Omdia: It is estimated that the global demand for polarizing films will reach 594 million square meters by 2024. The industry may face oversupply due to mergers and acquisitions.

Omdia's latest report on Display Optical Film Tracking predicts that global demand for polarizer film will reach 594 million square meters by 2024, increasing to 682 million square meters by 2027, with a compound annual growth rate (CAGR) of 3.4%. As display panel production shifts to mainland China, polarizer film manufacturing is also gradually moving to China. In 2020, China's Shandong JinJin Optoelectronics acquired LG Chem's LCD polarizer film business in South Korea. Since then, Chinese companies have actively invested in polarizer film production to enhance their market position. This trend has raised concerns about potential supply overcapacity. The chart below shows the forecast for polarizer film supply and demand. Omdia predicts that by 2024, the supply-demand ratio of polarizer film will stabilize at 10%, gradually increasing to 19.5% by 2027. Due to overcapacity, major Chinese polarizer film manufacturers, including Shandong JinJin Optoelectronics, Shenzhen Sunnypol Optoelectronics (Sunnypol), and HMO, have chosen to delay their expansion plans by one to two years. Source: Omdia Regarding market dynamics, Irene Heo, Chief Analyst of Display Research at Omdia, said, "Facing significant investments from Chinese companies, polarizer film manufacturers in Japan and South Korea are streamlining inefficient production lines or divesting certain business units. Between 2023 and 2024, LG Chem and Samsung SDI sold their polarizer film divisions to Chinese companies, while Japan's Sumitomo Chemical is considering selling and closing multiple production lines. With a decrease in polarizer film supply, it is expected that the polarizer film market will maintain supply-demand balance and stability before 2025." However, concerns about long-term overcapacity persist. According to Omdia's model, if polarizer film factories that have delayed production start production by the end of 2026, supply is expected to exceed demand again.