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Mar 21, 2023

What makes the connector market demand soar?

In 2007, 3G began to enter people's sight, triggering a major revolution in connectors. The mobile phone connector market under "high temperature" tends to be saturated, and profits are gradually decreasing. Many large connector manufacturers and distributors have begun to set their sights on the automotive industry, and the rapidly heating up automotive industry, can the connector industry reach new heights?

Last year, the market demand for mobile phone connectors really made the dealers in the spot market "make a lot of money", and it also made Haolong Electronics, the largest connector agent in South China, taste the sweetness. As the market is still optimistic about this year's market, it is understood that a large number of distributors including Haolong Electronics will shift their investment focus from low-end connectors such as mobile phones, PCs, and game consoles to high-end products such as automotive connectors. , the industry regards the automotive connector market as a "big pie". It is reported that the current automotive connector market share has accounted for more than 15% of the global connector market share, and this figure is still rising.

 

The connector market demand has been attracting attention since last year, so it has also attracted the participation of many manufacturers including the two international connector giants AMP and MOLEX, as well as a large number of distributors such as Haolong Electronics. The market scale expanded rapidly. Although the industry continues to be optimistic about the market performance of connectors this year, the fact that the profit margin of low-end connectors is approaching below 10% makes the industry start to be optimistic about the investment in high-end connectors.

 

As the automotive industry gradually heats up, the automotive connector market, one of its main accessories, is also gradually heating up. Automotive applications have become the largest consumer market for connectors after the 3C field. Connectors are important electrical connection elements. , plays a pivotal role in the electronic and information systems of automobiles.

 

It is understood that the demand for power connectors in car audio systems and car navigation systems continues to increase, and the development plans for media-oriented system transmission and on-board optical cable networks have also received widespread attention. Airbags and anti-lock brakes are already commonly installed in vehicles by many automakers, and these airbags and anti-lock brakes will increase the demand for flexible circuit board connectors. At the same time, the number of cables per vehicle will be reduced due to environmental considerations. To meet this demand, automakers will gradually use flexible circuit board connectors to replace cables.

 

As the application of automotive connectors becomes more and more extensive, this puts forward a direct demand for the market. Many dealers are already aware of this problem. As early as last year's reporter's survey, many dealers turned their attention to the direction of automotive connectors. At present, dealers invest in high-end connector products such as automotive connectors, and there is also a good investment environment. Cost reduction is a positive factor. As the largest agent of imported connectors in Guangdong, Haolong Electronics is also cooperating with international connector manufacturers AMP and MOLX to develop the automotive connector market in South China, which has rapidly expanded the local sales of international automotive connector products. The resulting scale effect also makes the cost of sales of connectors greatly reduced.

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