LG Display is preparing to expand its large-screen OLED manufacturing capabilities in China, with a planned investment of 1 billion yuan (around A$200 million) targeting display modules measuring up to 111 inches.

The investment, announced by Chinese state-owned investment group Guangzhou Development Zone Holding Group, also known as Guangkai Holdings, will fund an upgrade of the companies’ Lejin OLED joint venture facility in Guangzhou.

According to industry reports, the upgraded production line will support OLED modules in 77-inch, 83-inch, 97-inch and 111-inch sizes, with the 111-inch format the project’s major development.

The investment would strengthen production of ultra-large OLED displays at a time when TV manufacturers are pushing into increasingly larger screen sizes. Premium LCD televisions are available now in formats that exceed 100 inches.

LG Display holds a 70% stake in the joint venture, with Guangkai Holdings owning the remaining 30%. The additional funding will reportedly be directed towards upgrading large-format OLED module manufacturing rather than establishing an entirely new factory.

LG Display supplies OLED panels to television manufacturers including LG Electronics, Sony, Philips and Samsung, giving the investment potential implications across the premium television market.

However, the announcement does not confirm that any of those manufacturers will launch a 111-inch OLED television.

No retail launch date or pricing has been announced for televisions using the proposed modules and LG Display has yet to officially comment on its partner’s announcement.