31st January 2020

Subject

China’s Central Government has extended the national Chinese New Year holiday for an extra three days, meaning that it will now end on February 2nd. Meanwhile, local governments have been taking the lead in the respective provinces and cities with some announcing non-essential enterprises will be closed until February 13th.

This is aimed towards containing the outbreak of the Coronavirus, imposing quarantine zones and restricting mass migration during this time.

What does this mean for the availability of PCBs and components?

The extension of the Chinese New Year and restrictions on migration will affect the return of workers to many Chinese factories, with the potential to delay their production and shipments.

As a result, there could be a potential impact on EMS, our supply chain, and planned shipment of assemblies.

We are working closely with our suppliers to understand the evolving situation, at this time manufacturers cannot provide too much information as they are awaiting the return of workers and lifting of restrictions on migration.

The most immediate short-term impact is likely to be PCB supply, with medium to long term impact possible on the supply of components, depending upon the location of factories and how long restrictions remain in place.

If you have any questions concerning this statement, then please contact your Sales Representative who will be happy to help.

Kind Regards

Jonathan Plummer

Managing Director