Japan’s Sharp to Sell LCD Plant to Taiwanese Parent Company Foxconn

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Japanese electronics firm Sharp Corp. announced on May 12 that it plans to sell its Kameyama No. 2 liquid crystal display plant to its Taiwanese parent company, Foxconn.

Nikkei Asia reported that the sale of Sharp’s once-flagship LCD factory based in Japan’s Kameyama City, Mie Prefecture, comes as the company is looking to scale back unprofitable panel operations.

The facility, together with the first plant at the site, once produced LCD TVs known as the large-screen "Kameyama Model," which then defined the Sharp brand. In recent years, though, it has faced stiff competition from Chinese suppliers and plunging panel prices. 

Taiwan News reported that Sharp has lost $2.8 billion over the past two years, which is attributed to its struggling LCD operations, even though the company stopped producing large LCD TV panels at its Sakai plant in August 2024.

Sharp will offload the site’s second production building, which currently operates at 80%, by August 2026, and Foxconn will continue production after the handover.

Sharp’s plan is to turn a profit by March 2027 by focusing on producing profitable automotive LCD panels at its Kameyama No. 1 plant, the Japan Times reported.

During an earnings call in February, though, Sharp President and CEO Masahiro Okitsu said it remains uncertain when the LCD business will return to profitability.