According to the latest survey by TrendForce, with the Chinese Lunar New Year falling in February, the top three LCD TV panel manufacturers—BOE, TCL CSOT and HKC—plan to suspend production at their downstream module plants for 5 to 10 days. This measure aims to reduce labor costs and mitigate the risk of subsequent inventory buildup, while upstream production lines will implement synchronous output cuts. Overall LCD TV panel utilization rate in Q1 is projected to drop 3.5 percentage points quarter-on-quarter to 87.7%, leading to a tighter supply-demand balance.

On the supply side, in addition to the production cuts scheduled by the three major panel makers for the Chinese Lunar New Year, the shorter working days in February will drive a 3.8% quarter-on-quarter decline in total TV panel supply area in Q1. Meanwhile, recent policy developments in China—including the continuous promotion of the trade-in program with a 15% subsidy still available for TVs with Grade 1 energy efficiency—coupled with inventory stocking activities for the 2026 FIFA World Cup kicking off in Q1, are expected to cushion the seasonal decline in TV panel demand area, limiting the quarter-on-quarter drop to just 1.8%.

Looking ahead to 2026, the TV panel industry will continue to pursue the "size enlargement" strategy. However, the growth rate of extra-large-size TV panels is anticipated to slow down, constrained by relatively weak demand in certain markets and a high comparison base. In response, panel manufacturers are looking to adjust their product mix this year, gradually shifting market demand from small sizes such as 23.6-inch and 32-inch to medium-to-large sizes like 43-inch and 50-inch. This structural shift is expected to drive up the average size of TV panels and boost the overall demand area.

TrendForce analysts point out that persistent uncertainties in the international landscape, combined with surging memory chip prices, will introduce volatility to future TV panel demand. In 2026, the core challenge for panel manufacturers will be enhancing production capacity scheduling and order-taking flexibility to quickly adapt to market changes. In the long run, the absence of new capacity additions and large-scale investments in the LCD TV panel sector sends a positive signal for both panel prices and the overall health of the industry.