of 37-inch models in the future," Park said. But, no final decision has been made by LG's headquarters yet, he added. LG has already stopped shipping 32-inch models into Taiwan from Korea, although it still imports flat panels made by its slim-screen manufacturing affiliate, LG Philips LCD Co, as well as other components, Park said.

The company started introducing its LCD-TVs in the middle of this year to Taiwan, after grabbing a significant share of the plasma-display-panel (PDP) TV market. Sony aims to reclaim top position in the world's TV market, wooing price-sensitive consumers. Sony has targeted a 30-percent share of the worldwide market. Sony's move could trigger a new price war in Taiwan's LCD-TV market, currently led by Matsushita Electric Industrial Co, which makes the well-known Panasonic brand. Though Taiwan is a small market it provides a miniature overview of the world's major LCD markets, Park said.

To counter Sony's relatively low-priced models, Tatung Co, a household name for local consumers, launched a new 32-inch model, when Sony debuted its new models in Taiwan. Other local TV vendors including Sampo Corp and Taiwan Kolin Co also followed suit, the report said. Teco Electrics and Machinery Co is also considering slashing prices to safeguard its market position, it said. LG, however, is not rushing to join the price war.

"We haven't seen a sales setback since Sony launched the Bravia series. But we are concerned about Sony's ambition to regain market share and we are closely monitoring its impact on the market," Park said. He admitted that Sony's new series has already received a positive response from local consumers, just days after the launch, mostly because of its strong brand name. "But, we don't plan to cut prices as a countermeasure yet," he said, adding that LG would not rule out the possibility of slashing prices to vie for a bigger share. (Taipei Times)

Back to Daily News

 

Daily News

...........................................................

Nov 21, 2014: Electrolux: new U.S. fridge efficiency requirements are more complex than anticipated

Nov 21, 2014: Whirlpool brand launches Perceptions of Care video

Nov 21, 2014: Hon Hai 3Q profit $1 billion

Nov 21, 2014: Environmental Product Declarations for aluminum product types released

Nov 20, 2014: Report: Drop in affluents' consumer confidence may foretell signal trouble ahead for some retailers

More Daily News>>

RSS Feeds
.........................................................
Appliance Industry
Market Research

...........................................................

November 2014: U.S. Appliance Industry: Market Value, Life Expectancy & Replacement Picture 2014
October 2014: Portrait of the European Appliance Industry
September 2014: Appliance Industry Focus: HVAC
June 2014: Appliance Magazine Market Insight: April 2014




 
Contact Us | About Us | Subscriptions | Advertising | Home
UBM Canon © 2014  

Please visit these other UBM Canon sites

UBM Canon Corporate | Design News | Test & Measurement World | Packaging Digest | EDN | Qmed | Plastics Today | Powder Bulk Solids | Canon Trade Shows