Japan Display aims to bring some panel production back from China

Japan Display Inc aims to bring some automotive panel production back to Japan after the novel coronavirus outbreak disrupted its supply chain in China

By:REUTERS
| Updated on: Aug 20 2022, 21:50 IST
Japan Display, which earns about 60% of its revenue from Apple, is aiming to beef up its automotive display business to reduce its dependence on the saturated smartphone market.
Japan Display, which earns about 60% of its revenue from Apple, is aiming to beef up its automotive display business to reduce its dependence on the saturated smartphone market. (REUTERS)

Under the plan, Japan Display would boost production at its plant in Tottori, western Japan, to supply panels to major Japanese automakers, Kazutaka Nagaoka, chief manufacturing officer, said in an interview.

"We could have spared opportunity losses if we had our production in Japan," Nagaoka said, referring to production disruptions at its Chinese plant due to a coronavirus lockdown this year.

You may be interested in

MobilesTablets Laptops
4% OFF
Apple iPhone 15 Pro Max 1TB
  • Black Titanium
  • 8 GB RAM
  • 1 TB Storage
5% OFF
Apple iPhone 15 Pro
  • Black Titanium
  • 8 GB RAM
  • 128 GB Storage
7% OFF
Apple iPhone 15 Plus 512GB
  • Black
  • 6 GB RAM
  • 512 GB Storage
9% OFF
Apple iPhone 15 512GB
  • Black
  • 6 GB RAM
  • 512 GB Storage

Nagaoka declined to give a timeframe or an amount for the investment in the production shift, but said the company hoped to make a final decision on the plan as quickly as possible.

Also read
Looking for a smartphone? To check mobile finder click here.

The world's largest automotive screen maker produces panel cells in Japan and ships most them to its Chinese plant, where backlights, connectors and other parts are added - a labour-intensive process that requires constant manual work.

Nagaoka said advancements in machinery had helped automate the back-end processes, reducing labour costs even if they are done in Japan.

ALSO READ: TikTok users try to trick Trump campaign, again

Its automaker clients also want their panels produced at automated lines for quality control reasons, he said.

Japan Display, which earns about 60% of its revenue from Apple, is aiming to beef up its automotive display business to reduce its dependence on the saturated smartphone market.

The company has agreed a deal to receive up to 110.8 billion yen ($1 billion) from Japanese investment manager Ichigo Asset Management, a critical bailout for the company that has long been dependant on publicly funded rescues.

Catch all the Latest Tech News, Mobile News, Laptop News, Gaming news, Wearables News , How To News, also keep up with us on Whatsapp channel,Twitter, Facebook, Google News, and Instagram. For our latest videos, subscribe to our YouTube channel.

First Published Date: 10 Jul, 17:49 IST
Tags:
NEXT ARTICLE BEGINS