Earlier this week LG Display celebrated the groundbreaking of its 8th generation LCD panel plant in Guangzhou, China, with the goal to begin mass production in the second half of 2014.

The new plant is expected to strengthen the company's business competitiveness in China, now the world's largest LCD TV market. It is located on a 695,000m2 site in Guangzhou's Advanced Technology Industry Development District and it is a joint venture invested at a ratio of 70:20:10 by LG Display, the Guangzhou Development District, and Skyworth Digital, one of the largest TV set makers in China and strategic partner to LG Display.

By locally producing LCD panels, LG Display will provide its customers in the world's largest LCD TV market with closer and more efficient services while also creating synergy with other LCD component makers in partnership. Also as Guangzhou is nearby major set makers like Skyworth, Konka, and TPV in Shenzhen, Dongguan, and Fuqing, LG Display will be able to reduce distribution, labor, and tax costs for better production cost competitiveness.

"The groundbreaking of LG Display's 8th generation LCD plant further distinguishes our competitive advantage both locally and globally when it comes to supplying customers with the best products and support," said Dr. Sang Beom Han, CEO of LG Display at a ceremony attended by company executives and government officials. "With the local production of LCD panels, LG Display will continue to take the lead in China with a streamlined, highly efficient production process."

According to DisplaySearch, approximately 44.52 million LCD TVs were sold in China in 2011. China is now the world?s largest LCD TV market, surpassing Western Europe and North America, and expected to expand its market size to 57.20 million by 2014.

LG Display said that itsinvestment schedule in China will be finalized after considering the display market situation and overall company strategy.