Prospect analysis of copper foil industry
1. Strong support from national industrial policy
The Ministry of industry and information technology (MIIT) has listed the extremely thin copper foil as an advanced non-ferrous metal material, and the ultra-thin high-performance electrolytic copper foil for lithium battery as a new energy material, that is, the electronic copper foil is the national key development strategic direction. From the perspective of the downstream application fields of electronic copper foil, the electronic information industry and new energy automobile industry are the strategic, basic and leading pillar industries of China’s key development. The state has issued a number of policies to promote the development of the industry.
The support of national policies will provide a broad development space for the electronic copper foil industry and help the copper foil manufacturing industry to comprehensively transform and upgrade. The domestic copper foil manufacturing industry will take this opportunity to continuously improve the competitiveness of enterprises.
2. The development of downstream industry of electronic copper foil is diversified, and the emerging growth point is developing rapidly
The downstream application market of electronic copper foil is relatively broad, including computer, communication, consumer electronics, new energy and other fields. In recent years, with the progress of integrated circuit technology, the development of electronic industry and the strong support of national policies, electronic copper foil has been widely used in 5G communication, industry 4.0, intelligent manufacturing, new energy vehicles and other emerging industries. The diversification of downstream application fields provides a broader platform and guarantee for the development and application of copper foil products.
3. New infrastructure construction promotes industrial upgrading and development of high frequency and high speed electronic copper foil
To develop a new generation of information network, expand 5G applications, and build a data center as the representative of new infrastructure construction is the key development direction of promoting industrial upgrading in China. The construction of 5G base station and data center is the infrastructure of high-speed network communication, which is of great strategic significance for building a new momentum of development in the era of digital economy, guiding a new round of scientific and Technological Industrial Revolution, and building an international competitive advantage. Since 2013, China has continuously launched 5G related promotion policies and achieved remarkable results. China has become one of the leaders in 5G industry. According to the Ministry of industry and information technology, the total number of 5G base stations in China will reach 718000 in 2020, and the 5G investment will reach several hundred billion yuan. As of May, China has built about 850000 5G base stations. According to the base station deployment plan of the four major operators, GGII expects to add 1.1 million 5G Acer stations annually by 2023.
5G base station / IDC construction needs the support of high frequency and high speed PCB substrate technology. As one of the key materials of high-frequency and high-speed PCB substrate, high-frequency and high-speed electronic copper foil has obvious demand growth in the process of industrial upgrading, and has become the development direction of the industry. High tech enterprises with low roughness RTF copper foil and HVLP copper foil production process will benefit from the trend of industrial upgrading and get rapid development.
4. The development of new energy vehicle industry drives the demand growth of lithium battery copper foil
China’s industrial policies support the development of new energy vehicle industry: the state has explicitly extended the subsidy to the end of 2022, and issued the “announcement on the policy of exemption of vehicle purchase tax on new energy vehicles” policy to reduce the burden on enterprises. In addition, what is more important is that in 2020, the state will issue the new energy vehicle industry development plan (2021-2035). The planning goal is clear. By 2025, the market share of new energy vehicle sales will reach about 20%, which is conducive to the growth of new energy vehicle market scale in the next few years.
In 2020, the sales volume of new energy vehicles in China will be 1.367 million, with a year-on-year growth of 10.9%. With the control of the epidemic situation in China, the sales of new energy vehicles are picking up. From January to may 2021, the sales volume of new energy vehicles was 950000, with a year-on-year growth of 2.2 times. The Federation of passenger transport predicts that the sales volume of new energy passenger vehicles will be increased to 2.4 million this year. In the long run, the rapid development of new energy vehicle market will drive China’s lithium battery copper foil market to maintain a high-speed growth trend.
Post time: Jul-21-2021