PCB Industry Depth Report

- Jan 09, 2020-

PCB Industry Depth Report

From an industrial point of view, 5G industry has entered a high boom period. From the perspective of current industrial evolution, 5G market is about to enter a period of high investment in construction. Because of the industrial attributes and the pull of future penetration into all corners, the world is seizing the commanding heights of 5G, which is also the fundamental reason for Huawei's incident.

According to relevant calculations, the usage of PCB by a single 5G base station is about 3.21m2, which is 1.76 times of that of 4G base station (1.825 m2). At the same time, the unit price of PCB for 5G base station is higher than that for 4G base station due to higher frequency of 5G communication and greater demand for PCB performance. Overall, the value of PCB for 5G base station is about 3 times of that of 4G base station.

In addition, due to the higher frequency spectrum of 5G, the coverage of base stations is smaller.According to estimates, the domestic 5G base stations will be 1.2-1.5 times that of 4G base stations, and more small base stations will be required. Therefore, the total number of base stations brought by 5G will be much more than 4G. It is estimated that the increase of 5G Hong Jizhan in 2023 during the peak period of 5G construction will be 1.5 times that of the peak period of 4G construction in 15 years. According to a comprehensive calculation, the market size of the base station PCB industry in the next few years is about 5-26 billion. Compared with the market of 5-9 billion in the 4G era, the base station PCB industry has undoubtedly seen explosive growth in recent years.

Three Future Development Trends of PCB Industry

1, PCB industry enterprises "large-scale, centralized" trend is increasingly apparent;

2. The development of downstream application fields such as communication electronics, consumer electronics, automotive electronics, industry, medical treatment etc. drives the development of PCB industry.

3. SLP will become a must for large PCB manufacturers, and the trend of PCB upgrading is becoming more and more obvious.

In recent years, a group of enterprises in China's PCB market that have begun to take shape and have certain technological leading strength have begun to turn to relatively high-end PCB products such as flexible printed circuit boards, HDI and high-level multilayer printed circuit boards. In addition, the rapid rise of Chinese local smart phone brands in recent years has driven the rapid development of some domestic PCB enterprises. Relying on good cooperation with domestic customers, the scale of production and marketing of local PCB enterprises is continuously expanding, and they are actively exploring the market of high-end PCB products. According to Prismark's data, the output value of China's PCB industry reached US$ 29.73 billion in 2017, up 9.6% year-on-year. It is estimated that the output value of China's PCB industry will reach US$ 35.69 billion in 2022, a growth rate significantly higher than that of the global PCB industry.