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Allegro issues price increase notice

SemiMediaEdit
April 2, 2021

According to supply chain, Allegro Microsystems recently issued a price increase notice to its customers and said it will increase the price of all its product lines from April.

The notice stated that the global semiconductor industry is naviating an unprecedented situation created by dramatically increased demand for products utilizing a relative fixed supply of manufacturing capacity and resources.

Allegro said that the above situation is compounded by material impacts on economy and trade driven by the COVID-19 pandemic. Allegro’s supply chain is subject to increased costs and lead times to secure supply of scarce materials, equipment and services that required for them to serve market demand.

As a result, Allegro decide to increase prices across their product lines effective April 1st, 2021. In addition, Allegro will temporarily modify the ordering terms of products with particularly strong demand until September 30, 2021.

The notice mentioned that both new and existing orders shipped after April 1st, 2021 will be processed at the new price.

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