Unimicron Raises 2026 Capex to NT$34 Billion, Warns Fiberglass Cloth Shortage Could Last All Year

Unimicron Technology, a major global supplier of ABF substrates and printed circuit boards, is benefiting from rising demand for AI servers and high-performance computing, making substrate capacity a key focus of supply-chain expansion. ABF substrates are critical to advanced chip packaging, but tight supplies of fiberglass cloth and other key materials could constrain new capacity and drive up manufacturing costs.

Unimicron sharply raised its 2026 capital spending plan to NT$34 billion, with about 70% earmarked for expanding ABF substrate capacity to meet AI and high-performance computing orders. The company also warned that the fiberglass cloth shortage could persist through the end of 2026 and said it was negotiating price increases with customers. Improved visibility from long-term contracts prompted a foreign brokerage to raise its price target for Unimicron to NT$734.