Hongruixing Raises Prices Amid Tight Upstream Raw Material Supply

China's Jiangxi Hongruixing Technology Co., Ltd., a copper clad laminate (CCL) manufacturer, is raising prices due to tight upstream raw material supply. The company announced price increases of up to 15% for its products, with CCL prices rising by 10% and prepreg (PP) prices increasing by 15%. This is the latest in a series of price hikes by CCL producers grappling with soaring costs and full capacity utilization.

The direct trigger for the price adjustment is the increasingly severe shortage of upstream glass cloth and copper foil, which has driven raw material prices sharply higher. The company's production capacity is already running at overload, forcing extended delivery lead times. As a result, Hongruixing stated that it 'has no choice but to raise prices across the entire product line,' and reminded customers to confirm pricing before placing orders.

CCL is the core substrate material for printed circuit boards, with copper foil, glass cloth, and resin accounting for the bulk of its cost structure. The shortage of upstream materials has significantly squeezed profit margins for CCL manufacturers. Sinolink Securities analyst Chen Yi noted that demand for high-performance spherical silica micropowder is expected to grow rapidly as CCL technology undergoes iterative upgrades and AI applications drive higher demand for high-frequency, high-speed CCL.