Ho Chi Minh City, October 2025 – The global LCD industry is slowly moving parts of its supply chain to Vietnam, but don't expect a full exodus anytime soon. According to Sarah Lin, president of Taiwanese display maker Coretronic, while more Chinese component suppliers are setting up shop in Vietnam, the heavy lifting-front-end panel manufacturing-remains firmly rooted in China and Taiwan.
Speaking at a recent industry forum, Lin pointed out that over the past two years, backend assembly and module production have started migrating southward. "Vietnam offers lower labor costs and growing government incentives," she said. "But building a complete LCD ecosystem isn't easy." She highlighted ongoing challenges: factory construction delays, a shortage of skilled engineers, and cultural gaps between Chinese management teams and local workers.
Despite the buzz, Vietnam still plays second fiddle in the high-tech stages. China alone accounts for over 70% of global LCD panel capacity, fueled by state subsidies and aggressive acquisitions-like CSOT's purchase of LG Display's Guangzhou plant last year. Taiwan's Innolux and AUO also continue to dominate cutting-edge process technology.
For now, the shift looks more like a gradual rebalancing than a revolution. "It's evolution, not relocation," Lin summed up. "Vietnam will grow, but China and Taiwan aren't going anywhere."
