Malaysia Lockdown Threatening the MLCC Supply

Malaysia’s extension of its nationwide lockdowns will disrupt the MLCC supply In the advent of the Delta variant, the governments of Southeast Asian countries, including Vietnam, Philippines, Thailand, and Malaysia have recently instituted strict pandemic control orders.  For example, Malaysia has extended its Movement Control Order (MCO) 3.0, a nationwide lockdown enforced to combat the…

Counterfeit Chips Escalate Amid Shortages

With no foreseeable end, the semiconductor shortage has led counterfeiters to capitalize on the industry’s desperation. The persistent semiconductor shortage has provided “fuel to the fire” for electronic component counterfeiters.  The desperation among electronic component buyers has given counterfeiters an opportunity to exploit the industry-wide panic buying and has led to an increased prevalence of…

Record High Shipping Container Rates and the Electronics Industry

Shipping container rates continue to climb, and the affects stretch all the way down to the end users. Shipping container rates have reached record highs, as the cost to ship from Asia to Europe has risen past $10,000 per FEU (per forty-foot equivalent unit).  According to the Drewry World Container Index, the rate for a…

Electric Vehicles and the Impact on the Automotive Supply Chain

Changing consumer preferences, new technologies, and intensifying regulations are developing demand for electric vehicles, consequently shifting the automotive and electronics supply chain. According to the Intergovernmental Panel on Climate Change, transportation accounts for approximately 23% of global energy-related greenhouse gas emissions, and road transport makes up 72% of that.  Typically, an EV emits approximately half…

How Long Will the Semiconductor Shortage Last?

As the semiconductor shortage persists, buyers of electronic components must evaluate how long these issues could last. Evidently, an ample supply of semiconductors is crucial for manufacturing across almost every industry.  The semiconductor shortage has had a significant impact on the production of many goods, making many projects unfeasible for manufacturers.  For this reason, electronic…

The Unintended Consequences of Stricter Fuel Economy Standards

Could these fuel economy standards have an unintended impact on the automotive and electronics industry? President Joe Biden has directed Federal regulators to reevaluate national fuel economy standards and encourage the transition to electric vehicles.  These changes in fuel economy and emissions standards will force automakers to shift their production towards more efficient vehicles and…

Electronic Component Market Sales Surge to Dramatic High

Sales growth in the electronic components market has risen dramatically between February and March.  How will this affect the electronics industry long term? According to ECIA’s Electronic Component Sales Trend (ECST) monthly survey, electronic component sales soared upward in March.  This survey assessed month-to-month sales growth, indicating expansion between 26 and 27 points in component…

Conflict Minerals Regulations: How will these strengthened regulations impact the electronics industry?

The electronics industry is heavily dependent on minerals like tin, tantalum, tungsten, and gold (3TG).  How will these strengthened conflict minerals regulations impact the electronics industry? January 1st, 2021 marked the introduction of new European legislation on the responsible sourcing of minerals, referred to as the conflict minerals regulations.  Since then, European Union based companies…

The Outlook of the European Electronics Supply Chain

The past year was difficult for the European electronics supply chain, and subsequent supply chain interruptions are compounding these issues into 2021. As we enter 2021, many individuals in the European electronics supply chain are anxious but optimistic.  The rollout of the vaccine in many countries has created some hope in the supply chain, but…

Automotive Industry Facing a New Kind of Shortage

The automotive industry could soon be burdened by a shortage of batteries and raw materials, requiring significant investments in U.S. manufacturing, recycling, and mining. Lithium-ion batteries have become a fundamental component of our world, powering everything from our phones to our electric vehicles (EVs).  According to Verified Market Research, the global electric vehicle battery market…