Research and Markets have announced the addition of the “Global and Chinese Optical Fiber Perform Industry Report, 2014-2017” that would be helpful to the optical fiber preform manufacturers, fiber manufacturers, and industry analysts throughout the world.
The optical preform is the raw material for optical fibers. Optical preforms that are used for drawing optical fibers used in telecommunications are silica glass rods. Different manufacturing techniques are employed to fabricate optical preforms such as Vapor Axial Deposition, Chemical Vapor Deposition, Modified Chemical Vapor Deposition, Plasma Chemical Vapor Deposition etc. VAD or Vapor Axial Deposition method yields high quality optical fibers that have the lowest levels of moisture content. Optical fiber preform, a kind of specialty glass preform used to draw optical fiber, is the core material for the manufacturing of optical fiber.
Research and Markets say that the Optical fiber preform, optical fiber, and optical cable account for 70%, 20%, and 10% of the total profit of the optical fiber industry chain respectively. Global optical fiber preform capacity amounted to 13,000 tons in 2014. At 95 percent drawing yield, this corresponds to more than 440 million fiber kilometers. Almost all of the preform manufacturers are mainly concentrated in the United States, Japan, and China. The three countries together hold more than 85.2% of the world’s total preform capacity. China is the largest producer of the optical preform. China ranks number one in the production of optical fibers as well. For optical preforms, China claims a share of 39.8%. Besides a big producer of optical fiber preform, China is also a large consumer, demanding 6,639 tons in 2014, 60.9% of global demand. The figure is expected to increase to 7,144 tons in 2015.
Due to technological limitations, over 70% of China’s demand for optical fiber preform was imported prior to 2010. In recent years, as key domestic companies enhanced their capability for independent research and development, China’s optical fiber preform production capacity continued to expand. Thus, the self-sufficiency rate in optical fiber preform rose from 20.0% in 2007 to 64.4% in 2014 and is expected to reach 72.6% in 2015.
In March 2014, the Ministry of Commerce initiated an anti-dumping investigation on optical fiber preforms originating in Japan and the United States. In May 2015, the preliminary verdict showed that China Customs would levy security deposits on imports of optical fiber preform from Japan and the United States based on dumping margin (7.8%-39.0%) decided in preliminary rulings. Affected by this, China’s imports of optical fiber preform recorded negative growth (-9.5%) for the first time in 2014 and are expected to keep falling in 2015 (a year-on-year decline of 8.7% during Jan-May).
Global optical fiber preform industry is highly concentrated, with top5 companies (one in China, two in the United States, and two in Japan) together making up 59.4% of market share in 2014, of which Chinese Yangtze Optical Fibre and Cable Co., Ltd. (YOFC) taking the first place with a share of 13.3%, followed by U.S. Corning Inc. (12.9%).
The following companies are covered in the report: Corning Inc, FiberHome Telecommunication Technologies Co., Ltd, Fujikura, Furukawa Electric, Futong Group, Hengtong Optic-electric Co., Ltd, Jiangsu Zhongtian Technology Co., Ltd, NV Twentsche Kabel Holding (TKH) – Potevio Fasten Optical Communication Co., Ltd, Prysmian, Shin-Etsu Chemical, Sumitomo Electric Industries, Yangtze Optical Fibre and Cable Company Ltd. (YOFC).