In terms of IC substrates of multi-layer PCB circuit boards, since the second half of 2020, wafer foundry and packaging capacity have continued to be tight, driving demand for IC substrates to continue to be in short supply and prices to rise. In terms of supply, IC substrates have high barriers and long production expansion cycles, making it difficult to meet demand in the short term. Recently, Intel, AMD, Nvidia and other companies said that the serious shortage of ABF carrier boards for chip packaging has become one of the important reasons for the continued shortage of CPUs and GPUs in the second half of the year. In addition, the market share of mainland multi-layer PCB circuit board manufacturers is relatively low, and the demand for domestic substitution is strong, and some circuit manufacturers are expected to continue to benefit.

Summary: PCB is the "mother of electronic circuits", including rigid boards, flexible boards, packaging substrates, etc. Recently, ABF carrier boards have been seriously out of stock. Among PCB downstream applications, consumer electronics (37%), automotive electronics (11%) and communication equipment (8%) are the main areas. It is expected that in the second half of the year, PCB will benefit from the marginal improvement of communication equipment and the increase in demand for consumer electronics and automotive electronics. In addition, the volume of Mini LED products and the shortage of IC substrates will also drive the growth of multi-layer PCB circuit board companies in this segment.