According to the passive electronic components supply chain, the economic outlook for next year is still unclear, and the economic growth rate may decline. The order volume of MLCC in the first half of next year may not be optimistic.
The supply chain insider pointed out that there are still some MLCC urgent orders recently, but it is not certain how long this situation will last. At present, due to the decrease in the number of manufacturers, the MLCC supply side tends to be oligopolistic. At the same time, the target application of MLCC produced by different manufacturers is becoming more and more detailed. For example, Japanese manufacturers are moving towards high-capacitance and small-size products, Taiwanese manufacturers are focusing on low-to-medium-capacitance products, and the market structure is relatively stable.
The insider stressed that due to the trade war between China and the United States, customers have advanced procurement plans, which led to the emergence of urgent orders. Regarding the future market trend, he expressed a neutral view.
At present, the MLCC inventory of each distributor is between one and a half months to three months. Overall, the current passive component market demand is slightly more than supply, but there will be no shortage like last year, the current market demand is stable.