The $100 billion flexible circuit board industry is about to explode

With the rapid development of consumer electronics such as smartphones, tablets, and wearable devices, flexible printed circuit (FPC) is getting more and more widely used, and the local FPC industry has gradually entered an explosive period. Experts pointed out that the current annual output value of the global FPC industry is about 100 billion yuan, and the domestic enterprise market accounts for only about 10%. In the future, it is still necessary to continuously strengthen technical strength, expand high-end markets, and actively "go out" to enter the international market.

Popularization of smart terminals drives the outbreak of FPC industry

Circuit boards are generally divided into two categories, one is rigid circuit boards, and the other is flexible circuit boards. Rigid circuit boards are mainly used in household appliances such as refrigerators. Flexible circuit boards rely on light weight, thin thickness, and bendability. Good features have become indispensable components for consumer electronics such as smart phones.

As a major consumer electronics manufacturing country in the world, flexible circuit boards have huge demand in China, and domestic flexible circuit board companies are ushering in rapid development. The reporter recently learned from the leading domestic flexible circuit board company Shangda Electronics that Shangda Electronics began to enter the FPC field in 2004. It has become a major supplier of domestic panel manufacturers such as BOE, Tianma, and Huaxing Optoelectronics. It is also Huawei, OPPO, VIVO Supplier of domestic smartphone manufacturers. In 2016, Shangda Electronics' revenue was about 800 million yuan and it is expected to increase to 1 billion yuan this year.

Shangda Electronics Chairman Li Xiaohua told reporters that the demand for flexible circuit boards is increasing every day. In recent years, Shangda Electronics has benefited from the rapid development of domestic panel companies such as BOE and Tianma, which has driven the company's performance to grow significantly. Huang Wei, academician of the Chinese Academy of Sciences, said that flexible electronic technology will drive the trillion-scale market, which is an opportunity for China to strive for the leap-forward development of the electronics industry and can become a national pillar industry.

GF Securities (18.370, -0.05, -0.27%) research report also believes that, because it caters to the trend of thinner and more flexible electronic products, FPC has become the main connection component in electronic equipment, and with the acceleration of global FPC production capacity Local manufacturers will be promising.