Passive electronic components are in serious shortage, and the production of capacitors in Malaysia and Indonesia has decreased by 30% to 60%.

The global chip shortage is still serious. Not only PC products are affected, but many automobile manufacturers have also had to reduce production capacity due to the chip shortage. According to DigiTimes, the market for passive components such as capacitors, resistors, and inductors is also facing a shortage problem.

Currently, Malaysia and Indonesia have been severely affected by the COVID-19 pandemic and have been under multiple blockades, which has resulted in the inability of many chip and capacitor manufacturers to carry out normal production and transportation. The three major capacitor manufacturers, Chemi-Con, Nichicon, and Rubycon, account for about 50% of the global market. The factories of these three in Malaysia were closed for most of July-August. Therefore, it is expected that the current capacitor shipments will decrease by 30%-60%, greatly affecting the global supply chain.

At the same time, from computers to power, energy and other equipment, there is strong market demand this year. Although some Chinese manufacturers are able to take over part of the capacitor production capacity, sources said that the delivery time of such passive components used to be 4-6 weeks, but it has now been extended to 3-6 months, and the lack of materials has also limited the production capacity of some electronic products. DigiTimes reported that in the first half of this year, the revenue of several manufacturers in Taiwan increased by more than 20% year-on-year.

IT Home learned that Samsung, TSMC and other manufacturers have been stepping up the construction of new chip factories since this year, and the chip shortage is expected to be significantly improved in 2022. In the passive component market, if the epidemic in Southeast Asian countries is alleviated, production capacity will be restored soon. DigiTimes said that based on the information currently available, it is impossible to predict the long-term supply situation.