The electronics industry has already seen many setbacks this year, from Display Driver IC part lead-time increases, to increased demand for raw materials used to produce TFT panels. More recently we have had the new car chip shortage, caused by a sharp demand for semiconductors, which manufacturers are struggling to keep up with. This has wreaked havoc for many electronics companies supply chains.
In addition to the 25% increase in March 2021, from October we can expect a further 20% increase in silicone rubber. This is due to the rise in the raw materials such as silicone metal and methanol. Production volume cuts to reduce power consumption, as well as increased logistics prices, are also driving up final part costs.
As a business we are continuing to monitor the situation, however, please prepare for some increased costs, as unavoidably, it has become necessary to implement price revisions.
We appreciate your support at this difficult time and hope to see more consistency within the supply chain over the coming months. We will continue to provide updates on this as and when we receive news. If you would like to talk to us further, or have any concerns, please do not hesitate to contact us on +44 (0)1477 505206 or email email@example.com.