Quick Look! Latest copper-clad laminates news
2023-08-03

Copper cladding has gone up in price?

 

# Copper Clad Laminate Price Increase News

Shong Jinbao electronics, Willie state, Guangdong Kingboard laminate PCB manufacturers in recent days have increased prices, price increases of 5 yuan to 6 yuan each or so. The important reason for price increases are raw material prices continue to rise, the relevant manufacturers hope that through price increases to conduct cost pressures.

# PCB

As we all know, PCB is the “mother of electronic circuits”, downstream mainly including consumer electronics, automotive electronics communications equipment, in addition to computers, industrial control medical, aerospace, etc. PCB upstream raw materials for the copper-clad laminate (CCL), semi-cured sheet (PP), copper foil, copper ball, etc., of which copper-clad laminate accounted for 37% of the cost of the cost of the most important PCB raw materials. CCL, PP, copper foil, copper ball, etc., of which copper cladding board accounts for about 37% of the cost, is the most important PCB raw materials, other raw materials such as semi-cured sheet accounts for 13% of the cost, gold salt accounts for 8% of the cost, copper foil copper ball accounts for 5% of the cost.

Electronic copper foil, glass fiber, resin is the main raw material of copper-clad board, of which the cost of copper foil accounted for 30% -50%, the cost of fiberglass cloth accounted for 25% -40%, the cost of resin accounted for 25% -30%. Upstream material price increases, the cost of copper-clad laminates does have a significant impact.

In fact, PCB manufacturers in recent years have often faced the situation of rising raw material prices, but they have to mention price increases, always seem a little apprehensive, hesitant.



02

Why are copper-clad laminate manufacturers raising prices?



# Copper-clad laminate segment with higher concentration stronger bargaining power

It is understood that in 2021, rigid copper-clad laminate manufacturers market share concentration of up to 55%, while the top five PCB only 29%.PCB products are a single negotiation, by the processing time the rhythm of the order, to the end of the manufacturers to conduct the price has a time lag.Pricing for copper-clad laminates is more flexible, making it easier to bargain with the PCB segment make substantial profits.

In 2016, for example, the second half of the year began to copper foil, resin, glass fiber cloth three major raw materials have increased prices significantly, there are copper cladding board manufacturers gross margins rose instead of falling, mainly due to the company's timely increase in sales prices.

In general, the copper-clad laminate link, if the upstream price increases, can drive product prices up, bring performance elasticity, while downstream dem growth can also bring price increases.


Zhou Hua, chief analyst at CINNO Research, said in an interview with Caixin News Agency that since late May this year,Copper foil, epoxy resin, glass fiber other major raw material price increases coupled with Q3 downstream PCB manufacturers to replenish inventory dem is strong,is the core of the growth of copper-clad plate price momentum.


03

Dem for Copper Clad Laminate


Never stop moving forward.

Although the dem side of the copper-clad laminate has warmed up, but the current did not show a fierce growth trend, talking about the overall shipments, a manufacturer said, “From the copper-clad laminate alone, there is no particularly large fluctuations.”


Some copper cladding board manufacturers have not yet adjusted the current prices


However, the downstream customers of the copper-clad laminate PCB into the second half of the inventory de-stocking, dem rebound quarter by quarter restorative growth. In addition, along with the macro impact of marginal weakening, the overall dem for a steady recovery, superimposed on servers data centers, automotive electronics, AIoT (smart headphones, smart watches, AR / VR, etc.) emerging applications volume technology upgrades, PCB output value is expected to grow steadily.


Prismark expects global value to reach $10.16 billion by 2026, with a CAGR of over 5% from 2022-2026.Benefit from the downstream application of technical specifications continue to upgrade iterative, the circuit board requirements also continue to improve, PCB downstream high-end products such as HDI, encapsulation substrate, etc. output value accounted for a significant increase.

Downstream link dem boost, help copper cladding board link continue to raise prices to repair profitability gain considerable profits, build the Tao laminate, life benefit technology, Nanya new material, Jinan Guoji, HuaZheng new material, LongYu other copper cladding board big enterprise or will benefit.