IC Trends Blog | Electronic Component Supplier News

Continued Flooding Interrupts Supply of Electronic Components

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As the flooding continues in Southeast Asia, electronic component manufacturers are feeling the effects of the unfolding tragedy.  Hard drive manufacturers and electronic component manufacturers are reporting production stoppages and supply issues for the fourth quarter.

Since July, more than 80 percent of Thailand's 77 provinces have been flooded, submerging more than 10,000 factories.  Western Digital, Sony, Rohm, NXP, and Panasonic appear to be heavily affected.

Sony currently has two of its three Thai facilities closed.  Western Digital has closed all of its Bangkok area factories.  WD shipped more than 50 million drives last year and employs some 37,000, now left without work for the short term.

The cleanup from this disaster brings additional concern.  With much of the manufacturing equipment and entire assembly lines underwater, extensive repairs and in many cases replacement of machinery will be required before resuming production. 

Electronic component supply will continue to suffer as production remains on hold for many factories.  Many component manufacturers are facing losses for the fourth quarter, and have downgraded their production forecasts.  This will mean an increased need for finding suitable replacement electronic components in order for product manufacturers to minimize their production risks.

Affected Factories:

• Avago Technologies Pte.
• Benchmark Electronics Inc.
• Fairchild Semiconductor International
• Hana Semiconductor
• Marvell Technology Group Ltd.
• Microchip Technology Inc.
• Microsemi Corp.
• NEC Corp.
• NXP Semiconductors N.V.
• ON Semiconductor Corp.
• ROHM Semiconductors
• Sanyo Semiconductors
• Seagate Technology LLC
• Sony
• Texas Instruments Inc.
• Toshiba Corp.
• Western Digital Corp. (WD)