Covid-19 slams brakes on Penang’s Silicon Valley after trade war boom
Tuesday, 10 Mar 2020 12:05 PM MYT
But then China sent workers home to slow the virus, stifling supplies of parts and material further upstream. Pentamaster called alternative sources in Japan, South Korea, Germany and Italy, only to find the action had left them in the lurch too. Home to factories owned by Intel Corp and Broadcom Inc alongside numerous other firms that supply tech majors including Apple Inc, the state accounts for about 8 per cent of global back-end semiconductor output.
“Good news: Product transfers from China are leading to more quotation requests and order overflow,” said Goh Guek Eng, managing director at semiconductor products assembler Hotayi Electronic. “Bad news: Materials are not coming in from China.” “We’re able to get supplies but the lead time is long — two to three months from Europe,” he said, compared with two to three weeks from anywhere under normal circumstances.
“We expect our performance to be in line with the overall growth, resilience or lack thereof, in the global semiconductor market,” said Vice Chairman Tan Seng Chuan.
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