5G Base Station Brings Huge Market Space For PCB!Or More Than 4-5 Times 4G

- Aug 17, 2018-

On July 18, printed circuit board concept stock set off rise stop tide, in 22 concept stocks, ultrasonic electronics, jin an ji, hua zheng new material, tianjin plin, bo min electron and so on many stock rises stop.In fact, the printed circuit board plate market in late June has been gradually started, the board is now the overall rise of more than 18 percent, far - large plate.

Under the market downturn sinking market conditions, A shares "printed circuit board" plate but by the capital chase, many stock prices have hit A recent high.

Product price rise is this "printed circuit board" plate erupts directly "fuse", the leading company of printed circuit board industry will welcome bigger development opportunity.

Capital propels the plate against the potential to start

On July 18, printed circuit board concept stock set off rise stop tide, in 22 concept stocks, ultrasonic electronics, jin an ji, hua zheng new material, tianjin plin, bo min electron and so on many stock rises stop.In fact, the printed circuit board plate market in late June has been gradually started, the board is now the overall rise of more than 18 percent, far - large plate.

Analysts of citic securities believe that product price rise is a direct catalyst in the sector, and the underlying reason is that the growth of high-end demand in the downstream and the integration opportunities brought by environmental protection make leading companies "strong forever" and many PCB factories open the "price rise" mode.

Since July, major PCB factories such as omv electronics and jiantao group have issued price increases, and the price of the whole PCB industry has increased by another 10%.Even with rising prices, factory orders are still too large to be filled and delivery times are lengthening.

From the end of 2017, from kunshan of jiangsu province to zhuhai and Shanghai to shenzhen to the strict inspection on environmental protection, the strict inspection has led to the restriction of production, which has led to the rise of price increase in the whole PCB industry. It is estimated that the overall price increase will be more than 30% by the end of the year.

In addition, since 2017, listed companies such as chongda technology, xingsen technology, bomin electronics and zhongjing electronics have implemented the plan of m&a and production expansion, and their market share has gradually increased.At present, the market share of the top three domestic manufacturers is less than 40%, and the industry concentration is far lower than that of other countries and regions in the world. In the future, the market share of leading companies will have greater room for improvement, which also increases the confidence of leading companies to reverse the market price increase.

5G commercial drives PCB outbreak

As the basic material of electronic products, PCB is the mother of electronic products. It has a broad demand market, and its application fields cover communication, computer, consumer electronics, automobile electronics, etc. Among them, communication and computer are the largest application sectors of PCB at present, accounting for over 25%.

The current 5G era is gradually approaching, and it will enter initial commercial use in 2019 and be officially commercial in 2020.It is reported that various application scenarios of 5G require higher connection speed, delay and connection density, and 5G radio frequency will be introduced into Massive MIMO (Massive antenna array) technology, which needs to use the millimeter wave band with wider spectrum and wider bandwidth to communicate.

The development of millimeter wave will push the scale of base stations in the 5G era to over 10 million, compared to the number scale of base stations in the 4G era.It can be predicted that with the gradual arrival of the comprehensive commercial era of 5G, mass construction and upgrading of communication base stations will form a massive demand for high frequency and high-speed board like PCB, and PCB will meet the demand of a new round of upgrading and replacement.

Estimated based on the number of base stations and the value of a single base station, 5G base stations bring more than 4-5 times more market space for PCB than 4G.