Global OLED market and supply chain shifts

The global OLED market is experiencing structural shifts characterized by rising demand for microdisplays and a significant movement of the supply chain toward China. The microdisplay sector is projected to grow substantially through 2032, driven by applications in AR/VR and wearable technology. Concurrently, China has surpassed South Korea in OLED material consumption, with domestic material suppliers expected to increase their market share through 2029.

In the panel manufacturing sector, Chinese companies are aggressively expanding production capacity. Projections suggest China may overtake South Korea in 8.6 generation OLED production capacity for mobile and IT applications by 2028, potentially capturing 70% of that market. This expansion, funded by dominance in the LCD market, poses a risk of a supply glut by 2029.

While Chinese manufacturers like BOE, Visionox, and CSOT are scaling up, South Korean firms such as Samsung Display and LG Display currently maintain a technological edge in high-end products. For instance, in the Apple iPhone OLED market, South Korean companies have maintained strong positions, while BOE’s supply share recently declined to approximately 14% due to quality issues. Experts indicate that South Korean competitiveness will depend on maintaining technological superiority to counter China’s capacity-driven growth.