Chinese suppliers of key components are making strong progress in the global supply chain, and occupy an important position through the supply of key technology products. According to TechInsights, BOE is expected to supply more than 15 million flexible LTPS OLED displays for Apple's iPhone 16e series, accounting for 60%-70% of Apple's iPhone 16e screen supply, surpassing Samsung and LG in supply. The average selling price (ASP) of the displays it supplies is expected to exceed $25, giving it a significant advantage in the market. This is not only an important milestone in BOE's own development, but also marks the deep recognition of China's display technology in the international high-end market. BOE has entered the Apple mobile phone supply chain since 2020, and its supply share has continued to rise, demonstrating its steady improvement in technology research and development and product quality.
BOE is one of the largest panel manufacturers in China and occupies an important position in the global display panel market. According to the latest market report, BOE maintained its leading position in the global large-size panel market in 2024, with a market share of about 31.1%. This shows that it has a significant advantage in the supply of panels for TVs, monitors, and other large-format display devices. In addition, BOE's products cover a variety of display technologies and application fields, in addition to traditional mobile phones, tablets, notebooks, TVs and other consumer electronics display panels, in medical display, vehicle display and other professional display fields also have an in-depth layout, its high-precision, high-stability medical display panel and vehicle display products to adapt to the complex vehicle environment, are in their respective fields occupy a certain market share.
Figure: BOE smartphone OLED panel shipments (Source: TechInsign)
In addition to BOE, China's key component suppliers have made great strides in a number of sectors. In the automotive field, CATL's global market share of power batteries will reach 36.8% in 2023, ranking first in the world for seven consecutive years and ranking fourth in the list of the top 100 global auto parts suppliers in 2024 by Automotive News. Sanhua Automotive is mainly engaged in the automotive thermal management system parts business, and will enter the top 100 list for the first time in 2024. With the increase in the penetration rate of high-end intelligent cockpits and high-end intelligent driving products, Desay SV's operating revenue exceeded 20 billion yuan in 2023, ranking 74th in the top 100 list. Through continuous innovation, these companies have provided key support for the transformation and upgrading of the global automotive industry in the fields of core components such as batteries, thermal management, and intelligent driving of new energy vehicles.
In the field of industrial robots, Leader Harmonious Drive has become a leading enterprise in domestic harmonic reducers, with production capacity ranking third in the world, and its performance is close to the international advanced level. Inovance Technology has achieved autonomous controllability in the field of servo systems and controllers, improved the intelligence level of domestic robots, and promoted domestic robots to be more competitive in the global market.
In the field of communications, Huawei has made remarkable achievements in the field of 5G, ranking first in the global 5G equipment market with 14% of the world's patents, and achieving 100% localization of 5G base station core chips, providing advanced communication equipment and solutions for many operators around the world, and occupying an important position in the global communications equipment market.
As a technologically advanced and large-scale integrated circuit manufacturing enterprise in Chinese mainland, SMIC continues to improve its technological level, provides a variety of semiconductor chip manufacturing services for global customers, and gradually narrows the gap with the international advanced level. As a well-known semiconductor design company, Weir has strong technical strength in the fields of image sensors, touch and display drivers, and its products are widely used in smart phones, automotive electronics, security and other fields.
Looking ahead, China's key component suppliers have broad room for development in the global supply chain, and are expected to become global leaders in more segments by virtue of technological innovation and industrial upgrading. In international cooperation and competition, these companies will further strengthen the stability and resilience of the global supply chain, work with global partners to promote industrial innovation, and inject new vitality into the global economic development.
