Orders, and Prices, Peaking

Peak manufacturing season is upon us, stretching component and raw material lead times and supplies. Lead times for some passives are now more than a year! We also are hearing price increases are greater than usual, and fabricators are getting notices from raw material suppliers about possible shortages or even allocation.

Moreover, transportation costs tend to get higher this time of year and a new wave of environmental inspections in China have shuttered some factories there.

Supply chain sources indicate these situations will become worse over time this fall.

Sorry to be the bearer of bad news.

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About Mike

Mike Buetow is president of the Printed Circuit Engineering Association (pcea.net). He previously was editor-in-chief of Circuits Assembly magazine, the leading publication for electronics manufacturing, and PCD&F, the leading publication for printed circuit design and fabrication. He spent 21 years as vice president and editorial director of UP Media Group, for which he oversaw all editorial and production aspects. He has more than 30 years' experience in the electronics industry, including six years at IPC, an electronics trade association, at which he was a technical projects manager and communications director. He has also held editorial positions at SMT Magazine, community newspapers and in book publishing. He is a graduate of the University of Illinois. Follow Mike on Twitter: @mikebuetow