This year, the demand for high-end copper foil has surged dramatically. According to a research report by Soochow Securities, the global market demand for HVLP copper foil, specifically tailored for AI servers, is projected to reach 24,000 tonnes by 2026, representing a 260% year-on-year increase. This demand is expected to further escalate to 50,000 tonnes in 2027. Beyond the core domain of AI computing power, sectors such as high-end industrial control, precision instruments, onboard high-end electronics, and high-speed communications are also witnessing steady growth, thereby bolstering the industry's sustained development.
However, the supply of high-end HVLP copper foil is subject to stringent constraints, with the industry grappling with a structural tight balance over the long haul. Presently, high-end production capacity is predominantly concentrated among overseas manufacturers. Industry experts highlight that the production process for high-grade HVLP products is intricate, and capacity expansion is sluggish, making it arduous to convert ordinary copper foil production lines. With the burgeoning growth of downstream sectors such as AI servers, high-speed data centers, and advanced packaging, the gap between supply and demand is widening further.
Currently, China heavily relies on imports for third-generation and higher-grade HVLP products, presenting vast opportunities for domestic substitution. Domestic frontrunners in the copper foil industry are capitalizing on the industry's high-growth prospects by expanding their high-end production capacity through production line upgrades and the establishment of new high-end lines. These efforts are aimed at breaking through overseas technological monopolies and actively capturing incremental market share in domains such as AI computing power and high-end communications.