Firm Electric Materials Demand

Electric materials demand keeps firm since second half of fiscal 2005 ended March 2006. The demand is strong for cell phone, liquid crystal panel television and automotive industry. The high valued products demand is also firm when electric circuit is getting finer. The materials makers expect the shipment will increase in fiscal 2006 from fiscal 2005 though some products face seasonal slow demand before they rush to ship products after summer toward Christmas trade. Nikko Shoji reported demand of phosphor bronze sheet and strip is very strong since April after the boom between the end of 2005 and March 2006. The demand keeps firm for automobile and digital appliances while the semiconductor demand is also strong. The firm said the firm demand continues based on the order intake for the firm. The firm expects the demand keeps firm at least until September even with small up and down without negative factors after July.Fujikura reported flexible printed circuit shipment is relative slower in April and May than a year earlier though the shipment increases from June-July and reaches peak toward year end usually. The firm expects the Thai plant, which is mass production base for the firm, will pump up the operation to full capacity in September-November both for single- and double-side flexible printed circuit though the plant now operates at lower utilization. The firm plans 13.8% higher sales at 102 billion yen for the flexible printed circuit unit in fiscal 2006 from fiscal 2005. The firm expects the volume will increase more than the value due to higher demand for cell phone as fiscal 2005.