Earthquake in Taiwan may affect the electronic devices market
On April 3, the largest earthquake since 1999, with a magnitude of 7.3, occurred off the east coast of Taiwan.
The earthquake occurred at a depth of 12 km. The first shock was followed by several aftershocks with a magnitude of up to six.
According to the Taiwan Emergency Management Center, at least 26 buildings on the island collapsed as a result of the tremors, people in seven of these buildings were trapped, and more than 90 thousand households on the island were left without power supply.
The earthquake off the coast of Taiwan's Hualien County has had a major impact on display and chip manufacturers. After all, the semiconductor industry is 90% dependent on the supply of advanced chips from Taiwan.
In particular, most of the equipment at the enterprises of flat panel display manufacturers AU Optronics and Innolux was suspended.
According to analytics company TrendForce, an earthquake could cause production to be shut down for at least 1-2 days. This will lead to a decrease in total production by 1.2%.
The earthquake in Taiwan forced semiconductor companies TSMC, UMC and LASER to suspend production lines in Taiwan and evacuate their staff.
To compensate for the consequences of the earthquake, they will have to work overtime during the upcoming April holidays.
Otherwise, there will be a shortage of chips this year, which will cause a jump in prices for mobile phones, PCs and other electronic devices.
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