South Korea’s share of the global OLED market rose for the first time in nearly a decade in 2025, as domestic display makers strengthened their lead in high-end technologies despite intensifying competition from China.
According to the Korea Display Industry Association on Tuesday, citing data from Omdia, Korea’s OLED market share reached 68.7 percent in 2025, up 1.5 percentage points from a year earlier.
The gain marks the first increase since China entered the OLED market in 2015. Korea has led the sector since beginning mass production in 2007, but its share had steadily declined in recent years as Chinese panel makers expanded aggressively.
But the increased share comes as the overall OLED market contracted. Global OLED sales fell to $36 billion in 2025, weighed by softer demand, but Korean firms outperformed on the back of stronger adoption in IT devices and automotive displays, as well as rising sales of low-temperature polycrystalline oxide panels.
Industry officials attributed the gains to technological leadership. In mobile displays, Korean companies have advanced color-on-encapsulation technologies, while in televisions they are leading the transition to Primary RGB tandem structures — also known as fourth-generation OLED.
The expansion of OLED into higher-value applications has also broadened demand. Beyond smartphones and TVs, adoption is increasing in gaming monitors, rollable laptops and premium automotive displays, helping Korean manufacturers reinforce their market position.
Chinese competitors, meanwhile, have continued to grow rapidly in the domestic market, focusing on mass production of low-cost OLED panels. However, analysts say they still face hurdles in penetrating the high-end segment due to a persistent technology gap with Korean firms.
Despite gains in OLED, Korea’s overall display market share fell to 31.7 percent in 2025, down from the previous year. The decline reflects a strategic shift away from low-margin LCD production toward higher-value OLED products.
The broader display market is expected to remain under pressure. Industry forecasts point to a 4.6 percent contraction to $128.8 billion in 2026, amid geopolitical tensions in the Middle East and rising semiconductor costs.
“The recent increase in market share reflects sustained investment in next-generation technologies and continued innovation by Korean companies, even as China rapidly catches up,” said Lee Seung-woo, vice chairman of the Korea Display Industry Association.
Looking ahead, the outlook remains positive. With new IT products — including foldable smartphones and laptops — set for release in 2026, alongside the world’s first 8.6-generation OLED mass production, industry officials expect Korean firms to strengthen their supply advantage through cost competitiveness and advanced manufacturing capabilities.
stlee0329@heraldcorp.com
