PCB industry faces wave of price surges. Which is one of the hot topic for the people who works in the PCB industry. And they seems want to find the causes, and its solutions. The global Printed Circuit Board (PCB) industry is currently navigating a significant and widespread wave of price increases. A trend that is sending ripples across the entire electronics supply chain. This upward pressure on costs is not attributable to a single factor. But rather a perfect storm of converging economic and material dynamics.
In the situation of supply shortage in the short term is difficult to improve, market demand is still increasing. Institutional data display, last year, PCB industrial output fell by 3.7% affected by the world’s major electronics industry in the field of personal computers, smart phones and other product growth slowed. But in the automotive intelligence and other new demand driven. Institution expects that global PCB industry will usher growth of recovery from 2016 to 2020. We expect the compound annual growth rate to be around 2.3%.
1. The Factors Lead To This Situation
The primary driver remains the sustained high cost of raw materials. Prices for key commodities like copper foil, a fundamental PCB component, and specialty resins have remained volatile and elevated. Furthermore, the growing demand for more sophisticated, multi-layer boards for applications in electric vehicles, 5G infrastructure, and advanced servers is intensifying competition for production capacity. This structural shift towards higher-value boards often comes with a premium price tag.
Compounding these material issues are rising operational expenditures. Energy costs have surged in many regions, directly impacting the energy-intensive PCB manufacturing process. Simultaneously, logistical bottlenecks and increased freight costs continue to add hidden expenses and delays, from shipping raw materials to delivering finished boards to customers.
2. What We Do As Response
In response, we are forcing PCB manufacturers to issue price adjustment notices to their clients. This is a necessary step to maintain viability amid squeezed profit margins. For downstream electronics brands, this translates into higher Bill of Materials (BOM) costs. Which may ultimately be passed on to consumers or pressure their own profitability.
The current price surge underscores the PCB’s critical role as the “heart” of electronic devices. As the industry adapts to this new cost reality. A renewed focus on supply chain resilience and operational efficiency is becoming paramount for all players involved.
