China’s Display Industry prepares for EU PFAS regulations

China’s display panel industry is accelerating its transition to PFAS-free production in response to the European Union’s (EU) strengthened regulations on PFAS (Per- and Polyfluoroalkyl Substances, persistent harmful chemicals). The EU’s REACH (Registration, Evaluation, Authorization and Restriction of Chemicals) PFAS substance restriction regulation is based on an initial proposal submitted in January 2023 by five member states: Denmark, Germany, the Netherlands, Norway, and Sweden. Following a public consultation from March to September 2023, which gathered over 5,600 comments, an updated Background Document was published on August 20, 2025.

This regulation proposes restriction options due to the environmental and health hazards posed by PFAS’s persistence, mobility, and bioaccumulation. Concentration limits were set at 25 ppb for individual PFAS, 250 ppb for group totals, and 50 ppm for all PFAS (including polymers). The Commission will publish the amended REACH regulation in December 2025. Following deliberation by the Parliament and Council, full implementation will commence in 2027. Essential use exemptions (e.g., medical devices, safety-related applications) will undergo strict scrutiny and will only be permitted when no alternatives exist. Penalties, determined by member state laws, include administrative and criminal sanctions, posing a significant risk of export bans for violations. This regulation forms part of the EU’s ‘Chemical Strategy for Sustainability’ (2020), aiming for an 80% phase-out of PFAS by 2030.

These regulations are expected to directly impact OLED and LCD processes in the display industry (cleaning agents, coating agents, etc.), prompting major Chinese companies to reassess supply chains and develop alternatives. For the display industry, developing PFAS-free alternatives (such as silicon-based coatings) for OLED deposition and cleaning processes is a key challenge. China’s display industry, with its high export share to the EU, is expected to face impacts across its entire supply chain.

BOE is reevaluating key materials for its European exports—including photoresist (PR), polarizers, and cleaning solutions—to comply with EU REACH standards. It has requested suppliers like Japan’s JSR and Shin-Etsu Chemical to switch to non-fluorinated alternatives and is testing silicon-based coatings on a pilot line at its Hefei plant. Considering the EU market’s 22% share of its total sales, non-compliance by 2026 could risk halting exports. BOE is concurrently improving its AMOLED processes, primarily at its Chongqing and Hefei plants, while constructing an 8.6-generation AMOLED line (B16) with a target lighting-up date of late 2025. The LCD product line, with its lower process complexity, plans to prioritize the transition to PFAS-free materials by 2027. Notably, for Apple supply, PFAS-free materials are scheduled for application starting with the iPhone 18 series. BOE is evaluating PFAS-free options from Rouxian (柔显) and Mitsubishi Chemical to replace the Black PDL (Pixel Definition Layer) material. Black PDL is a core material in the Pol-less OLED structure, contributing to reduced device thickness and improved efficiency.

TCL CSOT is enhancing its process to minimize PFAS usage by leveraging inkjet printing (IJP) technology. Its 8.6-generation OLED factory, which broke ground in Guangzhou in November 2025, applies IJP to directly print RGB materials without fluorine-based vapor deposition processes, expecting a 20% cost reduction and improved energy efficiency. TCL CSOT highlighted the potential for minimizing PFAS use, reducing costs by 20%, and improving energy efficiency at SID Display Week 2025.

Visionox is reducing PFAS dependency with its FMM-free ‘ViP (Visionox intelligent Pixelization)’ technology. This photolithography-based pixel patterning reduces PFAS exposure during cleaning and coating steps. Construction of its Hefei 8.6-generation OLED factory commenced in late February 2025.

China’s Ministry of Industry and Information Technology (MIIT) set a 70% domestic substitution rate target for PFAS alternatives by 2026 in its ‘PFAS Usage Restriction Roadmap’ announced in December 2024, while expanding R&D subsidies for companies like BOE and TCL CSOT. This represents national-level support linked to semiconductor and display self-sufficiency policies, bolstering China’s OLED shipment expansion. The MIIT roadmap prioritizes banning specific PFAS like PFHxA and PFOA, similar to the EU REACH regulation, aiming for full implementation by 2027.

Changho Noh,  Senior Analyst at UBI Research  (chnoh@ubiresearch.com)

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