China has emerged as the world's leading manufacturing hub for the PCB industry, boasting an extensive number of manufacturers and significant production capacity. However, despite its scale, the industry is often described as "large but not strong." According to CPCA statistics, China had approximately 1,500 PCB manufacturers in 2013, primarily concentrated in the Pearl River Delta, Yangtze River Delta, and Bohai Rim regions, accounting for the largest share globally.
In terms of production volume, China has consistently led the world, contributing 40% of the global PCB output. Despite this dominance, the industry remains positioned at the lower end of the value chain. Chinese PCB manufacturers have limited influence in high-end materials, precision instrumentation, and advanced equipment manufacturing, and only a few have established themselves among the world's top players.
The PCB industry in China is highly competitive, with companies operating across different market segments—high-end, mid-range, and low-end. Leading enterprises from foreign-invested firms, Hong Kong, and Taiwan dominate the high-end market, while domestic manufacturers face financial and technological constraints. At the lower end, non-standardized small-scale factories maintain cost advantages due to lower capital investment and minimal environmental compliance. Meanwhile, mid-tier manufacturers face fierce competition. Since the industry's expansion in 2006, market absorption has been slow, intensifying price wars.
Industry concentration serves as a key indicator of competitiveness. The Chinese PCB sector remains highly fragmented, with a low degree of market consolidation. This has led to challenges in scaling production efficiently, supply chain constraints, and pricing pressures.
Furthermore, Chinese PCB manufacturers have yet to establish globally recognized brands, primarily due to gaps in high-performance PCB materials, testing instruments, and advanced production equipment. Compared with internationally renowned brands, domestic PCB products still lag in terms of precision, reliability, and stability. To enhance global competitiveness, it is imperative for Chinese PCB enterprises to focus on technological innovation, improve product quality, and build strong national brands to expand their presence in the international market.