The transformation and upgrading of China's automotive circuit board and other PCB industries: from 90 to 99 points

According to the official website of the National Bureau of Statistics, in July 2017, the added value of industrial enterprises above designated size increased by 6.4% year-on-year in real terms. From January to July, the added value of industrial enterprises above designated size increased by 6.8% year-on-year. Among them, the manufacturing industry of computers, communications and other electronic equipment increased by 11.8%. China's manufacturing industry is in a prosperous cycle and is developing well. The proposal of "Made in China 2025" has accelerated China's transformation from a manufacturing giant to a manufacturing power. To ensure that China's economy maintains a medium-high growth rate in the long term, it is necessary to speed up the upgrading of the manufacturing industry towards the medium-high end and promote the entire manufacturing industry to upgrade towards intelligence, greenness and service orientation. As a part of the manufacturing industry in China, automotive circuit boards, as a module of PCBS, are all confronted with the challenge of transformation and upgrading.

Transformation and upgrading are extremely urgent

With the diversification of consumer electronics and the shortening of their life cycle, consumer electronics are moving towards small quantities and high customization. At the same time, there are more artificial intelligence, big data, cloud computing and other national key supported strategic emerging industries 畧 The demand for technology and process of products is constantly increasing, and higher requirements are placed on the technology level and reliability of the PCB industry.

The environmental protection department has continuously strengthened the supervision over the environmental governance of the PCB industry. PCB manufacturing enterprises need to continuously invest in environmental protection equipment, environmental protection personnel and operating costs, which has increased the operating costs of enterprises.

In the early stage of industrial development, the PCB industry was a labor-intensive industry. However, with the development of the industry, the demographic dividend has declined, the labor costs for enterprises have been rising, raw material prices have been increasing, products are concentrated in the mid-to-low end, and competition has intensified. The transformation and upgrading of China's PCB industry has been put on the agenda.

Regarding the transformation and upgrading of China's PCB industry, someone once said, "China's PCB industry has gone through an extraordinary journey from catching up to surpassing." In just over a decade, China's PCB industry has achieved phased results from zero to 90 points. However, as market competition intensifies, it is not enough for China's PCB industry to merely score 90 points. But to score from 90 to 99, Chinese PCB enterprises still have a long way to go.

The "core" of an enterprise's transformation and upgrading lies in capacity upgrading, which is mainly manifested in two aspects: output upgrading and product capability upgrading. These two aspects ultimately assess the comprehensive strength of an enterprise, involving aspects such as team members, technological research and development, production and management.

Therefore, the process of an enterprise's transformation and upgrading is actually a process of improving the enterprise system and enhancing the comprehensive strength of the enterprise. This process is like going from 90 to 99 points; for each point improved, more efforts are required.

To improve the enterprise system, enhance the comprehensive strength of the enterprise, increase output and product capabilities, it is not only necessary to introduce high-precision and top-notch talents and purchase advanced equipment, but also requires policy support, an outstanding team, excellent technological research and development capabilities, proficient sales skills and substantial capital. It is also necessary to manage production, sales, processes, technology and other aspects in a reasonable manner in accordance with the standards of top international manufacturers, so as to promote the upgrading of enterprises towards intelligence, greenness and service orientation.

Only when all aspects meet the standards of international top manufacturers and achieve a qualitative leap from 90 to 99 can China's PCB industry have a certain degree of dominance in the mainstream PCB market in the future, gradually erode the share of international top manufacturers in the medium and high-end PCB market, and get rid of the predicament of high quality and low price.