APCB(printed circuit Board) board composition and industry chain analysis

Printed circuit board (PCB) is the substrate used to assemble electronic components. It is a printed board that forms point-to-point connections and prints components on a generic substrate according to a predetermined design. The main function of the product is to make various electronic components form a predetermined circuit connection, play the role of relay transmission, is the key electronic interconnection of electronic products. The manufacturing quality of printed circuit boards not only directly affects the reliability of electronic products, but also affects the overall competitiveness of system products. Therefore, printed circuit boards are called "the mother of electronic system products". The development level of printed circuit board industry can reflect the development speed and technical level of electronic industry in a country or region to some extent.

Glass fiber yarn: glass fiber yarn is calcined into liquid state by silica sand and other raw materials in kiln, then drawn into very fine glass fiber by very fine alloy nozzle, and then twisted into glass fiber yarn by several hundred glass fibers. Kiln construction investment is huge, for the capital intensive industry, 30000 tons of kiln needs 400 million yuan, new kiln needs 18 months, the business cycle is difficult to master, and once the ignition must be 24 hours uninterrupted production, and after five years or so, must stop production for half a year maintenance, enter and exit the cost is huge.

Glass fiber cloth: Glass fiber cloth is one of the raw materials of copper clad plate, made of glass fiber yarn textile, accounting for about 40% of the cost of copper clad plate (thick plate) and 25%(sheet). Glass fiber cloth manufacturing and weaving enterprises are similar, can control the speed to control the production capacity and quality, and the specifications are relatively single and stable, since the second World War almost no big changes in specifications. Unlike CCL, the price of fiberglass cloth is most affected by supply and demand, and has fluctuated between $0.50 and $1.00 / m in recent years. Taiwan and China now account for about 70 per cent of global production. The upstream and downstream relationship is the key to operation, the price of a loom is 100,000 ~ 150,000, generally more than 100 sets can be normal production, but the subsequent heat treatment and chemical treatment equipment capital requirements are high, up to ten million level, weaving capacity expansion is easy, more flexible.

Copper foil: Copper foil is the raw material accounting for the largest proportion of the cost of copper clad plate, accounting for about 30% of the cost of copper clad plate (thick plate) and 50%(sheet) above, so the price rise of copper foil is the main driving force of the price rise of copper clad plate. Copper foil is widely used, not only in the copper clad industry, when the copper clad industry is depressed, copper foil manufacturers can switch to other uses of copper foil production. The price of copper foil is closely reflected in the price of copper. With the rising price of copper, copper foil manufacturers transfer the cost pressure to the downstream. The high technology barrier of copper foil industry leads to the lack of domestic supply, high-grade copper foil still needs a large number of imports, and the cost of investment is also very large.

Copper coated plate (CCL for short) : It is made of electronic grade glass fiber cloth as the base material, soaked in epoxy resin, dried and made into semi-cured bonded sheet, and then coated with thin copper foil on one side, two sides or multi-layer board, and made under special hot pressing process conditions. It is the direct raw material of PCB. Copper clad industry capital demand is large, small scale factory about 50 million yuan, high concentration, there are about 100 in the country. The copper cladding industry is a cost-driven cyclical industry. In the upstream and downstream industrial chain structure, CCL has strong bargaining power for PCB. As long as the downstream demand is reasonable, the pressure of rising cost can be transferred to the downstream PCB manufacturers. Because of the single use of copper-clad products, they can only be sold to printed circuit boards, and when PCBS are depressed, they have to lower prices to ensure the utilization of capacity.

PCB: Compared with the upstream and downstream industries, the characteristics of the printed circuit board industry determine its industrial concentration is not high; In the fierce market competition environment, only those enterprises with good market positioning and high operation efficiency can have long-term competitiveness. An ordinary PCB production line needs more than 20 million yuan, multi-layer board needs 50 million yuan, and HDI needs more than 200 million yuan. Due to the huge industry, the division of labor is very fine, there are specialized in drilling and other single station process outsourcing, low-grade products oversupply. HDI and other high-end printed circuit board industry belongs to the capital and labor intensive industry, the management and technology requirements are relatively high, often become the bottleneck of capacity expansion.