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Taipei, June 9, 2006 (CENS)--Because of cost concerns, Panasonic plasma display panel (PDP) TVs are expected to adopt an increasing number of Taiwan-made key parts, according to Chen Shih-chan, chairman of Panasonic Consumer Sales (Taiwan) Co., Ltd. (PCST)
Chen pointed out, however, that Matsushita Electric Co. (Panasonic brand) has not yet established a timetable for procuring the key PDP-TV parts from the island's suppliers. Chen also noted that the parts Panasonic purchases here are not expected to include PDP panels
Industry sources said that due to cost-competitiveness concerns, more and more flat panel display (FPD) TV brands from Japan and South Korea are relying on Taiwan parts and components suppliers. LG, for example, upgraded its liquid crystal display (LCD)-TV panel procurement ratio to about 40% in March from about 20% before, and began contracting local Ya Hsin Industrial Co., Ltd. to supply LG-brand LCD TVs sold in Taiwan. This year, LG is scheduled to find contract partners to locally produce large-size LCD TV and PDP TV models sold on the island
Currently, LG's PDP TVs are the No. 1 sellers in Taiwan, with a more than 20% market share, while Panasonic is trying to aggressively tap the lucrative sector in this year. The fiercer the competition between the two brands becomes, the more local parts suppliers are expected to benefit, industry sources said
Panasonic is currently the No. 1 LCD TV brand in Taiwan, with about a 20% market share. According to Chen, PCST will continuously push value-added models, such as high-definition TVs, to further consolidate the company's leading position