Consumer Electronics FPC Market Potential Must Be Expected

FPC is widely used in communications, consumer electronics, automotive electronics, industry, military, aerospace and other fields, and its market demand is closely related to the demand for downstream terminal electronic products. From the perspective of the main downstream application structure of FPC, according to Prismark data, the global FPC output value in 2019 is mainly concentrated in the field of communication electronics and computers, of which communication electronics accounted for 33.0%, computers accounted for 28.6%, and consumer electronics mainly composed of mobile phones. The main contribution point of FPC output value scale. In the future, with the increasing volume of consumer electronic products such as communication electronics, electric vehicles, and wearable devices, the market demand for FPC will gradually increase. According to the data of Huajing Industry Research Institute, the global FPC market size in 2019 was about 13.8 billion US dollars, and the global FPC market size is expected to reach 28.7 billion US dollars in 2025, with a six-year CAGR of 13.0%.

Taking the application of folding screen technology as an example, FPC is required between the two screens of a folding screen mobile phone for cross-hinge flexible connection. Compared with ordinary mobile phones, the amount of FPC will increase. Since 2019, Samsung, Huawei, Xiaomi and other mobile phone manufacturers have successively launched various models of folding screen mobile phones. As the folding screen mobile phone industry chain becomes more and more mature, the global and domestic folding screen mobile phone shipments are expected to show a rapid growth trend. According to Omdia data , it is estimated that the global shipments of folding screen mobile phones are expected to reach 51 million units in 2025; domestically, the shipments of folding screen mobile phones are expected to reach 13.8 million units in 2025, and the recovery of mobile phone market demand brought by folding screen technology is expected to continue to drive FPC Demand grows.

The rise of the emerging market of wearable devices has boosted the continuous expansion of the new incremental market of FPC. In recent years, with the gradual popularization of consumption upgrades and technologies such as AI, smart wearable devices for emerging consumer electronic products such as TWS headsets, VR/AR, smart watches/bands have developed rapidly. According to IDC data, the global wearable device shipments from 2014 to 2021 showed an upward trend year by year. In 2021, the global wearable device shipments will be 534 million units, a year-on-year increase of 19.99%. Among them, the global shipment of TWS headphones was 290 million units, a year-on-year increase of 26.09%. Because of its thin and flexible characteristics, FPC has the highest degree of fit with wearable devices and is the preferred connection device for wearable devices. With the vigorous development of the wearable device market, the FPC industry will become one of the biggest beneficiaries.

The explosion of the VR/AR head-mounted display equipment market has promoted the increase in the usage of FPC. At present, AR/VR equipment ranges from ordinary models to mid-to-high-end models, and the amount of FPC used in a single machine can reach 10 to 20 pieces. Some high-end models have many sensors, complex circuits, and stricter requirements for product weight and performance. FPC Use more, maybe 20 or more. In the future, with the iterative upgrade of products, more functions, more sensors and cameras introduced, and higher requirements for products on light weight and heat dissipation, the consumption of FPC will further increase. The global AR/VR market shipments are expected to grow from 5.85 million units in 2020 to 21.3 million units in 2024, with a CAGR of 29.49%. China's VR equipment shipments are on the rise as a whole, with about 1.69 million units in 2021 and an estimated 12.66 million units in 2025. As one of the important components of VR/AR, FPC has huge market potential.