The China government has reportedly entered discussions about issuing new energy-saving subsidies that would provide local consumers funding for LCD TV purchases, according to industry sources.
The government issued similar subsidies back in 2012 that extended throughout May 2013. Market observers said the subsidies were a major factor in driving TV sales in China over the period as well as bringing increased business opportunities for panel makers and their affiliated supply chains both in China and Taiwan.
However, since the subsidies discontinued back in June, TV sales in China have dropped, as have TV panel makers' shipments. As a result, the China government has been receiving pressure from local TV vendors and panel makers, which has prompted the government to enter discussions about issuing new subsidies.
The sources said the government should have a better idea of when the subsidies will be released by the end of July, but that local TV vendors are holding conservative views as to whether the government will extend such funding.
China is currently the largest TV market in the world.
