Fujifilm Boosts LCD Film Operations

Fujifilm, the dominant producer of the cellulose triacetate film that is vital to the liquid-crystal display (LCD) industry, will spend $205 million to boost its capacity to make the film.

The company will build a new plant and R&D center at its Ashigara site near Tokyo. It expects the facility to come on-line in April 2008.

The additional material will support manufacturers of large television sets that make use of thin-film transistor LCD technology. Triacetate cellulose and polyvinyl alcohol films are the two main materials used to manufacture the polarizers that are critical components of such LCDs.

Manufacturers of flat-panel television sets are experiencing shortages of raw materials at various points in their supply chain as the sizes of sets increase and consumer demand surges (C&EN, June 26, page 13). Fujifilm notes that demand for television sets of 40 inches and wider is growing 50% annually, creating the need for more and better quality materials.