Wednesday, September 18, 2019

JAPAN DISASTERS COULD HIT CONSUMER ELECTRONICS HARD

March 24, 2011 by · Leave a Comment 

Sales of consumer-electronics items, including television sets, DVD players, cameras, personal computers, and video-game players are likely to be impacted by the devastating Japanese earthquake and tsunami, Advertising Age observed today (Thursday). The trade publication observed that while the final assembly of those products takes place in other Asian countries, the components are made in Japan. With Sony, Nintendo, Panasonic, Canon, Nikon and other Japanese-based electronics companies forced to shut down plans, parts shortages are likely to increase prices of many items and produce product scarcity even into the holiday season, AdAge observed. Earlier this week research group iSuppli reported that two Japanese plants that account for 25 percent of the global supply of silicon wafers had been forced to suspend operations. Moreover, two other companies that account for 70 percent of the worldwide supply of the main raw material used to make printed circuit boards have also temporarily shut down. The impact of the closures, however, is not likely to be felt in the short term, given excess inventory of parts already in the supply chain.