Polarizers, as a core optical component of display panels, are deeply influenced by the global display industry's supply-demand dynamics and competitive landscape. Looking ahead to 2026, as display panel production capacity increasingly concentrates in mainland China, the polarizer industry is undergoing significant restructuring. The global polarizer market is evolving toward a more consolidated and collaborative competitive landscape, with leading manufacturers forming strategic alliances and adopting integrated "strategic cooperation + joint development" models. Sigmaintell predicts that polarizer supply and demand will reach a dynamic equilibrium by 2026, leading to stabilized prices.
1. **Chinese Manufacturers Lead Global Restructuring, Forming a Dual-Giant Competition Pattern** With display panel capacity shifting to mainland China, upstream supply chains are following suit, creating a display-centric industrial cluster. Chinese polarizer manufacturers are actively driving this transformation. In 2021, Shanjin Optoelectronics acquired LG Chem’s polarizer production lines, becoming the world’s largest polarizer supplier. In 2025, Sunnypol merged with Sumitomo’s production lines, significantly expanding its LCD TV polarizer supply. Meanwhile, Hengmei Group’s acquisition of SDI’s lines propelled it to the second-largest global polarizer manufacturer.
According to Sigmaintell, Shanjin Optoelectronics will account for over 30% of global polarizer capacity by 2025, while Hengmei Group’s share will exceed 20%, potentially rising to 26% by 2026. Sunnypol, though now the third-largest supplier, still lags behind the top two in scale. The completion of these major mergers will solidify a dual-giant competition structure led by Shanjin and Hengmei.
This restructuring will profoundly impact the display industry: - Polarizer production concentration in China enhances upstream-downstream synergy, supporting domestic supply chain localization. - Despite scale advantages, Chinese manufacturers still rely heavily on Japanese and Korean suppliers for raw materials, necessitating further localization efforts. - Japanese firms dominate high-end OLED polarizers, urging Chinese leaders to transition from scale to technological leadership. - Higher supply chain consolidation requires panel makers to adapt to more centralized polarizer sourcing.
2. **Panel and Polarizer Leaders Form Strategic Alliances** As polarizer supply consolidates, partnerships between panel and polarizer manufacturers grow critical. Sigmaintell observes that leading LCD panel makers and polarizer suppliers have adopted "alliance-based" cooperation models, integrating strategic collaboration and joint R&D, with potential future capital ties.
- **BOE**: Partners with Shanjin Optoelectronics, which supplies nearly 50% of its LCD polarizer needs. Joint development of STW high-end polarizers strengthens BOE’s premium product lineup. Hengmei Group is set to become BOE’s second-largest supplier, with the top two firms covering over 70% of its demand. - **TCL CSOT**: Maintains a diversified supply chain, with Hengmei emerging as its primary LCD polarizer provider post-merger (over 40% share). TCL CSOT may further diversify to enhance supply flexibility. - **HKC**: Prioritizes cost optimization, deepening collaboration with Sunnypol to boost domestic material adoption.
3. **2026 Polarizer Market: Dynamic Balance and Price Stability** Despite major supply-side shifts, new polarizer capacity investments have slowed. Only 3m ultra-wide production lines are planned, while other projects face delays or cancellations. Sigmaintell estimates global polarizer capacity will grow just 6.6% in 2026, matching LCD panel supply expansion. Key factors include: - Limited new production lines, with most growth from Hengmei and Sunnypol’s existing capacity ramp-ups. - Relocation delays (e.g., Sunnypol’s overseas lines to China, LG Chem’s remaining Korean lines) causing temporary output losses. - Persistent supply risks for high-end polarizer materials, potentially affecting production.
On the demand side, LCD TV panel large-sizing trends will drive polarizer area growth. Sigmaintell forecasts a 10.9% LCD polarizer supply-demand ratio in 2026, indicating dynamic equilibrium and relatively stable pricing.
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