PCB Industry: 5G Commercial Floor To Promote High Demand For PCBs. Focus On High-order HDI And Package Substrates In The Future.
According to Prismark, the downstream communications industry has a PCB market size of US$11.692 billion in 2018, US$13.747 billion in 2022, and a compound annual growth rate of 6.2% in 2017-2022. We estimate the segmentation of wireless base stations. In 2019, the scale of the PCB used in the construction of 5G wireless base stations in the world is about 13.365 billion yuan, and will reach a peak of 45.163 billion yuan in 2022. The explosive growth of the server market in 2018 led to the demand for high-level boards. In the future, 5G construction will further expand server demand and promote server product upgrades. The server PCB market is expected to continue to expand. Communication board business vendors will have considerable revenue in the next 2-5 years. It is recommended to focus on Shengyi Technology, Shennan Circuit, Hudian Shares and Chongda Technology, which are involved in 5G base stations and terminals.
Automotive electricization and intelligence bring new growth space for the automotive PCB market.
In 2018, the output value of automotive PCBs is 7.6 billion US dollars. It is estimated that the global automotive PCB output value will reach 10.071 billion US dollars in 2023, and the CAAGR is 6%. It is estimated that in 2023, the production of traditional fuel vehicle PCBs fell to 4.149 billion US dollars, CAAGR was -5%; the new PCB production value of automotive electrification was 5.437 billion US dollars, CAAGR was 23.61%; the new PCB demand for automotive intelligent network integration was 5.85. Billion dollars, CAAGR is 10.54%. The threshold for production of safety-type auto panels is relatively high, and competition in the domestic market is relatively small, and manufacturers have huge profit margins in the future. It is recommended to pay attention to the traditional automotive safety control electronics leader Hudian shares and the Shennan circuit that has realized the supply of new energy vehicle motor control system.
In recent years, consumer electronics has continued to innovate, creating new growth spaces for PCBs for consumer electronics.
According to Prismark, the PCB production value for consumer electronics in 2018 was 24.171 billion US dollars. It is expected to reach 28.087 billion US dollars in 2022 and the CAAGR is 4.2%. In the segmented field, the smart wearable device market is experiencing explosive growth. In 2018, shipments will reach 135 million units, and in 2023, it will reach 205 million units. In 2018-2023, CAAGR will be 23%, driving demand for FPC. 5G will also become a new growth point for smartphones. It is expected that 5G mobile phone shipments will reach 725 million units in 2023, driving demand for high-end PCBs such as SLP and high-end HDI. Vendors with FPC as their main business, SLP and high-end HDI production capacity will usher in new growth. It is recommended to focus on domestic FPC leaders and Pengding Holdings, which has SLP mass production capabilities, Dongshan Precision, a major domestic FPC manufacturer, and Zhongjing Electronics, which has the potential for small-volume, high-volume HDI production.
China is currently focusing on low-end and mid-range products, and is expected to achieve domestic replacement in the high-end product market. The future development prospects of high-end PCB products manufacturers are good.
The global high-end PCB product market is dominated by overseas companies, but due to trade friction and strong demand for China's independent electronic brands, China's high-end PCB manufacturers have a promising market. By broadening financing channels, increasing investment in production and R&D, and continuing to expand production capacity, domestic leading PCB companies will continue to increase their market share in high-end PCB products worldwide. It is recommended to pay attention to domestic FPC leaders and Pengding Holdings, which has SLP mass production capability, and Zhongjing Electronics, which has the potential for small-volume high-order HDI mass production, and Shennan Circuit, Chongda Technology and Xingsen Technology, which have the capacity for mass production of package substrates.