HONSHU, JAPAN – The electronics manufacturing industry will feel the aftershocks from the today’s 8.9 magnitude earthquake on Japan’s East coast for some time to come, says an industry research firm.
Objective Analysis anticipates “phenomenal price swings and large near-term shortages” as result of the quake and its follow-on aftershocks.
The semiconductor market research firm said it is conducting status checks of semiconductor wafer fabrication plants in Japan, but because of the size of the earthquake, understanding the total impact could take several days.
More than 40% of the world's NAND flash and roughly 15% of the world's DRAM are manufactured in Japan, the firm says. Japan is a significant source of chips to support consumer electronics devices. A two-week shutdown would remove from production a sizable share of each of these.
Demand will be impacted as well, since many electronics manufacturers are in Japan, and their consumption of semiconductors will be halted until earthquake damage is repaired.
SIOUX FALLS, SD -- Raven Industries said operating income at its Electronic Systems Division fell 14% to $1.7 million on a slight drop in sales.
NEVADA CITY, CA -- The 2010 electronics manufacturing assembly is in the early stages of a five-year growth period, according to a new research report.
TAIPEI -- Foxconn Electronics (Hon Hai) reported February revenues rose 25.8% year-over-year but fell 17.9% sequentially to NT$152.9 billion ($5.15 billion) on demand for consumer electronics.
PHILADELPHIA – Aegis Software is partnering with MetricStream to deliver a comprehensive solution for total quality management across a manufacturing enterprise.
The solution combines Aegis' shop-floor and process-level quality system with MetricStream's solutions for CAPA, regulatory compliance, supplier quality and enterprise-wide quality management and assurance.
The firms aim to help manufacturing companies improve quality and productivity, resolve issues proactively, and enhance operational visibility.
No financial terms were disclosed.
MINNEAPOLIS – The SMTA is seeking candidates for its board of directors.
Nominations are being accepted through April 25 for the term that begins at SMTAI, Oct. 16 - 20.
Candidates are required to be SMTA members who have demonstrated commitment to the association.
Visit http://www.smta.org/nominations/nominations.cfm for more information and to submit a nomination.
WASHINGTON, DC – Environmental groups urged the White House Council on Environmental Quality to issue a policy requiring federal agencies not be permitted to export used electronics to developing nations, say reports.
President Obama in November announced a new Interagency Task Force on Electronics Stewardship, led by the CEQ. He asked federal agencies to develop procedures for e-waste management.
The task force must conclude its work this May, when the White House will announce an e-waste policy.
COLORADO SPRINGS – Contract electronics manufacturer Jabil Circuit said it plans to hire at least 39 engineers for its design center here, for a total of 63, say reports.
The firm says this move reflects the outsourcing trend of personal computer firms, and the facility is expanding to meet growing demand for components of storage systems.
Also, Jabil’s computer and storage sector design center in Shanghai is set to increase by 100 employees to 250 by the end of the year.
The firm’s sales grew 32.2% year-over-year to $4.08 billion for the quarter ended Nov. 30, with profits more than tripling to $107.4 million.
TORONTO -- SMTC reported fourth-quarter net income rose 110% year-over-year to $4.5 million for the period ended Dec. 31.
MINNEAPOLIS -- Nortech Systems swung to a fourth-quarter net profit of $137,051, from a loss of $145,347 a year ago.
BANNOCKBURN, IL – “The American Research and Competitiveness Act of 2011” has been introduced; it is a bipartisan bill to strengthen and make permanent the R&D tax credit.
IPC and the National Association of Manufacturers support the bill: H.R. 942.
IPC says R&D is vital for US electronics companies to be globally competitive and retain US jobs. The NAM says strengthening the R&D credit from 14% to 20% and making it permanent will provide new opportunities for businesses of all sizes to expand and invest in their future, ultimately creating jobs and growing the economy.
The credit is important to manufacturers like Boston Scientific, which spends $1 billion annually on research, according to the NAM.
The frequent expiration of the R&D tax credit prevents the tax credit from effectively stimulating needed long-term R&D investments, says IPC. The R&D tax credit most recently expired for nearly twelve months in 2009 – the fourteenth time Congress has allowed it to lapse.
IPC encourages its members to contact legislators to endorse passage of permanent R&D tax credit legislation.
For more information, visit www.ipc.org/R&D-tax-credit-take-action or www.nam.org.
SHENZHEN – Contract manufacturer Jabil Circuit said it would invest $10 million in an injection molding facility here for the medical market.
The operation will begin with 18 injection presses, with plans for 50 within two years, according to published reports.
The Shenzhen plant will make drug delivery devices for the US and Europe, with the capacity to produce 12.5 million disposable devices per year. Jabil sees opportunities in the Chinese market down the line, the firm says.
The facility will be certified as a Class 8 clean room.
The company expects $300 million to $500 million in annual revenue from medical and life science devices by 2014.