Japanese electronic component manufacturers halt production due to earthquake

Japanese companies Renesas Electronics, Murata Manufacturing, Sony Group and other manufacturers of electronic components suspended some production after an earthquake in the northeast of the country.

While Japan’s involvement in consumer electronics supply chains is no longer as strong as it used to be, some manufacturers have entered specialized niches and continue to play a critical role. For example, Murata is a major supplier of certain types of capacitors, while Sony dominates the image sensor market.

Japanese electronic component manufacturers halt production due to earthquake

The source calls the current stoppage of production a new blow to the industry, which has not yet had time to cope with the lack of components. Shortages, triggered by the disruption of production and logistics processes due to the pandemic, have already put a brake on the production of automobiles and electronic devices around the world.

“The quake shutdown is a net downside given that components are currently selling as fast as you can produce them,” said Hideki Yasuda, an analyst at the Ace Research Institute.

The magnitude 7.4 quake hit just before midnight Wednesday east of Fukushima Prefecture, in the same area where Japan’s biggest earthquake struck 11 years ago.

Renesas, which makes nearly a third of microcontrollers used in cars worldwide, said it had temporarily suspended production at two factories and partially suspended production at a third.

Murata, the world’s leading supplier of ceramic capacitors used in smartphones, computers and cars, said it had suspended four factories following the earthquake.

One of Japan’s most prominent conglomerates, Sony, said it had stopped production at two plants in Miyagi Prefecture and a third plant in Yamagata Prefecture, which manufactures storage media, laser diodes and image sensors.

Source: ixbt

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