According to reports, Taiyo Yuden recently stated that it will expand MLCC production capacity by 15% this fiscal year. In addition, in response to the recovery of Chinese smartphone market after July, Taiyo Yuden's capacity utilization rate will increase from 90% in April to June to 90-95%.

Taiyo Yuden had expected in February that demand from Chinese smartphone makers would recover in April to May, but considering the Covid-19 outbreak, the recovery was expected to be delayed until after July. Therefore, Taiyo Yuden's sales from April to June are expected to drop by 6-10% month-on-month, and the amount affected by the epidemic control is about 7 billion yen, and the sales from July to September will reach a high level.

In terms of prices, Taiyo Yuden said that it is expected to decline by 3% this year, which is more gradual than the previous decline. In view of the rising cost of raw materials, logistics and other costs, Taiyo Yuden stated that the specific price will be determined after negotiation with customers.