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How to do with the surface mount components shortage?

The reality of surface mount components shortage

Semiconductor surface mount components have been severely in short supply this year, nowadays there has not been considerable improvement yet. 

Actually, as early as 2018, the lack of digital components has appeared. Back then, the fast growth of the smart device, portable computer system, and also vehicle markets set off a shortage of MLCC (Multilayer Chip Capacitors), which continued until 2020. Currently, this shortage of surface mount components has once more swept up the worldwide market in a large-scale way.

Leadtimes of surface mount components

Semiconductors will certainly be in short supply for a long time ahead yet, according to analysts that monitor the market.

Glenn O’Donnell, a vice head of state of research director at advising company Forrester, thinks the shortage can last up until 2023.
” Because need will continue to be high and also supply will continue to be constricted, we expect this shortage to last with 2022 and into 2023,” he wrote on a blog site.
” Pair that with the unstoppable wish to instrument every little thing, together with continued development in cloud computing as well as cryptocurrency mining, as well as we see only boom times in advance for chip demand,” stated O’Donnell.

On The Other Hand, Patrick Armstrong, CIO of Plurimi Investment Managers thinks the chip lack will last 18 months. “It’s not simply cars. It’s phones. It’s the internet of every little thing. There are many products since have a lot more chips than they ever did in the past,” he said. “They’re all internet-enabled.”

What triggered the surface mount components shortage?

There has actually been a wide range of one-off factors that have triggered this situation.

Put aside the surging demand of smartphones, 5g terminals, auto, and also other markets, the unequal production abilities of element manufacturers lead to a huge part of the surface mount parts that can only be obtained from detailed vendors, the providers with weak capacities can not share the need, which has actually even more broadened the rift of shortage.

demand for surface mount components

Additionally, the events of COVID-19, fires in Japan, storms in Texas, etc have actually developed a domino effect of disturbances that have created an extreme in-balance in the semiconductor supply chain.

What to do with this situation?

Under this situation, numerous businesses have to come back to the source market as well as try to find more possibilities, which has actually been verified by PS Electronics‘ many new business customers this year.

Various distributors control different component networks and take different priorities in similar networks. The complementarity of the supply chain can alleviate the surface mount components shortage to a particular degree.

component alternative analysis is one more method, which permits us to avoid certain highly tight supply connections and obtain components within an expected shipment duration. In this respect, we now provide clients with evaluations from DFM to BOM analysis to avoid business damage to our customers due to component lacks.

If you are also looking for a method to recover the supply of electronics components, welcome to call us, we will provide you with an ideal solution.

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