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Abstract: This paper studies the characteristics and phenomena of a new-type ACF on the outer lead bonding for the bonding process. Firstly, this new-type ACF has a good thermal conducting effect and an excellent curing capability which offers lower bonding temperature and less curing time during the bonding process. Although the electrical resistance of new-type ACF is slight higher than the conventional-type ACF, the value is quite acceptable. Less conductive particles are trapped at edge of ACF because it has lower temperature than other regions. Using Taguchi method and finite element analysis is not completely to get the optimum parameters of the bonding process, or rather it can examine the effects of bonding process parameters on the activation capabilities of conductive particles of the new-type ACF. Moreover, the inside conductive particle of new-type ACF induced more equivalent stress than that of the outside and middle conductive particles. [Copyright &y& Elsevier]