The operation of listed cabinet PCB manufacturers in July was different from hot and cold. According to the statistics of the Taiwan Circuit Board Association (TPCA), in terms of the overall revenue in July, PCB manufacturers still showed steady growth, with a monthly increase of 0.85% and an annual increase of 0.85%. The double growth rate increased by 7.95%, and the annual growth rate of the cumulative revenue in the first seven months was further enlarged to 17.87%. However, there were differences in the performance of soft and hard boards. In July, the revenue of soft boards increased by 7.01% month-on-month and 12.14% year-on-year, while hard boards/carrier boards decreased by 1.21% month-on-month and 6.52% year-on-year.

Taiwan Industrial Technology Research Institute IEK pointed out that although the global circuit board industry will continue the growth momentum in 2021 in 2022, the growth rate will slow down under the impact of adverse environmental factors. It is estimated that the output value of the global circuit board industry in 2022 will be 98.7 billion US dollars. Annual growth of 12%, down from 18.4% in 2021.

The legal person said that due to the impact of unfavorable factors such as war, blockade and control, and inflation, coupled with the high and low inventory of clients, the demand for many applications has been revised downward. For example, consumer electronics such as mobile phones and NB/PC, the demand is relatively supported or stable. such as IC carrier boards, Netcom/servers, automotive electronics, and upcoming Apple products.

In the past two years, under the trend of ABF in short supply, IC substrates have experienced strong growth in revenue and profit. However, with the loosening of market demand for audio transmission and low-end consumer products, whether ABF is still as strong as before is a topic of concern to the market.

Looking at the outlook for the second half of the year, the views of the carrier board manufacturers are also different. Nandian is still optimistic about the positive and healthy trend of ABF, and the goal of striving for four rates and four liters remains unchanged. Jingshuo is also optimistic about ABF's new production capacity and high-end demand. It is still strong. In the second half of the year, the operation maintains a strong quarter-to-quarter growth. Xinxing believes that high-end products remain strong, but market variables are also a point to consider. It is expected that the market conditions of carrier boards in the third quarter will be similar to those in the second quarter.

Netcom's 400G switch and server new platform transformation wave is a promising growth driver for the relevant supply chain in 2022. Under the situation of the reversal of the consumer electronics market, it still brings support for the operation, but the overall economy has not improved yet, lack of materials, The phenomenon of inventory adjustment is still happening, and the new platforms Eagle Stream and Genoa will obviously increase their volume until 2023. Although China Netcom and servers have relatively strong demand compared to other applications, the follow-up market conditions still need to be closely observed.

Apple's new product peak season is coming, and the market is expected to launch a number of new products, such as mobile phones, laptops, tablets, wearables, etc. The legal person is also optimistic about the third quarter performance of related suppliers such as Zhending, Taijun, Huatong, and Yaohua. According to industry analysis, this wave of downward revisions in market demand is mainly due to the fact that low-end and mid-end products have declined a lot. Consumption power has declined due to the epidemic, inflation, etc., but the impact on the wealthy is limited, so high-end or high-end products have a higher unit price. On the contrary, the product has not seen much decline. At present, the progress of new product stocking for American customers is still planned, and no obvious changes have been seen.