Driven by the wave of AI development, the PCB (Printed Circuit Board), known as the "nerve center" of electronic devices, is experiencing a significant increase in market demand, and the industry is entering a new peak expansion period.
Leading Companies Actively Expanding Capacity
Pengding Holdings, with its diversified PCB product lines widely used in communications electronics, consumer electronics, high-performance computing products, EVs, and AI servers, stated in an institutional survey on October 31 that since 2025, with the booming development of emerging industries like artificial intelligence, market requirements for PCB performance and precision have increased, also bringing vast market opportunities. Against this backdrop, the company is steadily advancing the in-depth development of various business segments while intensifying market expansion and steadily promoting the certification and production of new products. In the first three quarters of 2025, the company achieved revenue of 26.855 billion yuan, a year-on-year increase of 14.34%, and net profit attributable to shareholders of 2.407 billion yuan, up 21.23% year-on-year.
Regarding capacity layout, Pengding Holdings stated it is actively promoting the construction of new production capacity in Huaian, Thailand, and other locations. During the reporting period, the company's capital expenditure reached 4.972 billion yuan, an increase of nearly 3 billion yuan compared to the same period last year. With the explosion in AI computing power, the company has entered a new peak expansion period. In the coming years, as new capacity is gradually released, the computing power field will become an important pillar for the company's development.
Similarly, since October, two PCB material companies, Defu Technology and Philip Rock, have disclosed financing and expansion plans. For example, Defu Technology plans to invest an additional 1 billion yuan to build R&D and production workshops for special copper foils like carrier copper foil, buried resistance copper foil, and high-frequency high-speed copper foil, along with supporting equipment facilities. Previously, Han's CNC announced adjustments to some of its raised fund investment projects, increasing the planned capacity of the "PCB Special Equipment Production Expansion and Upgrade Project" from 2,120 units annually to 3,780 units.
Industry-Wide Expansion Wave Arrives
Shenghong Technology recently stated that to consolidate its leading position in the global PCB industry and its advantages in fields like AI computing power and AI servers, the company continues to expand capacity for high-end products such as advanced HDI and high-layer count boards. This includes the Huizhou HDI equipment update and Plant 4 project, as well as HDI and high-layer count expansion projects in Thai and Vietnamese factories, with expansion speed leading the industry. Currently, all related expansion projects are progressing as planned, and the company will arrange capacity layout according to its strategic plan and business needs.
Dongshan Precision stated that its capacity expansion aims to increase high-end PCB production to meet medium to long-term customer demand for high-end PCBs in emerging scenarios like high-speed computing servers and artificial intelligence, while also further expanding the company's operational scale and enhancing overall economic benefits.
"Currently, the company's various technical transformation and expansion plans mainly target high-end data communication PCB products, which can support the company's business development needs," stated Guanghe Technology.
Jinlu Electronics also mentioned that the PCB expansion project at its Qingyuan production base is being constructed in three phases, with construction and production occurring simultaneously. The company is currently accelerating the first phase of the project, which has not yet commenced production.
Institutions Foresee Rapid Industry Growth
CITIC Securities stated that with the acceleration of AI computing power infrastructure construction, PCB demand is surging. Against this backdrop, the planned output value for high-layer count boards, HDI boards, and IC substrates is growing rapidly. Domestic manufacturers are actively expanding high-end production capacity, and China's leading PCB companies are expected to form project investment totaling 41.9 billion yuan during 2025-2026.
CSC Financial noted that AI PCBs are expected to continuously drive demand for updates and upgrades in PCB equipment. The PCB industry is characterized by a return to an upward cycle, product premiumization, and factory construction in Southeast Asia. Increases in output and process changes are expected to continuously drive demand for updates and upgrades in PCB equipment.
According to the "2025-2030 China Printed Circuit Board (PCB) Industry Development Trend and Forecast Report" released by Zhongshang Industry Research Institute, with the proliferation of AI technology and the strong market entry of new energy vehicles, PCB demand related to AI servers and automotive electronics has significantly increased, becoming an important driver for industry growth. The global PCB market size was $78.34 billion in 2023, a decrease of 4.2% year-on-year, and approximately $88 billion in 2024. It is projected to reach $96.8 billion in 2025.
Domestically, the same report shows China's PCB market size reached 363.257 billion yuan in 2023, a decrease of 3.80% from the previous year, and approximately 412.11 billion yuan in 2024. It is expected that the Chinese PCB market will recover in 2025, with a market size reaching 433.321 billion yuan.
Improved Performance Across the Industry Chain
The increased market demand in the PCB industry has already boosted the performance of related companies. Recently, over 10 listed companies in the PCB industry chain, including Shengyi Electronics, Han's CNC, and Dingtai GaoKE, disclosed significant year-on-year performance growth in their third-quarter reports.
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Source: Securities Times
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