Dear business partners, The FR4 material market has seen extraordinary volatility in recent weeks. The reason is a global shortage of fiberglass cloth, the key raw material used to produce FR4. Availability is being dramatically reduced by surging demand from the artificial intelligence sector, whose laminates consume many times more of this material than standard applications. Laminate manufacturers are responding with sharp price increases, and some are limiting or even halting production due to the shortage of raw material. Based on supplier estimates, the material price will continue to rise at least through October 2026; the outlook beyond that point is currently impossible to predict. This situation has two practical implications: |
1. Individual pricing for ordersManufacturers are unable to hold their price quotes for more than a few days. For this reason, we will be required to price each individual order separately and reconfirm the FR4 material price with each new order. |
2. Risk of order delaysMaterial availability is limited and lead times are getting longer. It is no longer possible to stock up on raw material in advance; material is now ordered only for a specific job, as manufacturers of the base material often set a limit on the maximum monthly volume for each customer. For all these reasons, we highly recommend placing orders as early as possible and taking this into account when planning. We truly value our partnership and do our utmost to find the most suitable solution for your projects together. We are actively exploring alternative materials and negotiating with suppliers to secure a stockpile for our customers. Despite the challenging situation, we have already managed to secure a reservation for a certain quantity of FR4 material. We are continuously monitoring the situation and replenishing inventory as opportunities arise. We apologize for any inconvenience this situation may cause. If you have any questions or would like an individual consultation, please contact your sales representative. Thank you for your understanding. Radovan Burhan, CTO |