Since March, the price of resistors has increased by 80%. Yageo responded: determined by market demand

After announcing a 30% price increase for MLCC capacitors in early February, Taiwan’s Yageo Electronics recently announced that its resistor products have also followed suit, with price adjustments starting in March by 70% to 80%, significantly higher than the previously expected 50%.

Before February was over, Yageo Electronics raised prices for the two major products, and the increase was far beyond market expectations, so this price increase caused controversy in the industry.

Yageo Electronics also issued a statement later, emphasizing that the price is determined by market supply and demand, and is currently making every effort to meet customer needs.

Capacitors, inductors and resistors are the three most important passive Electronic components, accounting for 90% of the entire market. Their single cost and price are very low. Ordinary resistors may only cost a few cents or a few cents, but in electronic products The consumption of these three passive components is huge, and there are hundreds of resistors on the motherboard and graphics card PCB.

Yageo’s resistor production capacity is about 120 billion pieces per month, and its main production base is located in factories in mainland China, of which the Suzhou factory accounts for 70% of the total production capacity. At present, due to the impact of the epidemic, the operating rate is insufficient, which directly affects the production capacity.

The production capacity of resistors is affected, but inventory and market demand are different. It is reported that Yageo Electronics’ resistor inventory level has dropped to less than half of the normal level within 30 days. In addition, recently, downstream customers are also accelerating the preparation of materials, and there is even a phenomenon of rushing orders, resulting in an imbalance between supply and demand, which has laid the foundation for Yageo Electronics to increase prices.

Author: Xian Rui

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