Contents:

INDUSTRY OVERVIEW INDUSTRY BACKGROUND Mainland China and Hong Kong supplier demographics Taiwan supplier demographics Exports by region Mainland China and Hong Kong exports of flexible PCBs Taiwan exports of flexible PCBs Buyers by type MANUFACTURING CAPABILITY In-house/outsourced processes Capacity utilization Manufacturing experience: Mainland China and Hong Kong Manufacturing experience: Taiwan Quality certifications PRODUCTS AND PRICES Flexible PCB product mix R&D index: Mainland China and Hong Kong R&D index: Taiwan Acquired product approvals OUT LOOK Overall market projections Mainland China and Hong Kong output and export projections Taiwan output and export projections R&D focus Price projections for Q4 2006 SUPPLIERS AT A GLANCE SUPPLIER PROFILES SUPPLIER TABLES SUPPLIER INDEX

Summary:

The flexible PCB industry in Greater China currently stands as the world's second largest, clinching 13.3 percent of the global market next to Japan's 28.4 percent. Average annual production growth rates of about 15 percent are expected through 2008, higher than the projected worldwide industry growth rate of 8 percent. Mainland China alone expects the production value of its flexible PCBs to account for 20 percent of the global output through 2010. Taiwan, which is fourth in terms of world market share at 12.8 percent, registered a production value of US$1.02 billion in 2005. Although mainland China had only about 10 flexible PCB makers in 2000, low production costs and a widening application range have prompted manufacturers mostly from Japan and the United States to set up factories or establish their subsidiaries on the mainland. To date, there are more than 100 flexible PCB manufacturers in mainland China, mostly located in or near Guangdong, particularly in Shenzhen, Guangzhou, Huizhou, Zhuhai and Dongguan, and Fujian Province. Taiwan has 50 makers specializing in flexible PCBs, many of which are based in Taoyuan. Like most electronics and components manufacturers in Asia, Taiwan companies continue to move their main production bases to the mainland to optimize costs and resources. The following are some of the key findings in the report: - Many of the companies surveyed expect the telecom and home appliances sectors to remain the leading applications for flexible PCBs. About 48 percent of the makers plan to increase their production by at least 20 percent to cater to growing volume orders for such products. - Flexible PCBs designed for PCs and peripherals, LCD TVs, digital cameras and PDAs will continue to be the mainstream products in the tail-end of 2006 and at least until the first half of 2007. Makers will also focus on emerging applications even as they continue to expand their output of standard products. - R&D will center on HDI (2+N+2/ 3+N+3) PCBs or flexible PCBs with embedded passives technology; as well as the integration of flexible PCBs with COF, COB and COG technologies for LCD applications. - Price hikes of up to 10 percent are likely for flexible PCBs from Taiwan and Hong Kong, spurred by rising raw material costs. Conversely, quotes of mainland China products are expected to drop by at least 5 percent as makers opt to remain price-competitive.

Companies Mentioned

SUPPLIER PROFILES - In-depth Profiles - Career Technology (Mfg) Co Ltd - Changzhou Jingwei Ind Co Ltd - Changzhou Wujin Sanwei Electronic Co Ltd - Global Circuit (Shenzhen) Co Ltd - Handge Technology Co Ltd - HannStar Board Corp - HD-Flex Technology Co Ltd - Introlines Ind (HK) Ltd - Juniper Circuits (Zhuhai) Inc - Kingtech (Zhuhai) PCB Ltd - Mutual-Tek Ind Co Ltd - Onpress Printed Circuits Ltd - Shanghai World Circuit Technology Co Ltd - Suzhou IE-Tech Co Ltd (SIE) - Tyson Int Trading Co Ltd - Uniflex Technology Inc - Xiamen G&P Electronics Co Ltd - Xiamen Hongxin Electron-Tech Co Ltd (HXET) - Xiamen New Flex Electronics Co Ltd - Zhuhai All-Winner FPC Co Ltd Supplier Tables - AKM Electronics Ind (Panyu) Co Ltd - Chung-Hua EELY Ent Group - Fasto (Zhangzhou) Electronic Co Ltd - Flex Plus (Xiamen) Co Ltd - Forerunner Metal Int Co - Gangxin Ind Co Ltd - Guangzhou Amphenol Sincere Flex Circuit Co Ltd - Huizhou Winstar Technology Electronics Co Ltd - Kinwong Electronic (Shenzhen) Co Ltd - Multek Electronics Ltd - Nanjing UniFlex Electronic Ltd - Netron Soft-Tech (Zhuhai) Co Ltd - Seil Flex Huizhou Fty (SIFLEX) - Shanghai FPC Electronics Co Ltd - Shenzhen Hengjia Electronic Co Ltd - Shenzhen JingChengDa Electric Circuit Co Ltd (JCD) - Shenzhenshi Jinzongheng Keji Co Ltd (SZJZH) - Suiwa High Technology Electronic Ind (Xiamen) Co Ltd - Sunflex Tech Co Ltd - Tiantuo Electronics Ent Co Ltd - Winscon Electronic (Huizhou) Co Ltd - WINTONE Electronics Co Ltd - Xinye Technology Electronics Ltd - Yi Yi Ent Co Ltd - Zhuhai Linshi Electronic Co Ltd - Zhuhai Topsun Electronic Technology Co Ltd