China continues to solidify its position as the largest manufacturing hub for PCBs, thanks to improving worldwide demand ensuring recovery from the decline in production value in 2009. Generating momentum are the communication, consumer and automotive electronics, medical and industrial sectors. Suppliers also expect niche military, instrumentation and medical fields to boost the line further in the next one or two years.

    The multi-layer category continues to lead, accounting for more than half of the country's output. It will increase share in coming years as shipments of application products also rise and adoption in various electronics widens. HDI printed boards follow, driven by the robust mobile phone, notebook PC and digital still camera sectors. China's status as the major manufacturing base for these devices is proving an advantage.

    Flexible types make up the third key segment in the industry. These find broad use in communication devices, consumer and automotive electronics, particularly mobile phones, digital still cameras, laptops and LCD monitors and TVs.

    The developments are encouraging local suppliers to strengthen their lines even amid cost and other challenges. Many are planning to expand capacity and product selections.

    The following are some of the key trends in China's PCB industry:

• The majority of makers yielded to climbing material and labor outlay and adjusted their prices in the past three months. Others kept or lowered quotes to attract orders from existing and new clients.
  
• Investment plans indicate growing support for the HDI category because of high returns. At present, only about 20 companies are engaged in the line due to elevated costs of required equipment.
  
• Enterprises are introducing models with higher density to match the miniaturization trend in portable electronics. The units have more layers and reduced line width/spacing and hole diameter.
  
• Some suppliers are exploring other materials to improve reliability and comply with green guidelines. A number have started adopting high-Tg and Grade-A boards, and are releasing halogen- and lead-free units.