Heads of South Korean display makers expressed concerns about the potential effects of the US-Iran war on Thursday. They are wary that the conflict in the Middle East could lead to inflation and increased production expenses. Samsung Display CEO Yi Chung stated that prolonged war could significantly raise raw material prices, adding to the challenges posed by escalating memory chip costs.
Amid worries of rising global memory chip prices and their impact on smartphone manufacturers, there are fears of reduced shipments due to higher costs. This scenario could ultimately weaken the demand for display panels in the market. Yi emphasized the importance for companies to focus on cost reduction and collaboration to enhance competitiveness in such challenging times.
LG Display CEO Jeong Chul-dong also highlighted the company’s vigilance regarding the Middle East situation. While the conflict has not directly affected the company yet, they are closely monitoring the developments. With finished product prices increasing due to higher memory chip costs, LG Display is assessing the potential implications and planning responsive strategies based on memory chip supply changes.
Jeong emphasized the company’s commitment to improving financial stability and ensuring consistent profits to deliver strong performance in the first half of the year.
