Taiwan CCL suppliers are expected to see their supply capacity become tighter in 2021 than 2020 amid increasing demand for both general and high speed/frequency applications, and they are concerned about failing to meet shipment fulfillment schedules or secure sufficient materials, according to industry sources.
CCL makers including Elite Material (EMC), Iteq and Taiwan Union Technology (TUC) have got off to a good start in 2021 with first-quarter shipments fueled by strong demand for automotive, notebook and other consumer applications, the sources said.
The makers will see their shipments of high speed/frequency CCLs for 5G base stations ramp up significantly starting the second quarter, when their PCB clients in the supply chains of 5G infrastructure equipment vendors in China and Europe are expected to strengthen shipment pull-ins from them, the sources continued.
CCL makers are also set to see shipments pick up in the second quarter for 400G switches and for servers adopting Intel's new Whitley processors before peaking in the third quarter.
To meet increasing demand, makers are stepping up capacity expansions. Iteq, for instance, is expected to ready new capacity at its plant in Jiangxi, China in the second quarter.
All the three makers saw impressive revenue increases in January 2021. EMC's revenues for the month surged 40% on year to NT$2.75 billion (US$98.21 million); Iteq's corresponding revenues shot up 54.82% to NT$2.491 billion; and TUC's rose 9.36% to NT$1.549 billion.
Article translated by Willis Ke
