Samsung Display plans to reduce its investment in LCD panels in Suzhou from the planned $3 billion to $1.5 billion to $1.6 billion, and its monthly production capacity from the planned 100,000 to 40,000. LG Group will also cut its $4 billion investment in Guangzhou's 85th generation line by about half to $1.8 billion and reduce its monthly production of 120,000 to 60,000.

　　Recently, South Korean media reported that Samsung Display and LGDisplay intend to reduce their investment in advanced LCD panel factories in mainland China, and the investment amount may be cut by half. However, the relevant leaders of the two enterprises in China denied the news to reporters. "The investment plan has not changed, according to the original plan to build factories", they said.

　　Samsung and LG are global panel giants, and their capacity expansion and adjustment have aroused strong concern. Samsung officials said yesterday that they had not heard of any change in investment plans. LG also confirmed to reporters that the investment was in progress as planned and that volume production would be achieved in the second half of next year.

　　However, the market environment facing the panel industry is changing. According to the latest monthly LCD market dynamic report provided by NPD Display Search, LCD TV panels shipped to mainland Chinese manufacturers in June fell by 7% from the previous month, 7 percentage points lower than expected. The third quarter forecast panel shipments fell by 2% from the second quarter and by 10% from the same period last year.