China-based Chongqing HKC Optoelectronics is expanding its capacity aggressively by announcing on April 18 that it will build a new 8.6G LCD fab, or the third one of the company, in Sichuan, western China, barely one day after unveiling a plan to set up an 11G line in Zhengzhou, central China.
The company has signed the deal with the local government of Mianyang in Sichuan to build the 8.6G line with investments totaling CNY$24 billion (US$3.83 billion). Meanwhile, the 11G fab in Zhengzhou will cost the company another CNY40 billion.
The company kicked off commercial production at its first 8.6G plant in Chongqing in March 2017 and is currently building its second 8.6G line in Chuzhou, eastern China, which is slated for volume production in the first quarter of 2019.
Construction of the third 8.6G fab is to begin in the second quarter of 2018 and scheduled for commercial production in the third quarter of 2019, according to company sources.
The Mianyang plant will roll out small- to medium-size IPS panels for handset, wearable and automotive applications, as well as large-size applications for TVs and monitors.