Japan's earthquake delays shipments of mobile phones and computer components leading to higher prices

IHS iSuppli's research shows that the Japanese earthquake and tsunami caused crystal shipments in April to be delayed by four weeks from March, affecting the supply of key components used in such products as mobile phones and computers.

In April, the average delivery time of the MHz and kHz crystals was extended to 12 weeks, which is 50% longer than the 8 weeks in March. Delivery time is the time required to place an order from the electronics manufacturer to actual delivery.

Excessive lead times may lead to delays in the delivery of electronic products and supply shortages, which in turn lead to higher prices. IHS predicts that since Japan is the world’s largest crystal producer, this earthquake will cause crystal prices of major Japanese suppliers to rise in the coming weeks. Major suppliers such as Epson, NDK and Citizen are located in Japan. In fact, a large number of Japanese crystal products are produced at factories near the epicenter, and some factories are close to the coastal areas that have been hit by the tsunami.

Crystals produce electronic signals at very precise frequencies. These frequencies are then used to track time in the oscillator, manage radio frequencies, or act as a clock to control the operation of the semiconductor. Crystals play an important role in a variety of products, from watches to laptops and mobile phones, so their production is huge, with an estimated annual shipment of more than 2 billion.

General damage to production facilities One supplier whose facilities in northern Japan is damaged has produced crystals for oscillator products. Two shaker suppliers in Fukurawa and Kanagawa were damaged. The facilities of Nippon Denka Co., Ltd. (NDK) were also damaged, and the company produced crystal oscillators in Furukawa Osaki.

The good news is that the status report of a major manufacturer of quartz crystals and oscillators shows that it has resumed production in factories in Yamanashi Prefecture, Funehiki-cho, Tamura City, and Fukushima Prefecture. However, aftershocks and frequent power outages still hinder their normal operation. The manufacturer's oscillators are available in cylindrical, plastic, metal, and ceramic packages.

High-end filters are affected IHS iSuppli's research shows that the production of Japan's high-end electromagnetic interface (EMI) filters has also been affected by the disaster and the delivery of these devices has been postponed. This kind of filter is used for noise suppression and is used in high-end electronic products such as high-end smart phones and mobile phones.

A supplier in Miyagi Prefecture, Japan, confirmed that the earthquake affected a factory that produces wound filters and will affect shipments after April.