January 2020 Passive Electronic Component Monthly Market Research Report

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passivecomponent

CRL Monthly Review: Passive Electronic Component: Monthly Report: JANUARY 2020 Review

JANUARY 2020 MARKET UPDATE:

• The Capacitor Market Index Declined by 5.2% in January on a Month-to-Month Basis With Weakness in The MLCC, Tantalum and Aluminum Segments

• The Declines In Capacitors Were Lead by Sharp Drops in Demand for MLCC, especially sharp declines in pico-farad and high cap MLCC.

• Demand In Tantalum Which Began in November and Continued in December, Lost Steam in January and Slowed Down.

• Film Capacitor Supply Chains Remained Off Balance as Demand Continued to Increase for Axial and Radial Leaded Designs amidst Heightened Demand for Snubber X/Y Caps 

• Resistor lead times increase

• Inductor lead times increase

• Copper price rises 35% for the month:

• Palladium prices increase 23% during the month

• Capacitor lead times DECREASE

• December 2019 Quarter Downgraded to -3% Q-to-Q Instead of Flat

• March 2020 quarter outlook- down 8% in value quarter-to-quarter

• AVX DOWN 8%, WALSIN DOWN 10%, YAGEO DOWN 5%, SEMCO Down 5.5% Q-TO-Q FOR DECEMBER.

• QUICK MESSAGE:

• Weak Component MARKETS, ESPECIALLY CAPACITORS

• RESISTORS AND INDUCTORS SHOWING SIGNS OF A TURNAROUND

• RAW MATERIALS PRICES SPIKING- PALLADIUM AND COPPER UP SHARPLY