Contents
Jon Barrett Managing Editor
Impact of the Japanese earthquake and tsunami
There are times when one is reminded of the fragility of life. The Japan earthquake and tsunami illustrates that no amount of planning can accommodate the full force of nature. Having worked at sea I have, and will always, respect its power.
Naturallymy immediate thoughts are with the local people who are suffering
such immediate loss. However, with Japan such an influentialmanufacturing economy, the ramifications of this event will reach around the world.
At the time of going to press, iSuppli’s Dale Ford offered the following
summary on the electronics supply chain: “The Japan earthquake and tsunami could result in significant shortages of certain electronic components, potentially causing pricing for these devices to increase dramatically.While there are few reports of actual damage at electronic production facilities, impacts on the transportation and power infrastructure will result in disruptions of supply, resulting in the short supply and rising prices. Components impacted will include NAND flashmemory, dynamic randomaccessmemory (DRAM), microcontrollers, standard logic, liquid-crystal display (LCD) panels, and LCD parts andmaterials.
“Infrastructure challenges will slow or suspend shipments fromJapan during
the next two weeks. However, the global supply chain has about two weeks of excess component inventory in the pipeline for semiconductor parts affected by the quake. Because of this, the shortages are not likely to appear until the end ofMarch or the start of April. Just the same, these shortages and their price impact are likely to linger until the third quarter.”
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