The construction of China's first OLED production line, which involves a total investment of CNY705 million, has begun in Chengdu.

The new facility, which is mainly invested in by Sichuan Changhong, is expected to be completed and put into operation in the first quarter of 2009 with an annual capacity of 12 million OLED screens. He Kesi, director of Changhong's Enterprise Scheming Department, says that Changhong will consume part of the products of the new facility with the rest supplied to other manufacturers.

OLED is regarded as the third generation display technology after LCD and PDP. Right now, a number of foreign companies including Samsung, LG and Sony as well as more than 30 institutions of higher learning and research institute in China are working on its development. The new facility is expected to make Changhong a major OLED supplier in China.