Foxconn Announces Plans to Build LCD Display Plant in the USSeptember 5, 2017
The worldwide LCD market is fast turning into a high growth sector. According to recent reports, the global LCD display market, which was worth approximately $107 billion in 2015, is estimated to achieve $170 billion by 2022, growing at CAGR of 7.5% between 2016 and 2022. Market analysts have further observed that high demand for larger display area in consumer electronic devices is one of the major drivers of growth that will continue to nurture the market.
The good news is that the burgeoning LCD market is a trend that’s reflected in the US as well. The recent (July 2017) announcement from Foxconn, with its intention to build one of the largest LCD manufacturing facilities in Wisconsin, can be considered a big step in that direction. The multinational electronics manufacturing giant’s plans to build on US soil signals a positive impact on the country’s economy and indicates the country’s strong participation in the promising growth of the LCD segment.
The Foxconn Announcement: What It Holds for the US Economy
Foxconn’s ongoing collaboration with Apple has been instrumental in paving the access for the company to participate in the US economic growth. Since its recent announcement to establish one of the largest display panel manufacturing facilities in Wisconsin, several critical factors have surfaced. They indicate that capitalizing on this strategic initiative, the company will strengthen its physical footprint in the US market and will also play a key role in boosting the job scene in the country.
Foxconn’s decision to start its LCD manufacturing plant in the US will facilitate the country’s economy in the following ways:
- A massive $10 billion investment
- Create employment opportunities for up to 13,000 citizens
- Initially the production process will be backed up by a workforce of 3,000 citizens
- Create up to 22,000 indirect jobs among suppliers and associated business domains
- Construction of the facility may require up to 10,000 personnel on a yearly basis for the next four years
North America to Continue Dominating the Global LCD Display Market
The fast adoption of the latest consumer electronics devices and applications among North American consumers is a critical driver that helps the market to continue enjoying the leadership position. Foxconn’s initiative to deep root its footprint in this market will not only escalate the competition but also will encourage end-users to opt for devices with superb LCD display, featuring high-end functionalities. While the company has already secured a strong presence in the Asia-Pacific (APAC) region, its decision to penetrate the highly competing North American market will enable it to broaden its brand value.
Therefore, in pursuit of executing the plan to build a large-scale LCD plant in the US, Foxconn is not only contributing to the initiative of fueling the growth of the US economy, but is also creating a robust opportunity to compete and triumph over other existing competitors in the display market.