Oversupply causing prices of LCD TV panels to plummet

According to DisplaySearch, the price of panels for 32-inch LCD TVs, the most popular model size, slipped to an average of US$174 during Sept. 1 to 5. The price of panels for 32-inch LCD TVs has been on a downward trend for five straight months, from $208 in April to $186 in August. The price for panels for 46-inch TVs also sank from $434 in April to $388 in September.

The fall is attributable to a glut in supply as the global LCD TV market has been sluggish amid the European debt crisis. To cope with the glut, Samsung Electronics is shifting its sales focus to high value-added products, while LG Display is decreasing its production output.