According to supply chain news, in response to the tight supply of MLCC, the client hopes that supply and price can be stabilized, Yageo is now discussing internally and may change the practice of quarterly contracts and to sign long-term contract with customers. In the long-term contract, the MLCC and the chip-resistor will be bundled for supply and will be bundled until 2020. In addition, whether the customer signs a long-term contract will affect the price, the contractor price will increase by 25%, and the unsigned customers’ price will be raised by 50%.

Regarding whether it will start signing a long-term contract with the client, Yageo said that it has indeed received the request from major customers to sign a long-term contract. The data and evaluation methods and details are being collected internally, but there is no specific practice at present.