Chinastar orders equipment for New LCD Fab
While we already have a production schedule for Chinastar’s (pvt) T9 LCD fab in our model, sources in South Korea confirm that the company has placed orders for the equipment necessary for the new Gen 8.6 fab, which was announced las June. The construction part of the project, which will have a capacity of 180,000 sheets/month when fully built-out, is expected to cost $565m US, with a total fab project cost of ~$7.2b, which we believe also includes a 60,000 sheet/month Gen 8.5 ink-jet printing OLED fab that will be built next to this new fab at a later date. Charm Engineering (009310.KS), a South Korean company that produces inspection equipment (AOI) for LCD, OLED, and LED displays, and laser repair and die transfer tools (LIFT), has acknowledged that it has received a $11.2m order from Chinastar for the new fab, along with Top Engineering (065130.KS) and DMS (068790.KS).
Based on the timing of the construction and the equipment orders and lead time, we pull in our Chinastar phase 1 production expectations for 2024 and push out expectations for production in 2025, although the amount of the change is relatively small. Given the plans to begin construction of the T8 IJP OLED fab after the T9 project has begun commercial operation, and the fact that T8 will be using IJP instead of typical deposition methods, we keep a production date for T8 open for now.
Based on the timing of the construction and the equipment orders and lead time, we pull in our Chinastar phase 1 production expectations for 2024 and push out expectations for production in 2025, although the amount of the change is relatively small. Given the plans to begin construction of the T8 IJP OLED fab after the T9 project has begun commercial operation, and the fact that T8 will be using IJP instead of typical deposition methods, we keep a production date for T8 open for now.
Chinastar T9/T8 planned fab campus - Source: inf.news
RSS Feed