Following LG's recently announcement that the company will set up a 8.5G LCD (Liquid Crystal Display) panel plant in Guangzhou for US$4 billion, Korean Samsung Electronics announced on October 16 that the company will construct a 7.5G LCD panel plant in Suzhou, China, with an aim to tap the burgeoning demand in China, Reuters reported on October 16. Samsung stated that it will earmark a total of 2.6 trillion Won (US$2.25 billion; US$1 = 1,175 Won) for the plan, including setting up a JV for US$800 million. The new plant, which will mainly manufacture larger-size panels for LCD TVs, is currently still pending approval by Korean and Chinese relevant authorities, according to the same source.

Aside from LG and Samsung, Japanese Sharp plans to enter into a cooperation agreement with China Electronics Corporation, whereby they will establish a joint venture to produce LCD TV panels in Nanjing, China. Meanwhile, Taiwan's LCD maker AUO also is in talks with several Chinese municipal governments over new LCD plant tie-up, according again to Reuters.