ECB's Kocher Says No Inflation Spillover Yet From Iran Conflict, Warns Risks Remain 
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South Korea Central Bank Set to Raise Interest Rates as Inflation Stays Elevated 
Japanese Yen Holds Steady as Intervention Hopes Grow Ahead of U.S. CPI Data 
Dollar Eases as Middle East Conflict, Fed Outlook and Japan Pension Policy Drive FX Markets 
Gold Price Holds Near $4,000 as Middle East Tensions and Fed Rate Hike Bets Grow 
Australia Consumer Sentiment Rises in July as Fuel Price Relief Lifts Confidence 
Dollar Holds Steady Ahead of U.S. CPI as Oil Surge, Middle East Tensions Keep Markets on Edge 
Asian Stocks Rally as Cooling U.S. Inflation Boosts Fed Rate Cut Hopes 
Singapore GDP Grows 5.7% in Q2 2026 as AI-Driven Manufacturing Boosts Economy 
Asian Currencies Stay Rangebound as Middle East Tensions, Weak China GDP Weigh on Sentiment 
Goldman Sees Foreign Investors Driving India Stock Market Recovery 
Asian Currencies Weaken as Stronger Dollar Weighs, Yen Supported by GPIF Repatriation Hopes 
China Home Prices Fall Again in June Despite Slower Pace of Decline 
Oil Prices Surge as U.S.-Iran Conflict Escalates and Strait of Hormuz Risks Grow 
European Stocks Slip as Middle East Tensions and Hormuz Threat Rattle Markets 
The ongoing conflict in the Middle East is sending shockwaves through the global electronics industry, driving up prices of printed circuit boards (PCBs) and disrupting the supply of critical raw materials. PCBs are essential components used in nearly all electronic devices, including smartphones, computers, and AI servers, making the impact widespread across multiple sectors.
A major trigger behind the price surge is the disruption of high-purity polyphenylene ether (PPE) resin production. Iran’s recent strike on Saudi Arabia’s Jubail petrochemical complex forced a halt in operations, significantly affecting global supply. SABIC, which produces around 70% of the world’s high-purity PPE, has yet to resume output, tightening availability and increasing costs for PCB manufacturers worldwide. Additionally, shipping routes in the Gulf region have been heavily affected, further straining supply chains.
PCB prices have already been rising since late 2025 due to strong demand for AI infrastructure. However, the situation worsened in April, with prices jumping by as much as 40% compared to March, according to industry analysts. Cloud service providers continue to absorb these higher costs, anticipating sustained demand growth for AI servers in the coming years.
Electronics manufacturers are now facing multiple cost pressures, including rising prices of copper foil and glass fiber—two key materials in PCB production. Copper alone accounts for roughly 60% of total raw material costs, and its price has surged by up to 30% this year. Supply shortages have also extended lead times for materials like epoxy resin from three weeks to as long as 15 weeks.
Industry players such as South Korea’s Daeduck Electronics have begun negotiating price increases with major clients, including Samsung Electronics and SK Hynix. Meanwhile, Chinese supplier Victory Giant Technology has warned that geopolitical tensions could push costs even higher.
Despite these challenges, the global PCB market is projected to grow 12.5% to reach $95.8 billion in 2026, driven largely by expanding demand for advanced electronics and AI technologies.
