The leading makers of liquid crystal display (LCD) screens are rushing to set up production bases in China, which is expected to become the world's biggest LCD TV market within a few years.

Most companies have so far kept only back-end assembly lines in China to protect their advanced technologies, but growth prospects for the Chinese market now outweigh caution over intellectual property.

Samsung plans to build a 7.5 generation LCD manufacturing facility in Suzhou, Jiangsu province, for 2.6 trillion won ($2.2 billion). [ID:nSEO131216]

LG Display has signed a deal with the Chinese city of Guangzhou, Guangdong province, for a $4 billion, 8th-generation panel plant. [nSEO152959]

"The government has approved exporting those core LCD technologies to China, considering the need to manage the fast-growing Chinese market locally and economic cooperation between South Korea and China," the prime minister's office said in a statement.

Research firm DisplaySearch expects the Chinese LCD TV market to grow to 40.8 million units in 2012 from 25 million in 2009, overtaking North America and Western Europe.

Japan's Sharp Corp (6753.T) will set up a venture with China Electronics Corp (CEC) to make LCD TV panels in Nanjing, Jiangsu, while Taiwan's AU Optronics (2409.TW) is also in talks with Chinese cities to set up a new plant.

Source:reuters