The global PCB industry is moving eastward significantly. In the general direction of the industry, although foreign-funded enterprises still dominate high-end products, with the rise of downstream local brands such as Huawei, ZTE, Xiaomi, Haikang and other companies, domestic-funded enterprises have become a substitute for localization. The theme of this round of industry development. From the perspective of product structure, as the industry’s requirements for “light, thin, short, and small” printed circuit boards continue to increase, downstream demand is gradually shifting to high-end products, and FPC boards, HDI boards, and high-end multilayer board technologies become the future The main direction.
The PCB industry has a wide range of downstream applications. We believe that the current industry growth mainly depends on the construction of communication infrastructure driven by 5G, which drives the large-scale increase in the high-frequency, high-speed board, multi-layer board, and HDI board markets. It is expected that the communication infrastructure will bring The pulling effect will continue until 2021. At the same time, as the 5G communication infrastructure tends to be complete, the consumer electronics field will start a wave of 5G replacement in 2020, driving HDI, flexible boards and packaging substrates to accelerate the increase, and the PCB industry will usher in a new wave of climax.
Wide range of application areas, communication and server market potential
The downstream application fields of PCB are relatively extensive. In recent years, with the development of the electronics industry, product applications have covered various fields such as communications, consumer electronics, automotive electronics, computers, medical care, and aerospace defense. Among them, communications, computers, and consumer electronics applications account for nearly 70% of the total. According to Prismark statistics and forecasts, from 2020 to 2023, the annual compound growth rate of the global single/dual panel and multi-layer PCB output value in the downstream field is about 3.7%, of which the highest compound growth rate is the wireless infrastructure will reach 6.0 %, followed by server/storage (data center), automotive electronics, the growth rate will reach more than 5%.
On the whole, from the perspective of subdivision of the track, the high-level and multi-layer market represented by communications and server/storage is the market with the largest space and the fastest growth. According to Prismark’s statistics, the PCB market for communication wired and wireless equipment reached US$6.6 billion in 2018, and the server/storage PCB market reached US$5 billion. These three markets are all related to the development of the communications industry and are driven by technological innovation and investment in the communications industry. , And the similar product form is mainly multi-layer through-hole boards, which can be considered to belong to the communication PCB market. The total market space of 11.6 billion US dollars is second only to the mobile phone PCB market.
The PCB industry will usher in a new wave of climax
The printed circuit board (PCB) industry once again showed high growth. Among the 24 circuit board companies in the first quarter, 17 were profitable, accounting for nearly 70%.
It is reported that although the epidemic has had a certain impact on the industry and the shipments of consumer electronics circuit boards have been somewhat affected, the demand for circuit boards for 5G products continues to be strong. As the epidemic gradually stabilizes and the European and American markets recover, circuit board companies are expected to continue to grow.
Glass fiber electronic yarn may benefit
Since April, the overall operation of the electronic yarn market has not changed much, and most of the pond kiln enterprises use fabrics for their own use. It is understood that the actual market price of electronic yarn G75 still maintains a range of 8000-8100 yuan/ton, and the prices of some mid-to-high-end products are relatively high. The market price of downstream electronic cloth showed a steady trend, and the mainstream quotation was around 3.6 yuan/meter.
However, driven by the “new infrastructure” and “5G” demand, the PCB industry has shown a trend of high prosperity. As an upstream raw material, glass fiber electronic yarn will certainly benefit from this. With the boost in demand in the PCB industry, the future Glass fiber electronic yarn will also usher in a larger market space.
