Why do PCB companies prefer Jiangxi for capacity expansion and transfer?​ ​


[VW PCBworld] Printed circuit boards are the key electronic interconnection parts of electronic products, and are known as the “mother of electronic products”. The downstream of printed circuit boards is widely distributed, covering communication equipment, computers and peripherals, consumer electronics, industrial control, medical, automotive electronics, military, aerospace technology and other fields. The irreplaceability is that the printed circuit board manufacturing industry can always develop steadily One of the elements. In the recent wave of PCB industry transfer, Jiangxi will become one of the largest production bases.

 

The development of China’s printed circuit boards has come from behind, and the layout of mainland manufacturers has changed
In 1956, my country began to develop printed circuit boards. Compared with developed countries, my country lags behind for nearly two decades before participating in and entering the PCB market. The concept of printed circuits first appeared in the world in 1936. It was put forward by a British doctor named Eisler, and he pioneered the related technology of printed circuits-copper foil etching process.

However, in recent years, my country’s economy has developed rapidly, coupled with policy support for high-tech, my country’s printed circuit boards have developed rapidly in a good environment. 2006 was a landmark year for my country’s PCB development. This year, my country successfully surpassed Japan and became the largest PCB production base in the world. With the advent of the 5G commercial era, major operators will invest more in 5G construction in the future, which will play a positive role in promoting the development of printed circuit boards in my country.

 

For a long time, the Pearl River Delta and the Yangtze River Delta are the core areas for the development of the domestic PCB industry, and the output value once accounted for about 90% of the total output value of mainland China. More than 1,000 domestic PCB companies are mainly distributed in the Pearl River Delta, the Yangtze River Delta and the Bohai Rim. This is because these regions meet the high concentration of the electronics industry, large demand for basic components, and good transportation conditions. Water and electricity conditions.

However, in recent years, the domestic PCB industry has been transferred. After several years of migration and evolution, the circuit board industry map has undergone subtle changes. Jiangxi, Hubei Huangshi, Anhui Guangde, and Sichuan Suining have become important bases for the transfer of PCB industry.

In particular, Jiangxi Province, as a frontier position to undertake the gradient transfer of the PCB industry in the Pearl River Delta and the Yangtze River Delta, has attracted batch after batch of PCB companies to settle down and take root. It has become a “new battlefield” for PCB manufacturers.

 

02
The magic weapon for the transfer of the PCB industry to Jiangxi—owns China’s largest copper producer and supplier
Since the birth of PCB, the pace of industrial migration has never stopped. With its unique strength, Jiangxi has become one of the protagonists in undertaking the transfer of the circuit board industry in China. The influx of large quantities of PCB companies in Jiangxi Province benefited from their own advantages in “PCB” raw materials.

Jiangxi Copper is China’s largest copper producer and supplier, and it ranks among the top ten copper producers in the world; and one of the largest copper industrial bases in Asia is located in Jiangxi, making Jiangxi have a natural wealth of PCB production materials. In the production of PCB, it is precisely the most necessary to reduce the price of raw materials to reduce the manufacturing cost.

The main cost of PCB manufacturing lies in the material cost, which accounts for about 50%-60%. The material cost is mainly copper clad laminate and copper foil; for copper clad laminate, the cost is also mainly due to the material cost. It accounts for about 70%, mainly copper foil, glass fiber cloth and resin.

In recent years, the price of PCB raw materials has been rising, which has caused pressure for many PCB manufacturers to increase their costs; therefore, Jiangxi Province’s advantages in raw materials have attracted batches of PCB manufacturers to enter its industrial parks.

 

In addition to the advantages of raw materials, Jiangxi has special support policies for the PCB industry. Industrial parks generally support enterprises. For example, Ganzhou Economic and Technological Development Zone supports small and medium-sized enterprises to build entrepreneurship and innovation demonstration bases. On the basis of enjoying superior support policies, they can give a one-time reward of up to 300,000 yuan. The beast can give a reward of 5 million yuan, and it has good support in financing discounts, taxation, financing guarantees, and financing convenience.

Different regions have different ultimate goals for the development of the PCB industry. Longnan Economic Development Zone, Wan’an County, Xinfeng County, etc., each have their own coup to stimulate the development of PCB.

In addition to raw materials and geographical advantages, Jiangxi also has a relatively complete PCB industry chain, from the upstream production of copper foil, copper balls, and copper clad laminates to the downstream PCB applications. Jiangxi’s PCB upstream strength is very strong. The world’s top 6 copper clad laminate manufacturers, Shengyi Technology, Nanya Plastics, Lianmao Electronics, Taiguang Electronics, and Matsushita Electric Works are all located in Jiangxi. With such a strong regional and resource advantage, Jiangxi must be the first choice for the relocation of PCB production bases in electronically developed coastal cities.

 

The wave of PCB industry transfer is one of Jiangxi’s biggest opportunities, especially the integration into the construction boom of the Guangdong-Hong Kong-Macao Greater Bay Area. The electronic information industry is an important leading industry, and the circuit board industry is the most important and basic link in the electronic information industry chain.

From the opportunity of “transfer”, Jiangxi will strengthen the improvement of technology and fully pave the way for the upgrade and development of PCB in its own region. Jiangxi will be the real “post base” for the transfer of electronic information industry from Guangdong, Zhejiang and Jiangsu.

For more data, please refer to the “Market Outlook and Investment Strategic Planning Analysis Report for China’s Printed Circuit Board (PCB) Manufacturing Industry” issued by the Qianzhan Industry Research Institute. At the same time, the Qianzhan Industry Research Institute provides industrial big data, industrial planning, industry declarations, and industrial parks. Solutions for planning, industrial investment promotion, IPO fundraising and investment feasibility studies.