Flexible printed circuit board has become a leader in PCB subdivision industry in recent years, in line with the development theme of thinness and miniaturization. Haitong securities believes that the FPC industry will have long-term growth potential.

Fpc leads PCB industry

In the trend of the development of electronic products to thin, miniaturization, driving PCB from rigid to flexible upgrade. Fpc has the characteristics of thin, flexible, winding, folding and high wiring density, which perfectly fits the development theme of thin and small, and has become a leader in PCB subdivision industry in recent years.

The FPC industry is dominated by Japan, the United States and south Korea. in recent years, the increase in production costs has led to the gradual shift of the focus of the FPC industry to domestic, the domestic PCB output value is the world's first, the average compound growth rate is higher than other parts of the world.

Fpc is located in the middle and upstream of the electronic industry chain, its direct raw materials upstream for flexible copper clad plate fccl, downstream for the end consumer electronics. At present, Japanese enterprises with a pre-emptive advantage occupies the absolute dominant position in the upstream of the industrial chain, the medium and short-term pattern will not change, the domestic start is late, relatively in a weak position, in recent years thanks to the FPC industrial center of gravity to the domestic transfer, upstream manufacturers actively demand technological breakthroughs, the future is expected to gradually break the pattern of foreign monopoly.

The downstream application field is wide

Downstream applications for FPC include smartphones, as well as tablets, automotive electronics, wearable devices, drones, and more.

Smart phones are the main application field of FPC, and the future production of flexible phones is expected to make the FPC market achieve explosive growth. Tablet has a steady global growth rate, but the domestic penetration rate is low, with the increase of the share of domestic manufacturers, FPC on the tablet has a lot of room for improvement; The rapid increase in that demand for body sensor and display screens for smart car is expected to significantly increase FPC demand, and wearable devices require flexible, thin PCBs to suit them, as well as lightweight PCBs for UAVs, all of which contribute to the development of the FPC industry.