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Crystal oscillator manufacturer EPSON announced a 12-day shutdown

SemiMediaEdit
April 22, 2020

Seiko Epson recently issued a press release announcing that in order to ensure the safety of employees and prevent the spread of the COVID-19 pandemic, all its sites in Japan will be suspended from April 25 to May 6.

According to reports, Seiko Epson is involved in multiple industries. The shutdown affected all of its product lines, including crystal oscillators, a type of passive electronic component called the heart of electronic products.

According to market research, Seiko Epson's crystal products accounted for 11.7% of the global market share, ranking first in the world. An industry source revealed that with the commercialization of 5G, the demand for crystal oscillators in base stations, smartphones, servers and other fields has ushered in a period of rapid growth, which has caused some crystal oscillator products to rise in price by more than 25% due to short supply.

Yesterday, TXC Corporation, which ranked fourth in terms of global market share of crystal oscillators, mentioned in an interview that as early as March when Seiko Epson’s Malaysian plant was shut down, orders surged. After Seiko Epson's Japanese crystal production line is completely shut down, there will certainly be a lot of orders transferred from Japan, and TXC will increase production capacity to cope with it, TXC spokesman said.

As for whether the suspension of Seiko Epson will make the crystal industry that is already imbalanced in supply more severe and lead to price increases again, industry insiders say there is a great possibility, but the actual situation still needs follow-up observation.

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