The development status of the printed circuit board industry

1. Printed Circuit Board Market Size

In recent years, the output value of printed circuit boards (PCBs) in China has experienced rapid growth. With the continuous introduction of advanced foreign technology and equipment, China has emerged as the fastest-growing country in the global PCB market.

Data shows that China's PCB output value increased from USD 29.716 billion in 2017toUSD 35.249 billion in 2020, representing an impressive compound annual growth rate (CAGR) of 5.9%, which surpasses the global average. Thanks to the rise of domestic PCB brands, projections indicate that the output value of China’s PCB industry will reach USD 38.936 billion by 2022.

2. Breakdown of PCB Product Categories

China’s PCB products span various categories, including:

• Multi-layer boards

• Flexible boards

• HDI PCBs (High-Density Interconnection boards)

• Double-sided boards

• Single-sided boards

• Metal core PCBs

• Packaging substrates

Among these, multi-layer boards dominate the market, accounting for45.97%of total production. This is followed by:

• Flexible boards: 16.68%

• HDI PCBs: 16.59%

• Double-sided boards: 11.34%

• Single-sided boards: 6.13%

• Packaging substrates: 3.29%

This diverse product structure supports various downstream applications and contributes to the industry's robust growth.

3. Market Share by Downstream Applications

PCBs play a critical role in a wide range of industries, including:

• Communications

• Computers

• Automotive electronics

• Consumer electronics

• Industrial control

• Lighting

• Military aviation

• Medical equipment

Currently, the communications and computer sectors dominate PCB usage, accounting for 30% and 26%, respectively. Automotive electronics and consumer electronics follow with 15% and 13% market shares.

As the demand for complex electronic systems grows, the role of printed circuit board assembly becomes increasingly important. Efficient assembly processes ensure high performance and reliability, particularly in mission-critical industries like automotive, medical, and aerospace sectors. With the continuous innovation of electronic terminal products and the emergence of new devices, the PCB industry is poised for stable and sustained growth.

Future Prospects of the PCB Industry

1. Favorable Policies Support Industry Growth

As a vital component in modern electronics, PCBs are central to the electronic information industry chain. Recognizing this, the Chinese government has introduced multiple supportive policies to stimulate industry development.

Key initiatives include:

• Encouraging the development of high-density interconnected laminates, flexible boards (single-layer, double-layer, multi-layer), rigid-flex PCBs, and packaging carrier boards.

• Promoting intelligent manufacturing, green manufacturing, and service-oriented manufacturing models.

• Cultivating advanced manufacturing clusters.

• Driving innovation in integrated circuits, aerospace, marine engineering equipment, robotics, rail transit, high-end CNC machinery, medical equipment, and more.

These policies aim to elevate China’s PCB manufacturing to new heights, fostering high-end, intelligent, and eco-friendly production processes.

2. 5G Technology Accelerates PCB Innovation

The rollout of5Gtechnology has heightened the demands for PCB performance. Higher communication frequency bands require advanced circuit design and improved materials to overcome issues like millimeter-wave signal attenuation.

To meet these needs, PCB manufacturers are:

• Exploring new high-frequency substrate materials.

• Enhancing circuit designs for speed and reliability.

• Accelerating technological advancements to align with the rapid development of 5G, cloud computing, big data, artificial intelligence, Industry 4.0, and the Internet of Things.

This technological evolution is expected to usher China’s PCB industry into a new era of innovation.

3. Expanding Downstream Applications Drive Growth

As the downstream electronics industry advances, manufacturers continue to invest in R&D and cutting-edge equipment. This push supports the development of high-precision, high-density, and high-reliability PCBs, while also focusing on miniaturization and performance improvements.

A standout application area is automotive electronics, where PCBs are integral to:

• Power control systems

• Safety control systems

• Body electronic systems

• Communication systems

With the rise of autonomous driving and new energy vehicles, automotive PCBs are expected to enter a golden period of growth, propelling the entire PCB industry forward.

Conclusion

The printed circuit board industry in China is on an accelerated growth path, supported by favorable policies, technological advancements, and expanding application fields. As industries evolve and demand for advanced electronic components surges, the future of the PCB market looks promising and full of opportunity.