Slides
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Industry Insights Global PCB Report July 2026 (2026 Q2) Riding the Current: Your Guide to Global PCB Trends
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Q2 2025 PCB MaterialCost PCB LaborCosts CommodityCosts LogisticsCosts Q3 2026 Market Digest PMI Growth forecasted decrease stable increase increase *positive PMI = >50 / negative PMI = <50 but an increase in the PMI is generally considered positive growth and a decrease a negative growth. increase increase stable increase Global: 52.6 Decrease 0.7 vs Q1 2026)* increase
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PCB Market Overview Electronics Market PCB Technologies Demand Raw Materials Currency Updates Crude Oil Trend Global Freight Cost Optimization + Green Corner 02 - 03 09 04 10 05 11 - 12 06 - 07 - 08 13 Summary JULY 2026 Interactive Table of Contents: Click on any section in the summary to be taken directly to the corresponding page.
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HIGHER RATES, LOWER GOLD Gold fell to an eight-month low as strong US data boosted Fed rate hike expectations, while investors monitored US-Iran peace talks Lead times are expected to continue increasing in Q3 2026, or at least remain at elevated levels. INCREASING LAMINATE LEAD TIMES +260% QoQQ2 2025 vs Q2 2026 PCB Growth Amid Surging Material Costs, Freight Rates, and Concerning Rising Lead Times (Q2 2026) PCB REVENUE INCREASE (Q1) +12.0% (YoY) +6.0% (QoQ) SERVER/DATA STORAGE DEMAND INCREASE IN LAMINATE PRICES FREIGHTOS BALTIC INDEX -11% Q2 July 1 , 2026 Global Freightos Baltic Index - Ocean July report AI-driven server and data storage electronics systems market S O U R C E : P R I S M A R K & I P C & I N T E R N A L +63.2%January 2026 vs July 2026 +94% (Q2) +31.7%2025 vs 2026
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Q2 2026 YoY: QoQ: GLOBAL PCB MARKET Global PCB Market Surges in 2026 with Strong Growth Outlook Toward 2030 Estimated 2026 Global PCB market: up 12.5%* (2026 vs 2025) in value and +5.9%* in volume 2030 projection: $123Bn CAGR 2025-2030: 7.7%* $96Bn TOP ELECTRONIC INDUSTRIES GROWTH Military/Aerospace (F2026 vs 2025)* Server/Data Storage (F2026 vs 2025)* +31.7% +7.8% S O U R C E : P R I S M A R K & I P C & I N T E R N A L *data updated compared to Q4 2025 +12.0%* +6.0%* GDP GROWTH FORECASTS (2026) Advanced Economies: Developing Economies: World: +1.9% +4.2%+3.3%
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The global electronics market reached $2.81T in 2025 (+10%) and is forecast to hit $3.6T by 2030 (5.4% CAGR), showing sustained expansion despite macroeconomic uncertainty. While most sectors grow, consumer electronics stagnate (TVs declining), and demand shifts toward industrial, automotive, and defense electronics (≈4–6% CAGR), reflecting structural market transformation. AI-driven server/data storage surged +41.9% in 2025, making it the fastest-growing segment. Continued AI investments are expected to drive ~8% industry growth in 2026. See next page. Market Size & Growth Momentum Uneven Segments & ShiftAI: Primary Growth Engine Electronics Industries Market (not only the PCB revenue in these industries - the entire electronics sales revenue generated by these industries) Electronics Market Projected to Grow at a 5.4% CAGR Through 2030 G R A P H S O U R C E : P R I S M A R K & I N T E R N A L *data updated compared to Q1 2026 *
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AI Continues to Reshape the PCB Industry Larger boards, higher layer counts More HDI, sequential lamination Adoption of premium low-loss materials Growth increasingly driven by value per board, not units High-layer-count PCBs (20+ layers and beyond) Advanced substrates (ABF, 2.5D/3D packaging) High-speed, high-density interconnects AI workloads are redefining PCB design requirements ~$700Bn data center investment, ~65% AI-related AI server PCBs to reach ~$14.5Bn (~15% of market) AI is now a primary engine of PCB market expansion AI drives demand for AI Becomes the Core Growth Driver S O U R C E : P R I S M A R K Q 4 2 0 2 5 , I E A , D E L L ’ O R O , N V I D I A , I C A P E A N A L Y S I S A L s o u r c e s : M a n h a t t a n D i s t r i c t H i s t o r y , B E A , P l a n e t a r y S o c i e t y , E n o C e n t e r f o r T r a n s p o r t a t i o n , S a n F r a n c i s c o F e d , H o o v e r a r c h i v e s , B a r u c h , G o l d e n G a t e . o r g , N e w Y o r k T i m e s , J P M A M ( 2 0 2 5 ) , P r i s m a r k ( 2 0 2 6 ) . Shift from Volume to Value Investment (% of US GDP) Capacity tightening Longer lead times Higher ASPs Investment in new PCB factories Increased demand through 2030 AI infrastructure remains the strongest structural growth driver for the global PCB industry. Market impacts
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PCB market up 12.0% in Q2 2026 (YoY) HDI PCB demand rises ( ) with AI servers and high-speed networking. in 2026 vs 2025 driven by growth in infrastructure systems such as AI servers, as well as automotive and high-speed optical modules AI-Powered Growth18+Layer Surge 2026/2025 PCB YoY production growth forecast: Asia (xJP/CN): +13.4% Americas: +6.1% Japan: +11.7% Europe: +6.9% Out-of-China Growth2025 Quarterly Growth PCB Market Growth +62.4% +14.5% G R A P H S O U R C E : P R I S M A R K & I N T E R N A L QoQ YoY Quarterly growth and forecasts: Q1: -5.3% QoQ Q2: +6% QoQ Q3: +10.5% QoQ Q4E: -0.2% QoQ
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Laminate prices up (+63.2% Jan 25 vs July 26); Tin prices stabilizing after a strong increase (+53% YoY) Prices have been increasing since May 2025, showing a increase between Jan 2026 and July 2026. Average of KB, ITEQ & SY (combined). Tin prices declined by 2.7% over the past month, yet remain higher year-on-year. Laminate price (RMB) - 1.5mm Tin (USD/ton) G R A P H S O U R C E : I N T E R N A L & T R A D I N G E C O N O M I C S +63.2% +53%
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Extreme Increase in Laminate Lead Times in Q2 2026 (MoM & YoY) Average lead times increased significantly, from 8.9 days in Q1 2026 to an exceptionally high 32.1 days in Q2 2026. The lead times have increased from an average of 7.14 days in June 2025 to an average 47.14 days in June 2026. Lead times are expected to continue increasing in Q3 2026, or at least remain at elevated levels. QoQ: Laminate LT Going Up ( ) YoY Increase: G R A P H S O U R C E : I N T E R N A L+261% +560%
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Copper fell below as investors awaited a US report that could lead to tariffs on refined copper imports. Strong US economic data also increased expectations of a Fed rate hike, while long-term demand remains supported by EVs, renewable energy, defense, and AI. G R A P H S O U R C E : L M E & T R A D I N G E C O N O M I C S A P R I L 2 0 2 6 Commodities Elevated Amid Macro and Geopolitical Crosscurrents Gold fell below , reaching its lowest level in nearly eight months, as stronger-than-expected US economic data reinforced expectations of a Federal Reserve interest rate hike, potentially as early as September. Markets are also closely monitoring developments in the ongoing US- Iran peace talks in Qatar. Copper Weakens on Trade Uncertainty Higher Rates, Lower Gold Gold price trend July 2, 2025 to July 1, 2026 Copper price trend (per pound) July 2, 2025 to July 1, 2026 $4,000/oz $6.10/lb Tungsten prices surged +500% over the past year, driven by supply constraints. China controls ~75–80% of global production. Critical for cutting tools, electronics, aerospace, and defense, demand remains strong.
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Yuan weakens on growth concerns: The offshore yuan fell to around as weaker manufacturing data and concerns over China's economic outlook weighed on sentiment. Markets monitor policy and trade: Investors are watching PBOC support measures and EU-China trade talks, while concerns over weak consumer demand and the property sector persist. Euro near one-year low: The euro traded around after a 2% decline in June, pressured by expectations of further Fed rate hikes. Focus on ECB and global developments: Markets are watching the ECB Sintra Forum, easing European inflation, and US-Iran peace talks for economic and policy signals. USD/RMB Trend EUR/USD Rate Trend Currencies Pressured as Geopolitical Tensions and Inflation Fears Reshape Policy Outlook G R A P H S O U R C E : X E . C O M S E P T 2 5 , 2 0 2 5 ¥6.79/USD $1.14
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Oil Holds Steady Despite Supply Concerns Supply surplus concerns are growing as Iranian and Russian exports rebound, increasing the risk of global oversupply. Oil tanker traffic is recovering as exports resume following the recent ceasefire. Supply GlutExport Recovery US-Iran peace talks remain the key focus, with efforts underway to reduce tensions around the Strait of Hormuz. Oil stabilizes near after posting its largest quarterly decline since 2020. Geopolitical ImpactsRecent Oil Stability Crude Oil trend price $70/bbl GRAPH SOURCE: THE INTERNATIONAL ENERGY AGENCY price on July 1, 2026
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Current Lead Time & Cost Challenges
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Freightos Air Index - Global April 3, 2026 to July 1, 2026 ottlenecks persist beyond the Middle East — emerging- market dwell times run 20–30% above Western norms, intra- Asia feeder hubs are tight, and US airports like JFK face truck congestion and tightening screening rules. Average spot rate hit $3.75/kg in week 25 (+47% y/y), with MESA up 50% and Asia-Pacific up 37% (WorldACD); rates stayed sticky even as capacity returned, reinforced by jet fuel prices that more than doubled since the war began. CongestionRates Global Air Cargo: A Market Reshaped by the Iran Conflict, Still Adjusting to Its Aftershocks G R A P H S O U R C E : I N T E R N A L & T A C D A T A & I A T A & D H L & X E N E T A ACTK grew just year- on-year in May, lagging demand (IATA); the Gulf/MESA deficit vs. pre-war levels narrowed from -30% to -19% week-on-week after the 17 June US-Iran MOU (WorldACD), though a global freighter squeeze persists amid a 17,000+ aircraft order backlog. lCTK rose year-on-year in May (IATA), led by Africa, Asia-Pacific, Europe and North America, while Middle East carriers contracted 8.9%; WorldACD's week 25 data shows a further 10% week-on- week MESA rebound post-Eid and post-flare-up. CapacityDemand +6% 1.9% Since the 28 February US-Israel strikes on Iran, Gulf/MESA air cargo has cycled through shocks and fragile recoveries, Key lanes remain well below pre-war levels (Gulf-North America -13%, Gulf-Asia Pacific -35%), and rates stay elevated despite returning capacity, with normalization expected to take months.
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Major Asian and European hubs remain congested, limiting vessel availability and supporting surcharges, while Sydney, Melbourne and Brisbane face heavier congestion into Q3 ahead of Australia's peak season. Drewry's WCI hit $4,166/40ft on 25 June (+5% w/w), with Shanghai-LA up 31% in a week to $4,565/FEU; Freightos puts ex-Asia spot rates ~20% above last year, driven by an early peak season and stacked GRIs/PSS surcharges. Port CongestionsFreight Rates Ocean Freight: Container Rates Spike as Structural Overcapacity Collides With Middle East Disruption G R A P H S O U R C E : F R E I G H T O S & D H L & S E A I N T E L L I G E N C E 7–10 million TEU of new vessels (about a third of the fleet) are hitting the market, pushing East-West trades into 10%+ surplus, but most carriers still avoid the Red Sea, absorbing much of that excess via longer Cape of Good Hope routings. Global trade volumes are set to grow ~2.5–3.5% in 2026 (BIMCO), but US imports may contract ~2% on tariffs, with China-to-US bookings down ~30% year-on-year as volumes shift to Vietnam, Thailand and Indonesia. CapacityDemand Freightos Ocean Index - Global April 3, 2026 to July 1, 2026 STRAIT OF HORMUZ — THE GRAVER TWIN OF THE AIR CARGO CRISIS Abu Dhabi's state oil company estimates full flows through Hormuz won't resume until 2027 even with a swift deal, the US has said mine- clearing alone could take six months, and the World Economic Forum notes that when insurers won't underwrite a route at all.
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What Can ICAPE Group Do for You? Rising PCB Costs Laminate and metal price inflation,market volatility Material Shortages AI-driven demand growth, allocationrisks Longer Lead Times Constrained laminate supply,extended schedules Supplier Instability Financial pressures, marketconsolidation, bankruptcies Logistics Disruptions Freight volatility, geopolitical anddelivery risks Forecast & Planning Challenges Price uncertainty, capacity constraints Cost Optimization Alternative laminates, surface finishoptimization, design-for-cost reviews Qualified Alternatives Validated equivalents, ongoingqualification, reduced single-sourcedependency Global Supplier Network Supplier diversification, lead-timeoptimization, regional flexibility Supply Chain Security Qualified partners, continuoussupplier monitoring Warehousing & Logistics Local inventory, VMI/CMI/call-offprograms, multimodal transport Forecast-Based Planning Production slot reservation, inventorysupport, pricing visibility CUSTOMER RISKS ICAPE SOLUTIONS
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Have a Question? JULY 2026 Contact your local sales representatives for more information, or reach out to us at: info@icape-group.com
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T h a n k Y o u JULY 2026 www.icape-group.com