5G pulls high-speed CCL space to grow more than 8 times

[2018 China's PCB output value exceeds 34 billion multi-layer board dominates]

China's electronic circuit industry is on the path of “industrial transfer”, and China has a healthy and stable domestic demand market and significant manufacturing advantages, attracting a large number of foreign-funded enterprises to shift their production focus to mainland China. After years of accumulation, the domestic PCB industry has gradually matured. As a major production area for single-layer PCB, mainland China is further extending to the mid-to-high-end market.

 

In recent years, the scale of China's PCB production has expanded year by year. According to the statistics of China's printed circuit board manufacturing industry market prospects and investment strategic planning analysis report released by Prospective Industry Research Institute, the scale of China's PCB production value has reached US$20.17 billion in 2010. As of 2017, China's PCB output value has increased to 29.73 billion US dollars, an increase of 9.7%, accounting for 50.53% of the global total. By the end of 2018, the scale and growth rate of China's PCB industry's output value reached a record high, with an output value of US$34.5 billion, a year-on-year increase of 16.0%.

As downstream electronic products pursue light, thin, short and small development trends, PCB continue to develop in the direction of high precision, high integration, and thinness. However, compared with Japan, South Korea, Taiwan and other regions, PCB products in mainland China are still dominated by low-end products such as single and double panels and multi-layer boards with less than 8 layers. In 2017, among China's PCB products, the proportion of multi-layer boards reached 41.5%.

 

[Emerging industries promote industry development in the future China's PCB output value will exceed 40 billion US dollars]

China is a globally influential electronic information product manufacturing base and consumer market. With the continuous advancement of "Made in China 2025", in emerging markets such as mobile Internet, Internet of Things, big data, cloud computing, artificial intelligence, driverless cars, etc. A number of well-known local companies have emerged to provide more development opportunities for the supporting electronics manufacturing industry.

In addition, since 2019, Henan, Beijing, Chengdu, Shenzhen, Jiangxi, Chongqing and other places have launched action plans or planning programs to support the 5G industry. With the advent of the 5G commercial era, the construction of network infrastructure such as base stations is accelerating, and the requirements for communication materials are higher and the demand for 5G communication equipment will be larger. Major operators will invest more in 5G construction in the future. Therefore, there will be a huge market for communication PCB in the future. It is estimated that by 2022, China's PCB output value will exceed 40 billion US dollars, and by 2024, the output value will reach 43.8 billion US dollars, and the market scale is very large.

 

[Industrial investment will be upgraded. Taiwanese PCB industry fights 5G wisdom]

The total output value of Taiwanese businessmen at both sides of the PCB was increased from NT$522.2 billion in 2013 to NT$514.1 billion in 2018, with a growth rate of 24.7%. TPCA (Taiwan Circuit Board Association) said that it faces the future US-China trade and mainland China industry. Regulations, return to Taiwan investment concessions and many other changes, the recent cross-strait investment incentives, but the transfer of PCB factory, looking at the end customer requirements, whether the upstream and downstream supply chain is complete and other factors.

Taiwan's PCB industry is responding to the 5G era, Taiwanese companies have invested in improving process capability and production technology. Under the three factors of international situation, investment preference and 5G layout, the PCB industry has successively passed the PCB industry in the first quarter of this year. Taiwanese businessmen are welcome to return to Taiwan to invest in action plans and urban industrial zones to update their three-dimensional development plans. The total investment amount is more than 15 billion Taiwan dollars. The company is investing in high-end products and 5G layouts. It is reported that there are still manufacturers to apply for proposals.

 

[5G, artificial intelligence, car networking and other emerging markets pose a higher challenge to PCB]

At present, in the printed circuit board industry, 5G, Internet of Things, data center, automotive electrification and intelligent PCB demand are increasing, PCB industry growth momentum is sufficient, PCB products tend to be high-end - high system integration, high performance.

 

Emerging markets such as 5G, artificial intelligence, and car networking have also raised higher challenges for PCB. For these emerging markets, high-end high-frequency high-speed PCB boards for high-end PCB require a comprehensive upgrade of their processes and raw materials, and comprehensive technical barriers. The key to achieving high frequency in PCB is the high frequency copper clad laminate material and the PCB manufacturer's own processing technology.