Demand picks up, PCB supply chain replenishes
Business Times
September 21, 2024
Author: Business Times Peng Xiaolin
September 21, 2024
Author: Business Times Peng Xiaolin
Due to the recovery in demand for consumer electronics such as smart phones and computers, coupled with the development of AI and low-orbit satellites, PCB output value has increased significantly, and it is estimated that it will return to the 800 billion yuan level for the whole year. Major PCB manufacturers include Taiwan Optoelectronics (2383), Zhending-KY (4958), Taiyao (6274), Nanjing Electric (8046), Huatong (2313), Jingpeng (2355), Yaohua (2367), Jin For example, stocks such as Electric Power Co., Ltd. (2368) have performed sharply recently, and there is a chance that they will experience another wave of gains before the peak consumption season at the end of the year.
Chu Xiangsheng, chairman of South China Investment Consulting, pointed out that PCB is the basis of electronic products. Low-orbit satellite and AI business opportunities are more advantageous parts of PCB factories. The recovery of consumer electronics is still weak. It depends on whether the iPhone 16 sells well. If the unboxing and usage feedback is good, there will be a second wave of machine replacements, further boosting PCB factory revenue in November and December.
Bai Yihong, an analyst at Qida Investment Consulting, pointed out that the U.S. Federal Reserve cut interest rates by 2 percentage points and entered an interest rate cutting cycle. According to past historical experience, interest rate cutting cycles will drive the recovery of consumer electronics products. PCB is an important component of consumer electronics products, and the rebound of the group can be expected. The main PCB concept stocks include CCL's Taiwan Optoelectronics and Taiyao; Apple's Zhending-KY, Huatong, etc.
Legal experts believe that factors such as geopolitics and the Sino-US trade war for low-orbit satellite products have led U.S. low-orbit satellite manufacturers to choose Taiwanese factories as their main supply chain, including Huatong, Yaohua, Jingpeng, as well as CCL's Taiwan Optoelectronics and Taiwan The low-orbit satellite products of Yao et al., Huatong and Yaohua have accounted for 20% of revenue, and they are setting up factories in Southeast Asia in response to customer requests.
This year's most important technology product, AI servers, also has a huge demand for PCBs. The Industrial Research Institute estimates that the number of AI servers this year will reach 1.6 million units, and the number of general-purpose servers will reach 13.2 million units. Under high-speed computing, the number of The number of PCB layers and materials have been increased to carry high-frequency and high-current signals.
The legal person pointed out that Jinxiang Electronics' Taiwan factory remained fully loaded in the third quarter of this year, and new production capacity was opened in mid-August, which can increase production capacity by 20%, mainly for high-end products such as AI servers. Zhending-KY, the world's largest PCB factory, has a market share of 7%. It is expected to invest 60 billion yuan in the next five years to expand IC carrier boards and become the top five IC carrier board suppliers in the world by 2030.
Related links: https://www.ctee.com.tw/news/20240921700136-439901
【Disclaimer】
The content of this article only represents the author’s personal views and has nothing to do with Creating.
The content, textual description and originality have not been confirmed by this site. This site does not make any guarantee or commitment for this article and all or part of its content, authenticity, completeness, and timeliness. It is for readers' reference only. Please verify the relevant content by yourself.
Creating Nano Technologies, Inc.
59 Alley 21 Lane 279, Chung Cheng Road, Yung Kang City, Tainan, TAIWAN
TEL:886-6-2323927 FAX:886-6-2013306 URL: http://www.creating-nanotech.com