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JDI to Expand Module Assemble Capacity of Kaohsiung for Automobile Displays

By Korbin Lan
Published: Jan 22,2015

New module assembling line at KOE

TAIPEI, Taiwan - Japan Display Inc. (JDI), announced that it will expand module production capacity for automobile displays at Kaohsiung Opto-Electronics Inc(KOE)., with expenditure of NT$ 800 million, from 180,000 modules per month to 450,000 modules per month by the March of 2017.

JDI decided to expand KOE's production capacity from a business continuity perspective, to have back-up automobile display module assembly plants to meet customers' expectations for disaster recovery and continuity of supply.

KOE is setting new machinery and ramping up production from May 2015 onwards. After the production capacity expansion, KOE will produce more than one-third (currently, it is less than one-fifth) of JDI group's middle-size (over 7-inch) automobile displays, and will become the second largest plant within JDI group for middle-size automobile display module assembly.

For middle-size displays, JDI will to assemble more components parts than for small-size (around 4-inch) displays, and thus JDI plant to introduce automatic machines to assemble various parts and realize high production line efficiency.

This expansion will invest about NT$ 800 million, the number of KOE’s employees will increase from 1,200, to 1,600 people.

Zhang Shi-chang, chairman and general manager of KOE, said that KOE is a one hundred percent subsidiary of JDI, was formerly a subsidiary of Hitachi Displays, founded in 1969, and merged with JDI in 2012, produces panel module for vehicle, industrial and medical applications.

Zhang Shi-chang pointed that JDI optimistic about the usage number of car display panel will continue to grow in the coming years, estimates the compound annual growth rate (CAGR) will be over 10% in the next few years.

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