Himfr.com reports LG 8.5-generation projects have been formally marrying Guangzhou

"We're married it." November 3, the South Korean capital Seoul, South Korea's LG Display (LGD) of the Guangzhou Municipal Government and the Economic and Technological Development Zone, said. And the Guangzhou Development Zone and South Korea LGD LCD panel joint venture project investment agreement signing ceremony was held in Seoul, Korea.

After a years of "love" the day before yesterday, both sides almost simultaneously released news that the former 8.5-generation LCD panel projects have been formally settled in the Guangzhou Development Zone. This is also the largest foreign investment to date in Guangzhou City, high-tech project.

Co-operation agreement has been very clear. The two sides will set up a joint venture LG Display (China), the registered capital of 1.34 billion U.S. dollars, of which holds 70% stake in LG Display, is responsible for operation and management, while the Guangzhou City and the Chinese color TV makers to hold a 30% stake.

Initial investment of the project will reach 4 billion U.S. dollars, or about 27.3 billion yuan. Guangzhou Development Zone representative said that in 2012, will achieve a monthly production capacity of 120,000.

South Korea's LG Display's chief Kwon Young-soo said the joint venture established in China and building the 8.5-generation LCD production line in order to further consolidate and LCD color TV manufacturers in China between the third-party relationships, to strengthen international competitiveness and create a basis for sustainable development strategic decision.

The project is following the LG factory in Paju, South Korea, the investment to set up the second 8.5-generation LCD panel production line, where the company first set up first overseas production lines.

Guangzhou Municipal Government officials said the project to fill technology gaps in Guangdong flat-panel display industry, will become the city's industrial transformation and upgrading as well as Guangdong Province, one of the leading projects. It is learned from the signing of a memorandum of cooperation to the formal signing of co-investment agreement, which was only two months.

Married to a South Korean "bride", Guangzhou Development Zone happy bad. It has been playing with a bright future, for example, the project will be upstream of radiation semiconductors, integrated circuits, background light, bonding technology industry, as well as downstream of the mobile phones, computers, LCD TV manufacturing industry, along the related electronics, mechanical, chemical and other manufacturing industry value chain will reach 106.5 billion yuan.

Up to now, the global LCD industry, the five giants are already two official stationed appliance industry developed Pearl River Delta region. Earlier, LG had long talks with the Shenzhen authorities have opted to Guangzhou. While its biggest rival and "hometown" Samsung Electronics has also said publicly that China will be married, or will be located in Suzhou.

Japanese rivals are also closely watching. However, the high-generation projects, Sharp and Shenzhen, Guangzhou, Shanghai, after long negotiations, have been identified in Nanjing. However, the Japan External Trade Organization Tian Philip Wang, director of the Guangzhou office of the CBN, told reporters that the Japanese flat-panel production and supporting a number of giant companies are waiting to see the action, once the project landed, will immediately enter the Pearl River Delta.

The two sides "Wedding" so open, grand, mean that the Korean government relaxed the project for the plate. A month ago, South Korea's official media reported that, in line with LG panel factory in Guangzhou, will consider amendments to relax emigration restrictions on technology. South Korean Foreign Ministry of Knowledge Economy said that by the end of November before the re-determine whether the project is still cutting-edge technologies.