Samsung Electronics has announced that the company recently held a groundbreaking ceremony for a new 7.5 generation fabrication facility in Suzhou, China. Spanning an area of 600,000 square meters, the new fabrication line will be capable of producing 100,000 glass substrates (1950×2250mm) per month.

Samsung said it is seeking to establish an integrated LCD manufacturing base in China, which the company views as the world's largest market for LCD panels. Samsung will leverage the new fab together with its existing LCD module production line in Suzhou to establish a competitive edge in the market, the company added.

Samsung revealed that its 7.5G panel plant in China will be constructed by Samsung Suzhou LCD (SSL) with an investment of about US$3 billion, and is expected to begin mass production in the first half of 2013.

"Samsung Suzhou LCD sets a new precedent as a strategic joint venture between China's leading TV maker TCL, leading LCD manufacturer Samsung Electronics and the center of the Chinese IT industry Suzhou Industrial Park," said Wonkie Chang, president of Samsung's LCD business, at the groundbreaking ceremony for the company's new China plant.

SSL was established on April 21, 2011 as a joint venture between Samsung, Suzhou Industrial Park and TCL. The venture aims to create synergies by establishing an integrated LCD panel production base in China that leverages the world-class infrastructure within Suzhou Industrial Park and strong backing of TCL, one of China's leading TV makers.