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Aluminum Foil and Capacitor Lead-Time and Prices Keep Rising

29.7.2021
Reading Time: 1 min read
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Quotes for aluminum capacitors and foils have continued to trend upward in the third quarter due to significant rises in market demand and materials prices, according to taiwan industry sources.

The sources said Japan’s leading capacitor makers Nippon Chemicon and Nichicon have extended their delivery lead times for aluminum electrolytic capacitors and polymer aluminum capacitors to at least 24 weeks, well into the first half of 2022, as production at their plants in Malaysia is being affected by COVID lockdowns there.

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This has prompted clients to shift part of orders to suppliers in Taiwan including Lelon Electronics, Taiwan Chinsan Electronic Industrial and Kaimei Electronics, all of them having seen revenues for first-half 2021 grow over 20% on year as a result, the sources noted.

The Taiwanese vendors of aluminum capacitors have raised their quotes for third-quarter shipments by high single-digits to reflect rising costs for materials including aluminum foils amid the strong demand from clients, the sources continued.

Taiwan’s aluminum foil maker Liton Technology has also increased its quotes for low-to-high voltage aluminum foils by 2-3% in the third quarter after hiking prices quarter by quarter since late 2020 in response to ever-rising aluminum prices.

The company now maintains full capacity utilization at its plants in northern Taiwan and China’s Guangdong and Sicuan provinces to fulfill abundant orders in hands. Its first-half 2021 revenues surged 27.47% on year to NT$1.97 billion (US$70.36 million).

Source: DigiTimes

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