Global PCBA Market: New Growth Cycle driven by Market Expansion and Demand

Global PCBA Market: New Growth Cycle driven by Market Expansion and Demand

I. Market Size: Steady Growth with Regional Divergence

The global PCBA market is entering a new growth cycle. In 2024, the market size reached 

73.565billion,withayear−on−yeargrowthof5.894.6 billion by 2029, with a compound annual growth rate (CAGR) of 5.2%. Regional performance shows significant divergence:

Chinese PCBA leads globally with $41.213 billion in output value, a 9.0% year-on-year increase, accounting for 56% of global production;

Southeast Asia‌ has become a emerging growth pole with an 8.4% growth rate, benefiting from global supply chain restructuring;

North America and Europe‌ show mixed trends: the U.S. market grew by 9.0% due to technological advancements, while Europe experienced declines due to industrial relocation.

As the core engine of growth, China‘s PCBA market reached ¥412.1 billion in 2024 and is expected to exceed ¥433.3 billion in 2025, with a 4.3% CAGR. The Yangtze River Delta and Pearl River Delta regions dominate due to industrial cluster advantages, while inland provinces like Jiangxi and Hubei are attracting production relocation through policy incentives.

II. Demand Drivers: Technological Revolution and Emerging Applications

1. ‌AI and Computing Power Boost High-End Demand‌

AI servers and high-speed networking equipment have driven explosive demand for multilayer PCBs (18+ layers), with market growth reaching 40.3% in 2024. High-end chips like NVIDIA‘s Blackwell architecture GPUs require 20+ layer HDI boards, accelerating advancements in high-frequency materials and rigid-flex PCB technology. The adoption of Co-Packaged Optics (CPO) further increases HDI demand due to its high wiring density, making it the preferred solution for complex chip functionalities.

2. ‌Continued Expansion in Emerging Applications‌

** Automotive Electronics**‌: Smart driving and electrification drive demand for automotive PCBs, with advanced driver-assistance systems (ADAS) and smart cockpit modules boosting high-reliability multilayer boards;

5G Communications‌: Base station construction and equipment upgrades drive demand for high-frequency high-speed PCBs, accelerating low-loss material R&D;

Consumer Electronics‌: Foldable smartphones and wearables boost demand for flexible PCBs (FPC), with global HDI output growing 18.8% in 2024;

Industrial IoT‌: Interconnected sensors and controllers increase demand for small-batch PCBA orders.

3. ‌Healthcare Electronics as a New Growth Point‌

The AI of medical devices (e.g., remote monitoring, AI diagnostics) drives demand for high-precision PCBs, with China‘s healthcare electronics industry growing at over 15% annually. Implantable devices and portable analyzers require miniaturization and biocompatible materials.

III. Challenges and Opportunities

1. ‌Rising Technological Barriers‌

AI servers impose stringent requirements on PCB layer count and signal integrity, forcing companies to improve precision and material performance. ASIC packaging technologies (e.g., FC-BGA) require high-frequency signal transmission capabilities, increasing both manufacturing complexity and value.

2. ‌Intensified Supply Chain Risks‌

Fluctuations in raw material prices (copper, aluminum) and chip shortages impact production costs, necessitating stronger supply chain resilience. Southeast Asia‘s investment boom reshapes global supply chains, pressuring Chinese manufacturers on cost competitiveness.

3. ‌Policy Support and Domestic Substitution‌

China‘s "14th Five-Year Plan" promotes 5G base stations and data center construction, creating opportunities for mid-to-high-end PCBs. Domestic companies are gradually replacing imports through technological breakthroughs, gaining market share in communications and automotive electronics.

IV. Future Outlook: Intelligence and Sustainability

As AI, 6G, and quantum computing advance, PCBs will evolve toward higher density and lower loss. Stricter environmental regulations push lead-free and low-VOC materials, making green manufacturing an industry standard. The global PCBA market is projected to reach $147.5 billion by 2035, with technological innovation and emerging markets driving sustained growth.