PCB industry chain
Oct 24, 2019| Stay Charging Safely with SChitec
PCB industry chain
According to the upstream and downstream of the industry chain, it can be divided into raw materials - copper clad plate - printed circuit board - electronic product application, the relationship is simply expressed as: fiberglass cloth: fiberglass cloth is one of the raw materials of copper clad laminate, textile fiberglass yarn It is about 40% (thick plate) and 25% (thin plate) of CCL. The glass fiber yarn is calcined into a liquid state by a raw material such as silica sand in a kiln, and is drawn into a very fine glass fiber through a very fine alloy nozzle, and then several hundred glass fibers are twisted into a glass fiber yarn. The construction investment of the kiln is huge, generally it needs hundreds of millions of funds, and once the ignition has to be produced 24 hours a day, the cost of entry and exit is huge. Fiberglass fabric manufacturing is similar to weaving companies. It can control the production capacity and quality by controlling the speed. The specifications are relatively simple and stable. There has been almost no change in specifications since World War II. Unlike CCL, the price of fiberglass cloth is most affected by the supply and demand relationship. In recent years, the price fluctuated between 0.50-1.00 USD/m. Taiwan and China's production capacity accounts for about 70% of the world's total.
Copper foil: Copper foil is the largest raw material in the cost of copper clad, accounting for about 30% (thick plate) and 50% (thin plate) of CCL cost. Therefore, the price increase of copper foil is the main driving force for the price increase of CCL. The price of copper foil is closely reflected in the price change of copper, but the bargaining power is weak. Recently, with the high price of copper, the copper foil manufacturers are in a difficult situation. Many companies are forced to close down or be merged, even if the CCL manufacturers accept copper foil. The price rise of various copper foil manufacturers is still in a state of general loss. Due to the price gap, there is a high probability that another wave of price increases will occur in the first quarter of 2006, which may drive CCL prices up.
CCL: CCL is a product of pressing glass fiber and copper foil together with epoxy resin as a fusion agent. It is a direct raw material for PCB. It is made into a printed circuit after being etched, plated, and laminated. board. The demand for funds in the CCL industry is not high, about 30-40 million yuan, and can be discontinued or converted at any time. In the upstream and downstream industrial chain structure, CCL has the strongest bargaining power, not only can have a strong voice in the procurement of raw materials such as fiberglass cloth and copper foil, but also can pass the pressure of rising costs as long as the downstream demand is acceptable. Downstream PCB manufacturers.