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PCB makers production affected by Snowstorm


Wednesday, January 30, 2008

PCB makers are seeing their production in China affected by severe snowfall that is causing transportation chaos and power shortages in the eastern and central parts of the country, with some makers running at only 30-40% of their capacities.

Changshu and Kunshan, which host the production bases of many Taiwan PCB makers, are two of the eastern Chinese areas being hit hard by heavy snowfall.

APCB, which has production facilities in Kunshan, said that power rationing is undermining its production, as its own generators have been unable to support full operations. Orders for optoelectronics PCBs are strong, but the weather conditions and the electricity shortages are expected to affect 5% of its overall shipments, APCB said.

Plotech, which also runs PCB production in Kunshan, is also having problems with its shipments, according to industry sources.

Some makers have only 30-40% of their capacities running, which is forcing them to halve their shipments, the sources said.

Gold Circuit Electronics (GCE) revealed that its Changshu plant already received notification about power shortages last Friday, and has rented diesel generators to meet electricity needs. It said its production remains normal, with shipments being stable.

Chin-Poon Industrial, which also produces PCBs in Changshu, said some of its employees have been prevented from coming to work by snow-blocked traffic, and those who have been able to continue working are employees who live at the company's dormitories. It said the company already has solutions to deal with the power rationing.

But some PCB makers fear that the problems with the transportation of raw materials and finished products may worsen if the snowfall continues, the industry sources said. Even if it stops, the icy roads will continue to wreak havoc on transportation, they said.

By: DocMemory
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