Strong demand for PCBs keeps the CCL industry on the growth path.

China’s CCL industry is forecast to maintain growth in the next five years on the back of strong demand for PCBs, which are employed in consumer electronics products and industrial applications. In line with this, makers are striving to improve quality as CCLs determine the performance, reliability, stability and power consumption of boards.

	Halogen- and lead-free CCLs that can withstand high temperatures will be mainstream.

While suppliers gear production toward low-end types at present, future trends will point to high-grade, environment-friendly CCLs to complement requirements for slimmer PCBs. Upscale HDI and multilayer boards will lead the category in the next five years with increased production of 4 to 20-layer laminates.

Halogen- and lead-free CCLs that can withstand high temperatures will be the mainstream. These variants represent 40 percent of total supply at present.

Key maker Shanghai Copper Clad Laminate Co. Ltd commenced mass production of upscale HDI and multilayer boards at its third factory in July last year. The supplier churns out 12 million square meters annually.

China’s manufacture pool consists of about 70 players, which include local enterprises, foreign-owned companies and joint ventures. The last two concentrate on HDI core sheets and multilayer CCLs. Production is carried out mainly in the eastern and southern regions. The two areas churned out a combined 270 million square meters in 2009, accounting for 96 percent of the country’s yield, which hit 280 million square meters. The annual output growth rate stands at 20 percent.

Enterprises are reporting thinning margins as a result of high material and labor costs and a strengthening yuan.

Note: This article "CCL makers to emphasize upscale types" was originally published by Global Sources, a leading business-to-business media company and a primary facilitator of trade with China manufacturers and India suppliers, providing essential sourcing information to volume buyers through our e-magazines, trade shows and industry research.

All price quotes in this report are in US dollars unless otherwise specified. FOB prices were provided by the companies interviewed only as reference prices at the time of interview and may have changed.

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