PCB Tech - The status and development of the global PCB market in 2020

The PCB industry is the industry with the largest output value in the global electronic components industry, and it is also the basic industry for the manufacture of electronic information products. In 2019, affected by multiple factors, the output value of the global PCB industry dropped slightly by 1.7% year-on-year to US$61.3 billion. Although COVID-19 has had an impact on the industry, the rapid development of 5G has allowed the PCB industry to develop. It is estimated that the global PCB output value will reach 62.5 billion U.S. dollars in 2020, and it will reach 79.2 billion U.S. dollars by 2025.

The printed circuit board (PCB) industry is the basic industry for the manufacture of electronic information products, and is the industry with the largest output value in the global electronic component industry. PCB has a wide range of applications, from household appliances to marine exploration products. As long as there are electronic components, PCBs are needed to support the interconnection between them.

Global PCB output value declined slightly in 2019

Affected by trade frictions, declining terminal demand and exchange rate depreciation, the global PCB output value was US$61.3 billion, a slight decrease of 1.7% from US$62.4 billion in 2018. Mobile phones are the main application channels for PCBs. With the decline in mobile phone shipments for three consecutive years, the overall decline in global PCB production can still be maintained within a small range. Infrastructure before 5G is also a key issue, and some PCB needs have paid off.

Communication electronics is the main application area.

From the perspective of application areas, most PCB market segments have also declined in 2019, but the demand for infrastructure applications such as 5G networks and data centers will continue to grow in 2018. Among them, the server/data storage field The output value increased by 3.1% year-on-year; the computer field (including servers/data storage) accounted for 28.6% of the global PCB output value.

But overall, communication electronics is still the most important application field in the PCB industry, accounting for 33.0% of the global PCB application market in 2019.

Seven Chinese manufacturers on the global TOP10 list

The growth of downstream industries is the main favorable condition for the development of PCB companies. Thanks to the important positions of Taiwan ODM/EMS factories, module factories and semiconductor companies in the PC and mobile phone industry chain, Taiwan PCB companies such as Zhending, Xinxing, Huatong and Tripod have consecutively entered the world's top ten PCB manufacturers rankings.

Among them, the FPC giant, which is closely related to Apple's business, will become the world's number one PCB manufacturer in 2019. Overall, among the TOP10 global PCB manufacturers in 2019, 7 Chinese companies are shortlisted, and China is the world's largest PCB manufacturer.

The scale of output value is expected to continue to expand

Entering 2020, although COVID-19 has disrupted the development of 5G, countries are still struggling with each other in the 5G competition. While the epidemic is prevalent, countries are monitoring the development of the epidemic through digital technology, and foreseeing turning points in industries such as 5G, cloud, and AI. Future digital life scenarios such as remote teaching, intelligent diagnosis and treatment, and industrial risk control AI have also been activated in advance. Judging from the overall development trend in 2020, 5G is still the main driving force for industrial economic growth. It is estimated that the global PCB output value growth rate will reach 2% in 2020, and the output value scale will be approximately 62.5 billion US dollars.

From 2020 to 2025, the global PCB output value is expected to grow at a compound annual growth rate of about 5%. By 2025, the global PCB output value is expected to be close to 80 billion U.S. dollars.