Tokyo, Japan, headquartered Idemitsu Kosan Co.,Ltd. has announced that the company has reached a basic agreement with the government of the Chengdu Hi-tech Industrial Development Zone in the city of Chengdu, Sichuan Province, China, recently to establish a Chinese subsidiary company to engage in businesses related to Organic Light-Emitting Diode (OLED) materials. The new company’s facility is expected to begin commercial production during fiscal 2019.
According to Idemitsu, recent years have seen advancement in the use of OLED displays in many devices, including smartphones and large-screen TVs and China is expected to experience a remarkable growth in the future as a producer of OLED displays. In China, there has been vigorous investment in OLED manufacturing facilities, mainly by major display manufacturers, due to the government’s policy of promoting the display industry in China. The new subsidiary will help strengthen Idemitsu’s supply structure and technological support in preparation for further growth in the demand for OLED materials in China.
Based on the growth of OLED display manufacturing in China, Idemitsu has decided to enhance its evaluation system for OLED materials and devices, strengthen its technological support capabilities and improve its supply structure in China to better fulfill its responsibilities as a reliable material supplier to customers in China. To achieve this, Idemitsu has concluded this basic agreement with the government of the Chengdu Hi-tech Industrial Development Zone on the establishment of an OLED materials subsidiary in China.
Idemitsu has OLED manufacturing plants in the cities of Omaezaki, Shizuoka Prefecture, Japan and Paju, Gyeonggi Province, South Korea. The new facility in China will be Idemitsu’s third manufacturing facility for OLED materials.