Connector Leading Enterprises Gather CEF to Seek New Growth Points for Industry Development

2019-03-01 15:53 Source: OFweek Electronic Engineering Network

With the popularization of 4G network, the rise of 5G network and the development of consumer electronics industry, the demand of network products in the field of communication has promoted the development and production of connector products. Connector is an indispensable electronic part in electronic equipment. Its function is to build a bridge between different circuits when the connection is blocked or encouraged. It is widely used in consumer electronics, automobile, data communication, industry, medical treatment, aerospace and military fields.

Connector industry continues to grow

The focus of global connector production has been shifting to mainland China. The overall level of connector manufacturing in China has been rapidly improved, and the connector market has been expanding year by year. Therefore, it has become the largest connector consumption area in the world. The data show that the sales revenue of connector industry in China increased year by year from 2010 to 2017. In 2017, the sales revenue of the connector industry reached 248.391 billion yuan, an increase of 8.32% compared with the same period last year. According to the Prospective Industry Research Institute, the sales revenue of the connector industry in 2018 is estimated to be 260.299 billion yuan.

Figure 1 Sales revenue and growth of connector manufacturing industry in China from 2010 to 2018 (unit: 100 million yuan,%)

At present, connectors are mainly used in automobiles, communications, aerospace, military equipment, computers, industry, household appliances and other fields. Among them, automotive connectors accounted for the largest proportion, accounting for about 23% of the global connector market; communications followed closely, accounting for 21%; consumer electronics, industry accounted for more than 10%.

Figure 2 Global Connector Application Domain Distribution

Connector manufacturing industry has a broad downstream market. With the continuous development of connector application fields such as automobile industry, computer communication industry and consumer electronics industry, the market capacity of connector industry will continue to expand. For example, electronic signal transmission adapters are widely used in smart mobile communications, audio and video equipment, PC, smart wearable equipment and various electronic terminal products. Connector industry has maintained rapid development driven by the strong demand of terminal consumer market. In particular, the emergence of mobile intelligent terminals has changed people's way of life and entertainment, promoted the upgrading of technology and market of electronic signal transmission adapter products, and promoted the rapid development of connector industry.

New Growth Points Rise, Connector Market in the Future

For the A/V connector market, with the new generation of mobile communications and the expansion of market share of A/V products, the future development prospects are still promising. However, with the requirement of fashion and multi-function of a single product, A/V connectors need to develop in the direction of light weight, small spacing, multi-function, long life and high reliability.

The market demand of mobile phone connector mainly comes from the renewal of mobile phone products. Especially in the 5G commercial trend, 5G mobile phone will usher in large-scale popularization, thus bringing new growth momentum to the mobile phone connector market. Among them, the demand for battery connectors, SIM card connectors and FPC connectors is expected to rise rapidly.

In the automotive connector market, the demand from new energy vehicles will become the main driving force for future development. Data show that in 2017, China's new energy automobile connector market is about 2.78 billion yuan. With the accelerated popularization of new energy automobiles in the future, the market size is expected to exceed 8.1 billion yuan by 2023.

The market prospects of rail transit connectors are also promising. The judgment is based on the fact that the state is vigorously supporting the construction of rail transit. For example, the 13th Five-Year Development Plan of Railway put forward that by 2020, the operating mileage of national railways will reach 150,000 kilometers, of which 30,000 kilometers are high-speed railways. Under this background, according to the forecast of Prospective Industry Research Institute, the market demand of rail transit connectors is about 3.058 billion yuan in 2018-2020 and 2.136 billion yuan in 2020-2023.