Passive components are not afraid of the cold winter of semiconductors, and large factories are busy expanding production against the trend

2022-12-18

Order recovery, passive components start replenishment

Recently, the media reported that the market demand for passive components is expected to recover. Previously, the passive component industry started to reduce production and speed up inventory adjustment. With the resolution of the problem of short and long materials of IC parts, the customer's momentum of goods pulling recovered recently, driving the orders of large passive component manufacturers to recover.
According to the industry, with the recovery of orders, the passive components have started replenishment. Due to the Spring Festival, the number of working days will decrease in the first quarter of 2023, which will lead to the advance of replenishment to December this year and January next year. At the same time, passive component manufacturers said that due to the slowing epidemic situation, dealers had the courage to place orders and destocking, and their views on the first half of next year were no longer pessimistic.
Huaxinke said to the outside world that the situation of receiving orders has really improved recently, focusing on urgent orders. The research and judgment is the short-term demand after the customers have completed the materials. In terms of application, urgent orders mainly focus on network communication, servers, industrial control and vehicle use.
Guoju said that it is currently expected that the standard products will continue to be adjusted to the first quarter or the second quarter of next year, and the company's niche products will have a steady momentum. Under the active optimization of existing products, as well as the launch of mergers and acquisitions and the acquisition of high-end product applications, the proportion of standard products has dropped to 25%. After the completion of the merger and acquisition of two European sensor companies next year, it is expected that the proportion of standard products is expected to further drop to 20%.

Large factory expansion, vehicle MLCC and other new directions

Affected by the continued weakness of consumer electronics demand, the expansion speed of passive component market represented by MLCC has slowed down since this year, but also because of the reduction of passive component production to adjust supply and demand, the market oversupply situation is expected to improve in 2023. In addition, compared with consumer electronics, the demand momentum of automotive MLCC is still strong. Against this background, many large factories still expand MLCC against the trend.
In May this year, TDK announced that it had decided to build a new MLCC factory in Beishang Factory (listed in Iwate, Japan) to strengthen the production of multilayer ceramic capacitors. The new factory focuses on the production of high reliability MLCC products applied to electric vehicles, automatic driving and ADAS. It is planned to start construction in March 2023, complete construction in June 2024, and start mass production in September 2024.
In August, Kyocera announced that it would build new production facilities in the factory area of its national branch in Kagoshima in February 2023. It is expected to be completed and put into operation in May 2024. The total investment of the project is 15 billion yen. It is expected that the annual output value after full production will reach 20 billion yen. The company revealed that 5G data centers, smart cars and other markets are powerfully driving the growth of demand for MLCC, and the new production facilities will ensure Kyocera's future delivery capacity.
In addition, according to the global market research institute TrendForce Jibang Consulting, it is predicted that in 2023, under the influence of the global economy is still weak, the international situation is complex and the epidemic situation, the reversal of terminal consumption demand may be delayed. However, with the gradual easing of the shortage of semiconductor IC in the automotive market, the momentum of cargo pulling is stable, which will become the main operating focus of MLCC suppliers next year.
Samsung SEMCO cooperates with the Group's 2023 strategic plan to expand the global automotive market business from semiconductor, panel, passive component, camera module and other business divisions. In 2023, the automotive MLCC capacity will be expanded by a total of 2 billion (monthly capacity) in Busan and Tianjin.
Murata's vehicle capacity expansion continues to grow by 10% every year. After the second quarter of next year, it will increase by 3 billion (monthly capacity) in Fukui, Chuyun, and the Philippines, with a total capacity of 25 billion (monthly capacity). The leading position is stable.
With the introduction of Kemet MLCC technology, Guoju is expected to expand 1.5 billion (monthly capacity) in Kaohsiung Daihatsu in the second quarter of next year.

Company Statement

The semiconductor equipment market is expected to reach US $108.5 billion in 2022, setting a new record of 5.9% growth

To all the partners:
Elena, the former foreign trade salesperson of ourforeign trade sales department, has officially resignedon June 9, 2023 due to personal reason. 0ur companysolemnly declares that any business and words and deedscarried out by Elena from now on have nothing to do withand our company does not assume anyourcompany,responsibility!

Company Statement

2023-06-14

Recently SEMI announced the global semiconductor manufacturing equipment market forecast by the end of 2022. Inna Skvortsova, an analyst at the company's market research and statistics department, said that by the end of 2022, the semiconductor equipment market will reach US $108.5 billion, a new record of 5.9% growth, surpassing the historical high of US $102.5 billion in 2021

The semiconductor equipment market is expected to reach US $108.5 billion in 2022, setting a new record of 5.9% growth

2022-12-18