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Many Original Manufacturers Announced Price Increases For Automotive Chips

Time:2022-09-15   Views:

According to a report from Taiwan's "Electronic Times" on September 6, it was reported from the supply chain that Japan's Rohm

 Semiconductor (Rohm) will officially increase the quotations of new and old products from October 1 this year, an increase of 10%, and some products. Line quotations rose differently. Another car chip maker, NXP, also reported an increase in the price of automotive chips.


Leita Fujimura, chairman of the Shanghai subsidiary of ROHM, pointed out in the recent price increase letter that the cost structure of raw materials and other materials continued to rise. In order to cope with the company's follow-up investment plan, production capacity deployment, and increasing demand, the company decided to increase the price.


Japan's ROHM Semiconductor is a large IDM (Integrated Chip Design and Manufacturing) factory. Its products cover many fields, including IC, discrete components, optical components, passive components, modules, semiconductor application products and medical equipment.


At present, due to the shortage of automotive chips, the overall supply situation is unstable, and in the context of global inflation, it is not only Roma's price increase, but other international chip manufacturers such as NXP and Infineon have also reported News of an increase in the quotation of automotive chips.

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It is reported that STMicroelectronics, Texas Instruments and Infineon are also planning to increase the prices of industrial and automotive components in the fourth quarter of this year. Consumer components will not increase in price, but industrial components will rise by 10%, and automotive components will increase up 20%.


NXP pointed out that based on the current and 2023 order levels, NXP's current production capacity can only cover 80% of the order demand. At the same time, the company is confident in price stability as supply and demand will not ease in the short term.


In addition, Infineon also said that automotive production will continue to be suppressed by material shortages and supply disruptions, resulting in limited growth in the automotive market in the second half of the year. Nonetheless, the fundamentals of the ADAS and electric vehicle markets are intact, providing the company with strong structural growth opportunities.


Earlier, the CEO of STMicroelectronics stated that due to the restocking cycle of the automotive supply chain and the trend of electrification and digital transformation, the visibility of the backlog of orders in the automotive business is about 18 months, which is much higher than the company's current supply capacity. Capacity has also been sold out.


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