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Taiwan Passive Component Manufacturers Aim Automotive

28.9.2022
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Yageo and other Taiwan-based passive component suppliers have put increased focus on automotive applications amid slowdowns in consumer electronics demand, according to industry sources.

The sources said the shift to niche automotive applications has become a consensus of the passive component industry where many suppliers have seen their overall revenues continue declining in recent months.

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Yageo has ramped up its shipments for automotive applications to 18-20% of its total sales recently and expects to scale up the ratio to 22% by the year-end 2023.

Yageo posted revenue of NT$10.176 billion (US$335.81 million) for August, down 2.3% sequentially but up 3.8% annually. For January-August, sales totaled NT$82.079 billion, increasing 15.5% from a year earlier.

Chip resistor supplier Ever Ohms Technology believes that developing products for automotive applications will become mainstream for most passive component makers, given that demand from the electric vehicle (EV) sector will increase substantially compared to traditional vehicles.

Meanwhile, according to Ever Ohms, the demand for passive components for charging piles, charging sockets, and charging guns will also increase meaningfully.

MLCC maker Holy Stone Enterprise has established a policy to focus on ramping up capacity for niche market segments, including automotive, 5G networks, and industrial control, company chairman Tang Jing-rong said recently.

Sources at Holy Stone also noted that the production of its new plant in Longtan, northern Taiwan will cater mainly to automotive, GaN fast charging, and other application.

Holy Stone saw its revenue decline 3.04% on month and 19.72% on year to NT$1.158 billion in August. Accumulated 2022 revenue through August reached NT$10.512 billion, down 10.55% on year.

Source: DigiTimes

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