TAOYUAN, TAIWAN – Total capital expenditures of Taiwan PCB factories in 2020 will exceed NT$50 billion ($1.67 billion), thanks in large part to demand for 5G mobile communications. Companies such as ZDT, Unimicron, Unitech, Compeq, Kinsus, Flexium, and Tripod are launching process upgrades and investment plans in 2020.
Capital expenditures of ZDT are expected to exceed NT$12.6 billion (US$428.4 million) this year, as a response to the acceleration of global 5G infrastructure demand and the growth of the related terminal devices, Netcom equipment and cloud computing servers, while rewriting the current record. ZDT also plans to invest in India and mainland factories to develop a one-stop purchase strategy.
In 2020, several investment layouts by its ZDT’s subsidiary Avary are expected to exceed record highs. ZDT’s investments in lights-out manufacturing, the development of One ZDT and the improvement of the product line layout are anticipated to achieve new highs this year. The company is expected to continue to benefit from high demand for carrier boards, MPI, and LCP flex boards. Meanwhile, the upgrade of flex boards required for 5G smartphones in 2020 is expected to drive profitable performances.
Other major PCB manufacturers, such as Unimicron, Unitech, Compeq, Kinsus, Flexium, and Tripod are also actively making mid-to-high-end production capacity investments.
Unimicron is expected to have capital expenditures of NT$17.18 billion (US$584.1 million) in 2020, while scheduling to increase its production capacity of high-end IC carrier boards in Taiwan and expand its mainland plant.
Compeq also plans to invest in Taiwan, and its Chongqing plant will open high-end HDI and SLP manufacturing processes in 2021.
Unitech, on the other hand, plans to increase its production capacity in 2020, while preliminarily focusing on rigid-flex boards and exploring niche applications.