- Jan 27, 2018 -
The rising price is becoming a major keynote of the electronic components market. As a component connecting carrier, the PCB board is also continuing to rise in price. However, along with the "spring breeze" that limits the row of environmental protection, the whole Yangtze River Delta and PCB businesses in Pearl River Delta are facing new problems.
From the end of 2017, Jiangsu Kunshan limited row to Zhuhai, Shanghai limited row, and now Shenzhen check, the entire PCB industry will usher in a new situation after this wave of price surges. Many PCB vendors will also be dispersed with the "wind".
It is understood that the overall price range of the wave PCB is 20-30% at the same time. At the same time, the restricted platoon affects the whole Yangtze River Delta. Many PCB factories in the Pearl River Delta have to accelerate the transfer to the inland areas (Jiangxi, Hunan, Hubei, Chongqing and so on). Many old or unqualified PCB capacity will be gradually eliminated.
And for this new market that PCB industry ushered in, I found through investigation that this is just a new model of the price increase of components, which is caused by factors such as price rising of raw materials, unequal supply and demand, technological upgrading, tight production capacity and environmental protection.
Kunshan limited to Shanghai, Shenzhen sweeping, environmental tax increases the operating costs of PCB plant
In December 24, 2017, Kunshan city issued an emergency notice requiring full production, 270 companies within the city halted. The news came out, causing the industry in an uproar, especially caused Kunshan Taiwan manufacturers rally. Two days later, Kunshan city once again announced the suspension notice, not the implementation of the previous, next, requirements limit row ".
Industry sources, Kunshan city did not implement the full suspension, for as long as the discharge limit rectification, because the Kunshan Association of Taiwan and Kunshan municipal government consultations. If one, many industry chain enterprises will die, plus unemployment will lead to panic, only the discharge limit rectification. In the requirements of production enterprises in Taiwan manufacturers accounted for nearly half, while the PCB factory due to heavy pollution, it is the discharge limit rectification of the hardest hit.
The general manager of Shenzhen Qianhai New Technology Co., Liu Sheng understands the industry insider, he said, PCB factory increased demand for environmental protection industry is the inevitable trend of the current environmental standards for PCB vendors into a green card and blue card, the two is relatively high standards of environmental protection, the PCB does not have a green card or blue card will certainly checked, the need for rectification.
Liu Sheng further said that at present, it is the first thing to straighten out the environmental restriction of PCB enterprises in East China. The reorganization of PCB plant in Southern China district is only a matter of time. The.PCB industry can not be reorganized at once, otherwise it will have a great impact on the whole industry chain.
The same is true. After Kunshan's limit, Zhuhai also issued a notice of limitation. Then, Shanghai began to limit the arrangement and spread to the Pearl River Delta, represented by Shenzhen.
In January 5th, Shanghai issued the directory of key pollutants discharge units in Shanghai, 2018, and carried out the screening and checking work of five key sewage units, such as water environment, air environment, soil environment, sound environment and others.
According to industry sources, since the beginning of 2018, all the industrial districts in Shenzhen and Baoan have been investigated by the environmental protection department. The industrial area is often cut off by water and electricity and forced to stop production.
Shenzhen city line board industry association staff also confirmed that at present, the major industrial areas of Baoan, Shenzhen, PCB manufacturers have been checked, not to meet the standard is to be rectified.
What are the pollution of PCB plant? Because PCB plate design requires electroplating, etching and developing technology, and many processes are using chemical potion, which brings heavy pollution.
In addition to Kunshan limit discharge events, impact on the PCB industry there is a big movement, is the environmental protection tax. Since January 1, 2018 the implementation of "environmental tax", the PCB plant will be according to the specific circumstances of the exhaust emissions increase tax, including wastewater, exhaust emission costs increased 3-5 times, even more. For PCB manufacturers, the operating cost is increased.
The price rise can be traced back to 2016, a few major reasons for the analysis of PCB's capacity consumption.
In the face of the impact of the industry's environmental restriction and new environmental tax, for the PCB industry, on the one hand, the PCB production capacity in the Yangtze River Delta and the Pearl River Delta will be reduced, and the imbalance between supply and demand will cause the price increase. On the other hand, the PCB factory's tax burden is heavier, and the price increase is also reasonable.
King brother enterprise development department director Zhu Rongwei said, PCB plate prices can be said to be a transfer price, because the upstream copper foil, glass fiber and other raw materials prices; another reason is that in 2016 the outbreak of the lithium industry, consumed lots of copper foil production. Raw material prices in 2016 rose more than 100% at the beginning of 2017, fell back, then began to focus on prices.
The copper foil as a conductive PCB precipitate in the basal layer of the circuit board, the PCB production cost, CCL accounted for about 37% of the cost of PCB. It is reported that from the beginning of 2016, the phenomenon of the supply of electronic copper supply, this phenomenon intensified, in the fourth quarter of 2016 reached its peak has not been fundamentally improved, to promote the in 2016 PCB prices.
In 2017, the price of PCB increased, which is more demand driven growth. Liu Sheng said that in July 2017, the PCB industry began to turn from a peak to a peak season, and began to price many times from July.
Mobile phone orders surge can easily lead to problems. Because mobile phone customers large orders, when a second large PCB after receiving a single production capacity is not enough, it will be low-end orders issued to three or four board factory; three or four board factory after receiving the order, began to do relatively high-end products, the low-end orders issued to the five or six board the factory, which appeared in issue outside the factory explosion problem.
A foreign bill, coupled with the environmental investigation, part of the enterprise if there is no output, will have great influence on the whole industry, because the whole industry chain is the object. In addition, tight capacity after the delivery cycle increased exponentially, panic caused by the single or more.
In addition, in 2017 by the mill drive, PCB capacity consumption is very large, many manufacturers are PCB capacity machine ate. Driven by bitcoin mining industry in 2017 soared straight, PCB capacity of direct consumption is unexpected.
The overall price increase was 20-30%, and the new capacity was released in 3-6 months of this year
Based on the above multiple factors, what is the price increase in the PCB market now? Liu Sheng revealed that from July 2017, the market increased to around 5% after the peak season. With the adjustment of several rounds, the overall price range of PCB is 20-30%..
In the application of PCB board's biggest mobile phone market, iPhone, HUAWEI, OV, Bai Li Feng mobile phone on the PCB board requirements are different, the corresponding prices are also very different, the increase is not the same. Liu Sheng said that the function of each PCB in the price of 1 yuan (including tax), many low-end smart machine PCB the price of 3-5 yuan, in the end PCB in the price of 5-10 yuan, in the high-end smartphone PCB 10-20 yuan, more high-end PCB board will be more than 20 yuan, the difference is still very large.
Liu Sheng further said that the PCB of iPhone8 is 12 layers straight through, the cost is higher than 20 yuan, Oppo/Vivo and other middle end PCB are 10 tier 2 order, the price is about 12 yuan, and the low end intelligent machines such as Baili Feng are 4 or 8 laminates, the cost is about 6 yuan.
The price of mobile phone PCB, you can see, the cost price of PCB products is not high, but due to many factors driving, PCB plate overall increase of 20-30%, it is reasonable in the industry, in addition to some of the PCB factory price only in 10%, does not rule out a single grab and malicious competition. But it is no exaggeration to say at present, the PCB market is very confusing, the price and delivery cycle is not uniform.
Due to the tighter PCB capacity in the fourth quarter of 2017, the delivery cycle has been extended to 90 days, which has caused many panic orders. Many developers have already started the three month order ahead of schedule, but now they encounter the terminal manufacturers' chop list, which leads to the relative confusion of the market.
In fact, many terminal manufacturers began to cut in the first quarter of 2018, but this is the PCB the traditional off-season market. Liu Sheng said, many industry chain enterprises because of this wave of market PCB die, now a lot of factory made out of products to carry, downstream manufacturers do not inform delivery or slowly, in fact no single.
More importantly, the first half of 2018, there will be a lot of new extension of the PCB factory production release, the price for the PCB market will cause great impact. The new capacity in the 3-6 months of this year continued operation, these new capacity is exponentially in the original basis, if Kunshan's capacity is not stopped then, in March this year, PCB prices will begin to decline, coupled with the environmental impact, will lead to many unprofitable companies gradually collapse.
Behind the large industrial migration, the domestic PCB enterprises will usher in the golden period of development
Overall, affected by many factors, such as environmental protection, emission limitation and policy and price increase of raw materials, the whole PCB industry will have a great change in 2018 after the release of new capacity. The capacity of small and medium-sized PCB plants or the market concentration of PCB will further improve.
In this new capacity in the Yangtze River Delta and Pearl River Delta have not PCB expansion. The main manufacturers due to the environmental emission limit effect, PCB manufacturers had expansion to Jiangxi, Hubei, Chongqing and other transfer of the central region, the regional government will also provide policy support, and the current situation of the development of the Pearl River Delta region (as has not welcome to this kind of high pollution), the manufacturing enterprise PCB market will usher in the industrial migration.
Industrial transfer is indeed the current situation of PCB industry. On the one hand, Kunshan, Shenzhen and other cities are indeed catching up with these PCB enterprises. On the other hand, Jiangxi, Hunan, Hubei and Chongqing are indeed "attracting" PCB enterprises to support economic development.
According to industry data show that in 2016 the global PCB production value of around $60 billion, is expected in the next few years the global PCB output value will reach $70 billion, and the local manufacturing industries, Chinese PCB manufacturers will continue to seize market share, will usher in the golden period of development. "Liu Sheng believes that the future output of the world's 70% PCB will come from China, current this time is the best time to the development of the domestic PCB industry.
Zhu Rongwei also believes that the PCB industry is now Chinese enterprises in the golden period of development, the investment will be more and more, and more intense competition, coupled with the impact of environmental protection, the domestic PCB industry after the transfer of the concentration will be gradually improved. In addition, industry mergers and acquisitions also can hardly be avoided, small manufacturers to maintain following the collapse or merger also will become the norm.
As for the development trend of domestic PCB industry this year, the overall look of opportunities will far outweigh the challenges. "In 2018, the domestic PCB industry will be half water half of the flame, because the PCB industry moved transfer trend is very obvious, especially to promote the two capital strength, more domestic PCB companies listed in the capital, the blessing, will will continue to expand production and increase market share." Zhu Rongwei said, with the influence of capacity gradually release and environmental problems, will cause the PCB manufacturers a new round of reshuffle, the strength of the enterprises to determine their own can survive, so that in 2018 the entire PCB industry still has PCB changes, the market price also depends on the overall situation of this wave of productivity release and industry.
But it is worth emphasizing that, in under the influence of environmental policy, the new extension of the inland areas of the PCB factory at the start to build to environmental protection as an important consideration, because of environmental non-compliance, rectification or shut down will be an inevitable trend. So, in order to avoid the old way, it is necessary to strengthen the supply of PCB manufacturers chain management, process improvement, pay attention to environmental problems and low pollution, the migration of the domestic PCB industry is not an industry upgrade.