Boycotting Lotte is just the beginning. Chinese panel manufacturers also intend to be the pioneers in resisting South Korea.

Recently, media reported that the largest Lotte Department Store in China, located in Shenyang, has been deserted, and the subsequent construction of Lotte may not meet expectations. At the same time, the turmoil in China is not limited to the retail industry. It can be expected that an anti-Korean wave will soon spread from the inside out and even to the technology industry.

Not long ago, BOE Technology Group Co., Ltd. also chose to announce the progress of the plan to repurchase some of the public shares since September 20, 2016. It is reported that BOE's completion of the share repurchase may be related to the domestic market demand for OLED. This event may prompt domestic panel manufacturers and Korean manufacturers to enter a new round of technological competition.

With Japan's "giving up treatment", the international panel market has gradually become a battlefield for China and South Korea to face off, or a contest between Chinese panel manufacturers and LGD and Samsung. So why did BOE choose to use a huge amount of cash to cancel the company's outstanding shares during this special period? Does the completion of the stock repurchase mean that BOE is about to sound the clarion call to officially fight against Korean panel manufacturers?

OLED monopoly is a thing of the past, BOE's production capacity is expected to surpass LG

As an emerging technology, Korean manufacturers have the most say in the application field of OLED. Since 2008, South Korea has been continuously developing OLED technology and putting it into production and sales. Until now, with Samsung stopping part of the OLED supply, we have clearly realized that China, as a major OLED consumer, has been subject to OLED technology, and even allowed South Korea to obtain part of the pricing power of the product by controlling panel production.

Today, the practical value of OLED is being rapidly developed. Even though China's OLED technology has been nearly ten years behind Korean panel manufacturers, as a major panel consumer, we still cannot give up this new technology that may become our weakness. Especially recently, with the continuous fermentation of the "THAAD incident", Sino-South Korean relations have begun to decline. In order to ensure that the panel market will not be restricted by South Korea in the future, China urgently needs to rely on its own technology to break through and respond to the trade war that may be faced in the future with a self-sufficient attitude.

Therefore, as a listed company with government funding, BOE naturally took on this arduous task, either actively or passively. BOE, which chose to open the 6th generation AMOLED production line and the 10.5th generation LED production line, did not simply want to quickly make up for the gap with South Korea by quickly mastering AMOLED technology, but chose a more difficult development path, expanding the production scale of large LCD panels while learning new technologies, and achieving a comprehensive victory at the core technology level.

Judging from the fact that BOE first surpassed LG to become the world's largest screen supplier, and then joined hands with Skyworth to complete independent OLED research and development and production, it is no longer a distant dream for China to shake South Korea's dominance in OLED.

The reason behind the huge investment to fight against Korean panel manufacturers

BOE, a company with a similar name to JD.com, is not as glamorous as JD.com on the surface. In fact, in the past few years, BOE has been criticized by shareholders for enjoying high government investment but being in a loss crisis. Why did BOE, which has just become the world's largest LCD supplier, choose to buy back shares at this time? Why are Chinese panel manufacturers willing to spend a lot of money to surpass Korean panel manufacturers at this time?

1. Burdened by the political tasks expected in the early days of listing. As a panel manufacturer with the heavy responsibility of catching up with "Japan and South Korea" in China's display, local governments and capital markets invested tens of billions of funds in it in the early days of listing. Even though it has now turned losses into profits, it still cannot make up for the impact of the previous huge losses. For these Chinese panel manufacturers, they have become a "bow and arrow" belonging to the country. In the choice between destroying themselves and destroying the enemy, they can only choose the latter. What awaits them next is either "success and fame" or "no trace left".

2. Take advantage of the decline of Japanese panel manufacturers. Now that Sharp has been acquired by Foxconn Group, although JDI has launched a flexible LCD panel based on a plastic substrate, it cannot take the lead alone. It is a foregone conclusion that Japanese manufacturers are stuck in the quagmire, and the market share is about to be reshuffled. At this time, major panel manufacturers in the world are doing their best to divide up new market share, and the future of Chinese panels is bright. At the same time, listed companies with major political tasks will not give up this piece of fat meat at their fingertips.

3. Consolidate achievements and ensure the right to speak in the LCD panel market. Chinese manufacturers seem to have tasted the sweetness of the changes in the panel industry. At the same time, the panel factories developed successively have also helped BOE to reach the top to some extent. Next, whether it is BOE or other Chinese panel manufacturers, they will definitely choose to take a series of measures to consolidate their hard-earned positions and further increase their voice in the industry, laying a solid foundation for dominating South Korea in the future.

With the continuous improvement of independent technology, domestic products will eventually break through

Faced with the broad prospects of the Chinese market, independent research and development of both OLED and chips represents China's willingness to invest heavily in the development of independent technology to ensure that the pricing power of domestic products will not be affected by foreign capital.

As for manufacturers, they also hope to see their own products can fill the gaps in the market. After all, for panel manufacturers, this will not only increase their own product's voice in the market, but also greatly promote the increase in transaction volume.

What I want to point out is that as China's independent research and development progresses, the beneficiaries are not just the country or enterprises. Ordinary consumers can also save a lot of money by choosing to buy products independently developed by China. At that time, they can enjoy tangible benefits and express their patriotic feelings at the same time. Why not do it?

With favorable conditions on both the supply and demand sides alone, China's independent research and development plans will not be shelved. In the future, more and more Chinese independent brands are bound to enter the international market. Only then will it be a real "disaster" for South Korea.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.