While the LCD panel market has remained largely steady for the first quarter of 2012, prices of some sizes have risen recently due in part to tight production capacity at 7.5G lines, according to Paul Peng, president of AU Optronics (AUO).

Panels that have received price hikes include 24-inch monitor and TV panels, and 40- and 42-inch TV panels, Peng indicated, but added that downward pressure on prices of 32-inch TV panels is mounting due to capacity ramps by China-based makers.

Since 6G and 8.5G lines in China will focus on the production of mainstream products, AUO will adopt new technologies to curtail the impact of increasing availability of China-made panels on its sales, Peng stated.

Flat panels shipped to China accounted for 25-26% of AUO's total shipments in 2011, lower than its projection of 30%, said Peng, adding that the ratio of China-bound panels will expand in 2012 buoyed by shipments of 3D TV panels.