What Is The FPC Future Industry​

FPC has excellent performance, and demand-driven growth exceeds the industry level. FPC has the advantages of high wiring density, small size, light and thin, consistent installation and connection, foldable bending, three-dimensional wiring, etc., which is in line with the trend of intelligent, portable, and light and thin in the downstream electronics industry. From 2009 to 2019, the compound growth rate of FPC output value was 6%, which was higher than the PCB industry growth rate of 4.1%. In 2019, the global output value of FPC was 12.2 billion US dollars, accounting for 20% of the PCB output value.

Demand side: downstream applications are booming, opening up the FPC market space in many fields. From the industry point of view, smartphones are the largest application field of FPC, accounting for 29%. From the brand point of view, it is estimated that Apple is currently the largest demander of FPC. The unit price of FPC is higher than that of domestic mobile phones, and the profitability of corresponding manufacturers is higher. powerful. From the application side, in the future, we judge that the future 5G + mobile phone innovation, VR/AR, IoT, and automotive electronics will have an upward trend in the industry, which is expected to open up the FPC market space + increase usage and value.

Supply side: The global FPC market share is relatively concentrated. Domestic manufacturers mainly enter FPC through acquisitions, showing a pattern of two super strong + many small ones. In addition, domestic manufacturers are actively expanding production and undertaking overseas FPC manufacturers to withdraw from the market. The global FPC market is highly concentrated, with CR3=58% in 2018. The main domestic FPC manufacturers include: listed companies Pengding Holdings, Hongxin Electronics, Jingwang Electronics, Chongda Technology, etc., Hong Kong-listed company Anjieli, unlisted company Jingchengda , Shangda Electronics, Zhuhai Zixiang Electronics, Dingying Electronics, Ganzhou Shenlian Circuit, etc., showing a situation of two super + many small; from the perspective of output value changes, Chinese manufacturers in 15-18 due to their own active expansion of production + customer market Influenced by factors such as the increase in market share + the transfer of external PCB industry, the output value shows a relatively high growth rate. Due to the focus on application areas with higher profit margins + weak willingness to expand production + withdrawal of production capacity, the average output value of Japanese and Korean manufacturers will decrease. Domestic manufacturers expanded production in an orderly manner, and continued to undertake overseas FPC manufacturers to withdraw from the market.

There is a lot of room for localization of soft board raw materials, and PTFE is expected to become the trend of soft board substrates. The FPC industry chain includes upstream raw material suppliers: copper foil substrate CCL, cover film CVL, reinforcing sheet, glue, electromagnetic shielding film, as well as SMT process providers and equipment suppliers such as laser drilling machines, electroplating machines and exposure machines (The ability of SMT to make parts has a greater impact on the profitability of manufacturers), midstream FPC manufacturers, and downstream manufacturers of electronic product module parts and terminal electronic products. At present, FPC raw materials FCCL, copper foil, and electromagnetic shielding film are mainly monopolized by Japanese and Korean manufacturers, and there is a large space for localization.