Despite support from major international sports events, the global display panel industry faces a cautious outlook in 2026, with shipment growth no longer assured. Market uncertainty among brand owners, coupled with rising upstream material costs, is eroding confidence and creating a subdued mood across the supply chain.
Shipments under pressure, area demand still expands
According to Omdia, global display panel shipments are projected to decline by 2% year-over-year in 2026, weighed down by uncertainties surrounding US import tariffs and a slowing global economy. However, total demand measured by panel area is expected to rise by 6%, reflecting a structural shift toward larger screen sizes rather than higher unit volumes.
Large screens drive demand across TVs and monitors
TVs and monitors remain the primary growth engines, supported by accelerating trends toward larger displays. Consumer interest in ultra-large TVs measuring 70 inches and above, as well as large-format gaming monitors, continues to strengthen, offsetting softness in other segments.
Lower production costs are also expected to provide some support. As depreciation ends at major 10.5-generation LCD and 8.5-generation OLED fabs, panel prices are likely to ease, reducing TV manufacturing costs and retail prices. This cost relief could help stimulate replacement demand in price-sensitive markets.
New technologies offset limited sports event boost
Demand for next-generation products is another growth pillar. Apple's anticipated entry into the foldable smartphone market is expected to spark renewed consumer interest, while advances in AI technology should drive higher demand for mobile PCs, both contributing to expanded panel area consumption.
That said, the impact of major sports events in 2026 is expected to be limited, offering only modest support to TV panel shipments. Persistent geopolitical tensions and macroeconomic uncertainty continue to weigh on consumer spending and overall economic growth.
AVC Revo forecasts that total TV panel demand will decline by 2% from 2025 levels. As a result, dynamic capacity control remains essential, with panel makers maintaining a cautious and disciplined approach to production amid an increasingly uncertain market environment.
Article edited by Jack Wu
