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Capped out?

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You have a feeling that the world has run out of 100nF capacitors? If yes, you are no alone.

As a result of expanding margins in ceramics, multi-layered ceramic capacitor (MLCC) manufacturers are not supporting low margin ceramic businesses, especially those that have exposure to precious metals such as ruthenium and palladium. This has caused a global shortage on MLCCs over the past year or so.

Lead time and shortage issues in the electronic component industry is a common occurrence. Focusing solely on the MLCCs, there have been similar market cycles throughout the 1990s and 2000s. However, in contrast with previous periods of shortage, this current situation is unlikely to even itself out. Although manufacturers are attempting to address the market imbalance, many analysts do not believe that lead times will return to pre-shortage levels until 2020 and the reason for this is pretty straightforward.

  • Despite the increased production of MLCCs, the value of the overal market has not changed that much and this has squeezed profits away from the manufacturers. This price parity is being addressed in the market right now as we are withnessing 40~50% price increase as of Q2 of 2018.
  • Also, at the other end of the MLCC supply chain, many individual market sectors are experiencing rapid growth. As a result, the use of MLCCs is higher now than it ever has been. For example, the number of MLCCs in Apple’s flagship has increased 20% from the iPhone – to the iPhone X and electric-powered vehicles require four times the amount of MLCCs than traditional combustion engine vehicles.

How can we help you in this situation?

Capacitorcrossing.com helps engineers select alternative part numbers for out of stock capacitors and monitor the stock status of compatible parts to any ceramic capacitor in the market. Simply, enter the manufacturer part number of a ceramic capacitor in the search box to see available alternatives with the same rating, application and features.