Thank you for your “recommendation” and “attention”!
(Based on the latest data from Prismark and the China Electronic Materials Industry Association for 2025)
1. Industry Overview: From “Electronic Carrier” to “Computing Power Core Framework”
PCB (Printed Circuit Board) serves as the “nerve center” of electronic devices, responsible for three core functions: signal transmission, electrical connection, and thermal management. Its performance directly affects the computing power and reliability of end devices.
The key to the PCB supply chain lies in the upstream materials, with typical representatives being copper-clad laminates (CCL), ultra-low profile copper foil (HVLP), electronic-grade resin, and electronic-grade fiberglass cloth, which form the technical and cost foundation of the entire industry.
According to the Prismark Q3 2025 report:
•In 2025, the global PCB market size is expected to reach 78.25 billion USD, representing a growth of 6.4% compared to 2024;
•The compound annual growth rate (CAGR) from 2025 to 2029 is expected to remain at 5.2%, and by 2029, the market size will exceed 94.66 billion USD;
•In 2025, the output value of PCBs in mainland China is expected to reach 44.52 billion USD, increasing its global share to57%, continuing to solidify its position as the largest manufacturing base in the world.
2. Supply Chain Structure: Cost and Technology Transmission Mechanism Across Three Levels Mechanism
The PCB material supply chain is clearly divided into upstream raw materials, midstream copper-clad laminates, and downstream PCB manufacturing and end applications, forming a transmission relationship where “material performance determines product limits, and cost proportion dominates profit distribution.”
1. Upstream: Raw Materials – Core Area with Over 80% Cost Proportion
Upstream materials directly determine the performance and cost of PCBs, with copper foil, electronic resin, and fiberglass cloth constituting the core components, accounting for 82% of the cost of copper-clad laminates (data from the China Electronic Materials Industry Association 2025).
|
Material Category |
2025 Global Market Size |
China’s Production Capacity/Market Share |
Core Technology Trends |
Representative Companies (2025) |
|
Electronic-grade Copper Foil |
9.2 billion USD |
Production Capacity Share68% |
Ultra-thin (below 3μm), low roughness (HVLP4+, Ra<0.3μm) |
Defu Technology (HVLP4+ production capacity of 12,000 tons), Tongguan Copper Foil (42% export share) |
|
Electronic-grade Resin |
5.8 billion USD |
Market Share45% |
Low loss (M8+ grade, Df<0.002), high temperature resistance (Tg>280℃) |
Shengquan Group (mass production of M8 resin), Tongyu New Materials (30% market share of PCH resin) |
|
Electronic-grade Fiberglass Cloth |
8.5 billion RMB |
Production Capacity Share72% |
Low dielectric (Dk<3.5), thin (below 50μm) |
China Jushi (quartz cloth production capacity of 80 million meters/year), Xianglu Fiberglass (25% market share of NE cloth) |
Key data shows: The copper usage per AI server unit reaches 1.8 times that of traditional servers, driving a 32% year-on-year increase in global high-end copper foil (HVLP3+ and above) demand in 2025.
2. Midstream: Copper-clad Laminates (CCL) – The Technical Hub Connecting Upstream and Downstream
Copper-clad laminates are the core substrate of PCBs, connecting upstream raw materials with downstream PCB manufacturing, accounting for 27.3% of the total manufacturing cost of PCBs (Prismark 2025 data), with the technology level directly corresponding to the application scenarios of PCBs.
•2025 Market Size Situation: The global CCL output value is expected to reach 19.2 billion USD, with Chinese companies accounting for 62% of the shipment volume;
•Product Structure: High-frequency and high-speed CCL (used for AI servers and 5G base stations) is priced at 2-4 times that of ordinary glass fiber reinforced epoxy resin substrates (FR-4), with a demand growth rate of 24% in 2025, accounting for 28% of the total CCL market;
•Technological Breakthroughs Achievements: Domestic companies (Shengyi Technology, Shenzhen South Circuit) have achieved mass production of M8 grade high-speed CCL, and have been validated by the supply chains of Nvidia and Huawei, with domestic market share increasing from 22% in 2024 to 28% in 2025.
3. Downstream: PCB Manufacturing and End Applications – A Phase of Structural Upgrading Driven by Demand
Downstream demand is mainly concentrated in AI servers, new energy vehicles, and 5G communications, which together will contribute 65% of the new PCB demand in 2025.
|
End Application Field |
2025 PCB Market Size |
Core Demand Characteristics |
Representative PCB Companies |
|
AI Servers |
8.5 billion USD |
High-end HDI boards, packaging substrates, with a single PCB value of 8000-10000 USD |
Huadian Co. (18% market share in AI server PCBs), Shenghong Technology |
|
New Energy Vehicles |
9.5 billion USD |
High heat resistance (-40℃~150℃), thick copper boards (≥3oz), used for ADAS domain control and BMS |
Shiyun Circuit (12% market share in automotive PCBs), Ultrasonic Electronics |
|
5G Communication Equipment |
12 billion USD |
High-frequency PCBs (used for 800G switches), supporting signal rates of 224G |
Shenzhen South Circuit, Huazheng New Materials |
Export data indicates: From January to October 2025, China’s PCB export value reached 158 billion RMB, a year-on-year increase of 34%, with high-end PCBs (used for AI and automotive applications) accounting for over 60% of exports.
3. Policy Environment: Continuation and Deepening of Localization Policies in 2025 Trends
As the concluding year of the 14th Five-Year Plan, 2025 continues to focus on the localization of high-end electronic materials as a core direction of industrial policy:
•At the national level: The “Special Fund for Upgrading the Electronic Information Manufacturing Industry” will continue, with a budget of 200 billion RMB in 2025, focusing on supporting the R&D of high-frequency and high-speed copper-clad laminates, electronic resins, and other projects;
•At the local level: Guangdong, Jiangsu, Anhui, and other regions provide 15-20% R&D expense deductions for “domestic material substitution verification projects” and simplify the approval process for high-end PCB production capacity;
•In terms of industrial collaboration: The China Electronic Materials Industry Association has taken the lead in establishing the “PCB Material Localization Alliance” to promote collaboration between copper foil, resin, fiberglass cloth manufacturers, and downstream PCB manufacturers for joint technological breakthroughs.
4. Core Trends: Three Certain Development Directions from 2025 to 2027
1.Accelerated Process of Domestic Substitution for High-end Materials: By 2027, the domestic market share of high-end CCL (M8+ grade) and high-end copper foil (HVLP4+) is expected to exceed 35% and 40%, respectively, gradually breaking the monopoly of Japanese and Korean companies;
2.AI and Automotive Dual-Engine Development: From 2025 to 2029, AI servers will drive a CAGR of 28% in PCB material demand, while new energy vehicles will drive a CAGR of 18% in automotive PCB material demand;
3.Technological Evolution Towards “Extreme Performance”: Copper foil will develop towards ultra-thin (2μm), resin will upgrade to M9 grade (Df < 0.0015), and fiberglass cloth will transition to quartz (Dk < 3.0) to meet the demands of 1.6T communication rates and L4 autonomous driving.
5. Core Enterprises in the PCB Material Sector (2025)
|
Supply Chain Segment |
Representative Companies |
Core Competitiveness |
|
Upstream Copper Foil |
Defu Technology, Tongguan Copper Foil |
HVLP4+ production capacity, binding with Nvidia and Tesla supply chains |
|
Upstream Electronic Resin |
Shengquan Group, Dongcai Technology |
M8+ grade resin mass production, domestic market share exceeding 30% |
|
Upstream Fiberglass Cloth |
China Jushi, Xianglu Fiberglass |
Low Dk quartz cloth production capacity, major supplier in the 5G base station supply chain |
|
Midstream Copper-clad Laminates |
Shengyi Technology, Shenzhen South Circuit |
M8 grade CCL mass production, global market shares of 15% and 12%, respectively |
|
Downstream PCB Manufacturing |
Huadian Co., Shiyun Circuit |
Leaders in AI server PCB and automotive PCB segments |
References
[1]Prismark. Global PCB Industry Market Research Report Q3 2025 (R). 2025
[2]China Electronic Materials Industry Association. White Paper on the Development of Core Materials in PCB Upstream (R). 2025
[3]Ministry of Industry and Information Technology of the People’s Republic of China. Management Measures for the Special Fund for Upgrading the Electronic Information Manufacturing Industry (Revised 2025) (Z). 2025
[4]China Electronic Materials Industry Association. Work Plan for the PCB Material Localization Alliance (2025-2027) (R). 2025
[5]Shengyi Technology Co., Ltd. Semi-Annual Report 2025 and Announcement of High-end CCL Technology Progress (R). 2025
[6]Defu Technology Co., Ltd. Announcement of HVLP4+ High-end Copper Foil Production Capacity and Customer Cooperation (R). 2025.
[7]China Circuit Industry Association (CPCA). PCB Material Industry Development Trend Forecast Report (2025-2029) (R). 2025.
[8]International Electronics Manufacturing Alliance (IPC). High-end PCB Material Technology Standards and Application Guidelines (2025 Edition) (S). 2025.
Disclaimer
This document serves only as a reference for the research on the PCB material supply chain and does not constitute any form of investment advice, trading basis, or decision-making guidance. Market data and forecasts are influenced by various factors such as macroeconomic conditions, policy adjustments, technological iterations, and changes in downstream demand, which may deviate from actual situations. The business progress and performance of listed companies should be based on the information disclosed by the companies themselves; this document’s analysis of company operations does not constitute a commitment to their future performance. Every effort has been made to ensure the accuracy and objectivity of the information involved in this document, but no express or implied guarantees are made regarding the completeness, timeliness, and effectiveness of the information. Any institution or individual making decisions based on the content of this document assumes the related risks.