1. Introduction to PCB
PCB is the abbreviation for printed circuit board (ie Printed Circuit Board). The printed circuit board is the substrate for the assembly of electronic components. It is a printed board on which the connection between the points and the printed components are formed on the substrate for the communication dao according to a predetermined design. The main function of this product is to connect various electronic components to a predetermined circuit, and play the role of relay transmission. It is the key electronic interconnection of electronic products, and is known as the “mother of electronic products”. Printed circuit boards are used as substrates and key interconnects for electronic parts, and any electronic equipment or products must be equipped. Its downstream industries cover a wide range, involving general consumer electronics, information, communications, medical care, and even aerospace technology (information market forum) products. With the development of science and technology, the demand for electronic information processing of various products is gradually increasing, and new electronic products continue to emerge, which makes the use and market of PCB products continue to expand. The upgrading of emerging 3G mobile phones, automotive electronics, LCD, IPTV, digital TV, and computers will also bring a larger PCB market than the current traditional market.
PCB is the most basic component of the information and electronics industry and belongs to the electronic component industry in the electronic component industry. According to the number of layers, PCB is divided into single-sided board (SSB), double-sided board (DSB) and multi-layer board (MLB); according to flexibility, PCB is divided into rigid printed circuit board (RPC) and flexible printed circuit board ( FPC). In industry research, the PCB industry is generally subdivided into six main subdivisions: single panel, double panel, conventional multilayer board, flexible board, HDI (high-density sintered) board, and package substrate according to the basic classification of the above-mentioned PCB products. industry.
The PCB industry is a typical cyclical industry. From the historical point of view, its cycle is generally 7-8 years, but with the acceleration of downstream demand renewal speed, it has gradually shortened to about 4 years. The high points of recent prosperity appeared in 1995, 2000 and 2004 respectively. Unlike products such as LCD panels and memory, the price trend of CCL is mainly driven by the cost of raw materials, while the price of PCB is greatly affected by the balance of supply and demand.
2. PCB industry chain
Classified according to the upstream and downstream of the industry chain, it can be divided into raw materials-copper clad laminates-printed circuit boards-electronic product applications. The relationship is simply expressed as:
Fiberglass cloth: Fiberglass cloth is one of the raw materials for copper clad laminates. It is woven from glass fiber yarn and accounts for about 40% (thick board) and 25% (thin board) of the cost of the copper clad laminate. Glass fiber yarn is calcined into a liquid state from raw materials such as silica sand in a kiln. It is drawn into a very fine glass fiber through a very small alloy nozzle, and then hundreds of glass fibers are twisted into a glass fiber yarn. The construction investment of the kiln is huge, which generally requires hundreds of millions of funds, and once it is ignited, it must be produced without interruption for 24 hours, and the cost of entry and exit is huge. Glass fiber cloth manufacturing is similar to weaving enterprises. The production capacity and quality can be controlled by controlling the rotation speed, and the specifications are relatively single and stable. There has been almost no major change in specifications since World War II. Unlike CCL, the price of fiberglass cloth is most affected by the relationship between supply and demand. In recent years, the price has fluctuated between US$0.50-1.00/meter. At present, the production capacity of Taiwan and Mainland China accounts for about 70% of the global production capacity.
Copper foil: Copper foil is the raw material that accounts for the largest proportion of the cost of copper clad laminates, accounting for about 30% (thick plate) and 50% (thin plate) of the cost of copper clad laminates. Therefore, the price increase of copper foil is the main driving force for the price increase of copper clad laminates. The price of copper foil is closely reflected in the price change of copper, but the bargaining power is weak. Recently, with the steadily rising copper price, copper foil manufacturers are in a difficult situation. Many companies are forced to close down or be merged, even if copper clad laminate manufacturers accept copper foil. Prices have risen and various copper foil manufacturers are still at a general loss. Due to the appearance of the price gap, another wave of price increases is likely to occur in the first quarter of 2006, which may drive the price of CCL to rise.
Copper clad laminate: The copper clad laminate is a product made by pressing glass fiber cloth and copper foil together with epoxy resin as a fusion agent. It is the direct raw material of PCB. After etching, electroplating, and multi-layer board pressing, printed circuits are made board. The demand for funds in the copper clad laminate industry is not high, about 30-40 million yuan, and production can be stopped or changed at any time. In the upstream and downstream industrial chain structure, CCL has the strongest bargaining power. Not only can it have a strong voice in the procurement of raw materials such as fiberglass cloth and copper foil, but also as long as the downstream demand is sufficient, it can pass on the pressure of rising costs Downstream PCB manufacturers. In the third quarter of this year, copper clad laminates began to increase prices, with a price increase of about 5-8%. The main driving force was to reflect the price increase of copper foil, and the strong downstream demand could digest the price increase pressure passed on by CCL manufacturers. Nanya, the world’s second-largest copper clad laminate manufacturer, also raised product prices on December 15, showing that at least the first quarter of 2006 PCB demand has a good pattern.
3. Development status of the international PCB industry
At present, the global PCB industry output value accounts for more than a quarter of the total output value of the electronic component industry, and it is the industry with the largest proportion among the various electronic component industries, with an industry scale of 40 billion US dollars. At the same time, due to its unique position in the electronic basic industry, it has become the most active industry in the contemporary electronic component industry. In 2003 and 2004, the global PCB output value was 34.4 billion US dollars and 40.1 billion US dollars, with a year-on-year growth rate of 5.27%. And 16.47%.
Fourth, the development status of the domestic PCB industry
My country’s PCB development work began in 1956, and gradually expanded to form the PCB industry from 1963 to 1978. After more than 20 years of reform and opening up, due to the introduction of foreign advanced technology and equipment, single-sided, double-sided and multi-layer boards have achieved rapid development, and the domestic PCB industry has gradually developed from small to large. In 2002, China’s PCB output value exceeded Taiwan and became the third largest PCB producer. In 2003, PCB output value and import and export value both exceeded USD 6 billion, making it the second largest PCB producer in the world. my country’s PCB industry has maintained a high-speed growth of about 20% in recent years, and is expected to surpass Japan around 2010, becoming the country with the largest PCB output value and the most active technology development in the world.
From the perspective of output composition, the main products of China’s PCB industry have shifted from single-sided and double-sided to multi-layer boards, and are increasing from 4 to 6 layers to 6 to 8 layers or more. With the rapid growth of multilayer boards, HDI boards, and flexible boards, the structure of my country’s PCB industry is gradually being optimized and improved.
However, although my country’s PCB industry has made great progress, there is still a big gap compared with advanced countries, and there is still much room for improvement and improvement in the future. First of all, my country entered the PCB industry late, without a dedicated PCB research and development institution, and has a large gap with foreign manufacturers in the research and development capabilities of some new technologies. Secondly, from the perspective of product structure, the production of medium and low-layer boards is still the main product. Although FPC and HDI have grown rapidly, their proportion is still not high due to their small base. Thirdly, most of my country’s PCB production equipment relies on imports, and some core raw materials can only rely on imports. The incomplete industrial chain also hinders the development of domestic PCB series enterprises.
Five, industry general comment
As the most versatile electronic component product, PCB has a strong vitality. Regardless of the supply-demand relationship or the historical cycle, the industry has entered a boom stage in early 2006. The continued strong downstream demand has driven the shipments of various manufacturers in the PCB industry chain level by level, forming at least in 2006 In the first quarter of the year, the “off season is not short” situation. Upgrade the industry rating from “avoidance” to “good”.