Murata MLCC factory resumes work today, but...
Latest update time：2021-09-02 16:24
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A major MLCC plant of Murata Manufacturing Co., Ltd., a global leader in multilayer ceramic capacitors (MLCC), has been shut down since August 25 due to a cluster infection of COVID-19. According to Murata's latest statement, no positive cases were found after PCR testing, so the plant will resume work from September 1.
Murata Manufacturing announced on August 31 that the Takefu Works under the main MLCC production base "Fukui Murata Manufacturing" which was suspended due to an outbreak of cluster infection, conducted PCR tests on all employees (including employees of third parties) from August 22 to 31. As of August 29, among the total of 5,416 employees, only 6 employees of third parties tested positive, and all employees of "Fukui Murata Manufacturing" were negative. Because the production system that only "negative" employees can attend work has been fully prepared, the Takefu Works will resume work from September 1.
Murata Manufacturing pointed out that after resuming work, it will continue to conduct PCR tests on approximately 1,000 employees every day.
Japanese media reported that Murata Manufacturing's public relations department said, "Although only employees with negative PCR results can work, the impact on the factory's utilization rate is limited." Murata is currently conducting a detailed investigation into the impact of the temporary suspension of work on its performance.
The epidemic has impacted the supply of iPhone and PS parts! Taiyo Yuden MLCC delivery time extended
The severe COVID-19 epidemic in East Asia may impact the supply of multilayer ceramic capacitors (MLCCs), a key component required for Apple iPhone and Sony PS. A major plant of Murata Manufacturing has been shut down for a week and Taiyo Yuden's delivery period has been extended.
The Japanese version of the Wall Street Journal (WSJ) reported on the 31st that as the COVID-19 outbreak in East Asia worsens, concerns about the supply of MLCCs, which are used in a wide range of applications such as Apple iPhones, Sony PS game consoles, and electric vehicles (EVs), have risen. MLCCs are mainly produced in Southeast Asia, Japan, South Korea, Taiwan, and China, some of which have recently been hit by the Delta variant virus. Murata Manufacturing, the world's leading MLCC manufacturer, will shut down a major plant in Japan for a week due to the outbreak, and another major manufacturer, Taiyo Yuden, will also partially shut down its Malaysian plant due to employee infection. Forrest Chen, an analyst at Taiwan research firm TrendForce, said, "The tight supply of MLCCs is expected to continue."
The report pointed out that a Murata spokesperson said that the impact of the one-week shutdown of the MLCC plant in Fukui Prefecture, Japan on supply is still unclear. In addition, according to TrendForce, due to the expansion of the epidemic, Taiyo Yuden has reduced its MLCC production capacity in Malaysia to around 80-85%. Forrest Chen pointed out that due to the need to find vaccinated truck drivers and handle additional procedures for cargo planes, Taiyo Yuden's delivery time has been extended by 5-10 days from the original 45-55 days, which may affect the supply of advanced MLCCs required for communication devices such as high-end smartphones.
An MLCC is smaller than a grain of rice and is an indispensable part for the production of smartphones, EVs and other products. It is called the "rice of the electronic machinery industry". As the performance of smartphones improves, the number of MLCCs required also increases. According to Murata, the original smartphones need to be equipped with about 200-300 MLCCs, but 5G smartphones need to be equipped with more than 1,000. In terms of vehicles, the number of MLCCs required for an EV is more than twice that of a gasoline car.
Murata Manufacturing Co., Ltd. announced on August 25 that due to an outbreak of COVID-19 at its main MLCC production base, Fukui Murata Manufacturing Co., Ltd., the Takefu Plant under Fukui Murata Manufacturing Co., Ltd. will suspend operations for one week from August 25 to 31 for the health and safety of employees and to prevent the spread of the epidemic.
Murata said that the first confirmed case of new coronavirus pneumonia occurred at Fukui Murata Manufacturing on August 3, and as of August 24, the cumulative number of confirmed cases reached 98 (including employees of third-party manufacturers).
Fukui Murata Manufacturing has 4,800 employees and has two factories under its jurisdiction: Takefu Plant (4,049 employees) and Miyazaki Plant (751 employees).
Murata said that the impact of the suspension of operations at the Takefu plant on supply is currently being carefully examined. Currently, supplies to customers will be met through inventory, and alternative production is being considered at factories in Shimane Prefecture or overseas.
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