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Nichicon Releases Price Increase Notice for Aluminum Electrolytic Capacitors

23.3.2021
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According to industry insiders, Nichicon, the world’s second-largest manufacturer of aluminum electrolytic capacitors, recently issued a notice to its customers to increase the price of aluminum electrolytic capacitors.

Nichicon stated in the price increase notice to customers that since September last year, various markets including automobiles have improved significantly, causing the company’s orders to exceed production capacity. Although the company has adjusted its production lines to increase production, it still cannot meet customer needs.

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In addition to insufficient production capacity, Nichicon is also facing a serious shortage of raw materials such as aluminum and aluminum foil. In addition to prolonged delivery of raw materials and rising costs, the company is also facing the dilemma of rising electricity costs.

Nichicon also mentioned that the company hopes to deliver products to customers as quickly as possible, but the expensive transportation costs and shortage of containers have exceeded the scope of the company’s ability to absorb the costs on its own, so customers are requested to understand.

Nichicon said that under this predicament, the company was forced to choose a longer delivery method in order to reduce transportation costs. In addition, during this difficult period, additional freight or price increases will help the company absorb global logistics costs.

Source: SemiMedia

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