By Kate Yuan

(JW Insights) Jul 10 -- Chinese TV makers will continue to replenish their stocks in the third quarter of 2023, while South Korean purchases will weaken, according to a recent report by technology research group Omdia.

Samsung and LG Electronics have lowered shipment forecasts for 2023. Although they will increase panel procurement in Q3, the growth rate will be lower than expected, Omdia added.

The Omdia report said China's TV production hit a record high in Q1 despite the quarter being the traditional off season. The production plan for Q2 of 2023 was even more active, with a quarter-on-quarter growth of 8%.

TrendForce’s latest report said the uptick in shipments is primarily due to strong stockpiling momentum from Chinese brands for the 618 (June 18) e-commerce shopping festivals, as well as overseas sales of some Chinese brands surpassing expectations.

The promotional prices for TVs ranging from 32 to 75 inches during China’s June 18 sales have surged 10–20% higher than prices during last year’s Double 11 event, largely in part due to the continuous rise in panel prices. Chinese brands ramped up their Q2 shipments to seize a larger market share during the 618 events, with Hisense and TCL’s Q2 shipments rising 21.2% and 19.7%, respectively.

Hisense broke the record for single-quarter shipments, hitting 7.25 million units, representing a year-on-year growth of 33.3%. Hisense’s performance overall has stood out as the most impressive among all TV brands.

Looking ahead to Q3, the peak season for stockpiling, TV shipments are projected to increase by 13.5% year on year, totaling 52.92 million units, said TrendForce.

International companies including Samsung, LG Electronics, and Sony have decided to lower their shipment targets for 2023 and focus on selling larger-sized high-end product lines, in order to better achieve profitability.