The substantial wave of shortages for multiple electronic components throughout 2018 has brought a significant strain to manufacturers within the electronics industry. Due to rapidly advancing developments and design improvements throughout various sectors, manufacturers continue to require large quantities of various electronic components. As we enter 2019, what can be expected for the critical component supply and demand?
The most notable components subject to 2018 extremely long lead times include:
The demand appears to be moderately stable, noting comments made by major MLCC suppliers indicating both the demand and supply for MLCCs are gradually catching up. The next wave of demand is expected to occur in 2020 from the anticipated heavy impact from 5G.
The 2018 high demand for MOSFETs, driven by the automotive and other electric mobility means, will likely to continue into the first half of 2019. This demand is due to the growing popularity from new consumer technology such as the vacuum robot, eBike, and electric wheelchair.
In Q4 2018, some relief appeared for resistors. Lead times for resistors from multiple major brands are currently in a decreased or stable state.
Depending on the manufacturer, current lead times range from 12 to 55 weeks. Industry reports also forecast lead times and prices for diodes will continue to increase.
Industry experts are generally conservative about the 2019 outlook for the memory market. The main concerns predicted to influence the memory market include the US-China trade war and over-supply in the supply chain channels.
For over 40 years, Advanced MP Technology has had the experience and resources in place to handle all supply chain complexities that come with electronic component shortages. With 28 worldwide locations, we have the essential resources in place to effectively source components going through strained shortages while providing excellent customer service and high-quality products.