|Major Impact Expected- But Will Be Short-Lived|
Paumanok Publications, Inc. has a released a PDF one page chart showing passive electronic component manufacturers and raw material suppliers that operate manufacturing facilities in the region of Japan affected by the massive Earthquake of March 2011. The slide is free from Paumanok as a public service to the industry. Readers may obtain the FULL slide by sending an email request to firstname.lastname@example.org.
Paumanok Publications, Inc. CEO Dennis M. Zogbi was quoted as saying that "the impact on the aluminum electrolytic capacitor and ceramic capacitor supply chain will impact the market over the next few months, but will be a short-lived event." Mr. Zogbi noted that even though the event impact on Fukushima, Sendai, Niigata and subsequent areas was extreme, all factories remained standing and there was no loss of life among factory personnel, which Mr. Zogbi called "amazing given the magnitude of the event and the tremendous release of energy in and around Sendai and Fukushima."
Mr Zogbi further noted that the supply chain sustained losses most directly as a result of the loss of aluminum foil production, electrolyte production; titanium dioxide ceramic and barium compound ceramic production, but many of these plants had already shipped end of quarter buffer inventories, and that there was plenty of stockpiles in distributor inventories. to last up to 90 days. Primary reports from many of the factories in the affected regions further indicated that their primary problems remained (as of March 31, 2011) in power, water supply and transport logistics, but no major impact on factory output capability of materials and components.
Mr. Zogbi further explained that the current rush to buy up passive components was indicative of the "human element"in the supply chain and more a function of "panic buying" brought about by unclear visibility on the extent of damage and much hearsay. "People are afraid they will not have parts for the Christmas build and are making grabs for multiple types of parts to create competitive buffers." The fact that many of these plants had their employees return by March 22 is significant and indicative, in my opinion, that the recovery from this major event will be much swifter than many expect, and the overall impact will be minimal."