Analysis of the development of global PCB industry

PCB industry is the industry with the largest output value in the global electronic component segmentation industry, and also the basic industry of electronic information product manufacturing. In 2019, affected by multiple factors, the output value of global PCB industry decreased by 1.7%, is 61.3 billion US dollars.

Although the novel coronavirus pneumonia epidemic in 2020 has an impact on the PCB industry, the rapid growth of 5G has made the growth of PCB industry grow continuously. It is estimated that the global PCB output value will be 62.5 billion US dollars in 2020 and US $79.2 billion in 2025.

Printed circuit board (PCB) industry is the basic industry of electronic information products manufacturing. PCB has a wide range of applications, ranging from household appliances to ocean exploration products. As long as there are electronic components, PCB will be used for the support and interconnection between them.

Output value of global PCB industry declines slightly in 2019

Affected by trade friction, declining terminal demand and exchange rate depreciation, the global PCB output value was 61.3 billion US dollars, a slight decrease of 1.7% compared with the value of 62.4 billion US dollars in 2018. Mobile phone is the most important application of PCB. With the decline of mobile phone shipment for three consecutive years, the decline of global PCB output value can still be maintained in a small range. 5g infrastructure construction is also a key factor, which has pulled back some PCB demand.

China's PCB market performance is better than other regions

From the regional market point of view, China's market performance is better than other regions. In 2019, the output value of China's PCB industry was about 32.9 billion US dollars, with a small increase of 0.7%, accounting for about 53.7% of the world. This is mainly due to the high growth of relevant circuit board suppliers promoted by 5G base.

In 2019, although the Sino US trade war launched a boycott against Huawei, Huawei's market share in the 5g era still has room to grow with the adoption of Huawei equipment by countries around the world. With the rapid development of 5g, big data, cloud computing, artificial intelligence, Internet of things and other industries, as well as the advantages of industrial supporting and cost, the market share of China's PCB industry will continue to increase.

In addition, the total output value of Japanese circuit boards in 2019 is about 5.288 billion US dollars, a year-on-year decline of 2.8%, accounting for 8.6% of the global market. From the product layout of Japan's circuit board industry, in order to avoid the fierce competition of mobile phone applications and erode the company's profit level, Japanese flexible board companies adopt the strategy of getting close to the emerging applications such as car, robot and biomedicine. How the results are still to be seen.

Communication electronics is the main application field

From the perspective of application field, most of the PCB market segments also declined in 2019, but the demand for 5g network and data center and other infrastructure application fields continued the growth trend in 2018, in which the output value of server / data storage domain increased by 3.1% year-on-year; the proportion of computer field including server / data storage accounted for 28.6% of global PCB output value. But overall, communication electronics is still the most important application field of PCB industry, accounting for 33.0% of the global PCB application market in 2019.

Seven Chinese manufacturers on top 10 in the world

The growth of downstream industry is an important favorable condition for the development of PCB fabrication enterprises. Benefiting from the important position of Taiwan based ODM / EMS plants, module factories and semiconductor enterprises in the PC and mobile phone industry chain, ZD Tech, Unimicron, Compeq, Trpod and other Taiwan Based PCB enterprises have successively entered the top 10 PCB manufacturers in the world. Among them, ZD Tech , a FPC giant closely related to Apple's business, has become the world's first PCB manufacturer in 2019. In general, among the top 10 PCB manufacturers in the world in 2019, 7 Chinese enterprises are on the list, and China is the largest PCB manufacturer in the world.

It is estimated that the output value of global PCB industry will be nearly 80 billion US dollars in 2025

In 2020, the novel coronavirus pneumonia disrupted the progress of 5G, but countries still fought hard in the 5G competition. At the same time, with the development of the epidemic situation monitored by digital technology, countries have foreseen the turning point of 5g, cloud and AI industries in advance, such as remote teaching, intelligent diagnosis and treatment, and AI based industrial risk control.

In terms of the overall development trend in 2020, 5g is still the key driving force for industrial economic growth. It is estimated that the global PCB output value growth rate will be 2% in 2020, and the output value scale will be about 62.5 billion US dollars. From 2020 to 2025, the compound annual growth rate of global PCB output value is expected to be about 5%. In 2025, the global PCB output value is expected to be close to 80 billion US dollars.