29 Apr 2022 -

Research: electronics supply chains hit by price pressure and extending lead times

New supply chain data paints “a grim picture” of current and expected conditions in the electronics supply chain, where commodity supply tightness and cost inflation are impacting most inputs across categories.

“Geopolitical uncertainty and wide-ranging impacts from the Russian invasion of Ukraine, persistent global inflation and recurring COVID-19 outbreaks continue to wreak havoc and test beleaguered industry supply chains,” says SDC (Supply & Demand Chain Executive).

Challenges include shortages of resin feedstocks and additives, increasing costs for fuels and metals and challenges related to the affordability and availability of labour and freight capacity.

According to the research:

  • Commodity IQ expects 85% of all pricing dimensions to increase and 83% of all lead time dimensions to extend this quarter. 
  • Through the first quarter of 2023, more than 70% of lead times are forecast to increase. During that timeframe, analog, complex semiconductor (ASICs, MCUs, MPUs, PLDs), flash memory, non-ceramic capacitor, resistor and standard logic devices are forecast to rise in price with very limited exceptions. 

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

For more help with looking at supply chain options, contact Astute Electronics

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