Why PCB Raw Material Dramatically Rise in 2017

Dated:2017-12-09      Popularity:970


Epoxy resin is one of the major raw materials of printed circuit boards. Earlier this year, the market price of solid and liquid epoxy resin went up from around RMB 12,500/ton to about RMB 15,000/ton. However, their prices have dramatically raised since September 1st.

Let's use the data to compare the market price of epoxy resin for the past year.

PCB Raw Material Price

Market price chart -- solid epoxy resin

From the lowest price of RMB 11,800/ton to RMB 19,300/ton at November 17th, soaring nearly 64%!

PCB Raw Material Price

Market price chart -- liquid epoxy resin

South China: from the lowest price of RMB 13,100/ton to RMB 24,800/ton at November 17th, soaring nearly 90%!
East China: from the lowest price of RMB 15,000/ton to RMB 25,000/ton at November 17th, soaring nearly 67%! PS: Due to lack of data, statistics of East China is from March, 2017.

The market price of epoxy resin has dramatically gone up just in one year. Nearly 90% more than the price in the previous year. And it seems the trend will still remain in the coming future. Reasons are as follows:

1.Bisphenol A is the raw material used to manufacture the epoxy resin. Originally, the domestic supply of bisphenol A is tight, coupled with the Ministry of Commerce ruled that Thailand had a dumping behavior of importing bisphenol A, worse more, big bisphenol A manufacturers stopped manufacturing right now, all push the market price to surge. The Spring festival is approaching, almost all bisphenol A factories will stop working, so it is obviously the supply of bisphenol A will be more tight and the price will continue rise as well as the epoxy resin.

2.Epichlorohydrin is the raw material used to manufacture the epoxy resin. Its market price has raised a bit and the supply is relatively tight. It is reported that epichlorohydrin and epoxy resin equipment in Jiangsu Yangnong Group will undergo overhaul in November, while other stop-work epichlorohydrin factories will not have a clear restart plan yet. Thus, so it is obviously the supply of epichlorohydrin will be tighter and the price will continue rise as well as the epoxy resin.


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