While there are concerns about overcapacity for metal-alloy chassis on the possibility that iPhone shipments in 2016 will slip on year, global demand, especially for aluminum-alloy chassis, will continue growing over the next 3-5 years, according to sources from makers.
The sources pointed out that metal chassis supply and demand are still healthy, and a drop in sales for one client will not significantly impact the long-term trend of seeing growing demand, since the technology for processing aluminum is already mature and IT product's short life-cycles will prompt the birth of new products and stimulate demand.
Although many chassis makers have been looking to use other materials, the process of switching may take at least 3-4 years of R&D and the finished chassis also may not be adopted immediately, meaning metal chassis will remain a popular choice among IT players for the foreseeable future.
Metal chassis makers Catcher Technology and Casetek have both started establishing new facilities in China.