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Electronics industry decides whether coronavirus has prevented business

The advent of the “Chinese coronavirus” has affected the economic performance of many companies, even if they are not directly tied to China. It is yet to calculate the damage, the more the threat has not yet passed. Meanwhile, market players begin to calculate possible losses, planning further activities.

A significant part of the production facilities located in China has returned or is going into operation. However, some large contract builders expect delays in component shipments. This can lead to shortages and higher prices.

For example, Quanta Computer, Compal Electronics, Wistron and Inventec (these companies produce laptops, including for Apple, HP, Dell, Acer and others) complain about the insufficient supply of components. For this reason, the lines will only be partially loaded. Small companies cannot yet return to service, awaiting permission from the government.

The exception is TSMC, which has not lost volumes and does not plan to reduce supplies. Among its largest customers is Huawei. Foxconn and Pegatron, in turn, may be indirectly affected by coronavirus.

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