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sheet metal fabrication include important design and As more than 8,000 people were diagnosed with COVID-19 in a single day, Malaysia decided to extend the nationwide blockade indefinitely until the number of new cases in a single day fell below 4,000. This decision affected the packaging and testing production of the integrated component manufacturing plant (IDM). Chains, including Intel, Infineon, STMicroelectronics, NXP, Texas Instruments, ON Semi and other international manufacturers, all operate at reduced load in the local packaging and testing plants in Malaysia, and the local chip logistics is delayed due to the epidemic , which may lead to the shortage of metal oxide semi-field effect transistors (MOSFETs) in the second half of the year.
Malaysia is an important packaging and testing production center in the global semiconductor supply chain. More than 50 semiconductor factories have set up factories there, including Intel, Infineon, STMicroelectronics, NXP, Texas Instruments, ON Semiconductor and other international DM manufacturers. Packaging and testing capacity accounts for about 13% of global packaging and testing capacity. Among them, the power semiconductors such as MOSFETs or diodes produced by European and American IDM factories in their own 6-inch and 8:00 fabs are mostly completed in the back-end process in their own packaging and testing factories in Malaysia.
Semiconductor factories including Infineon and ASE said that even if Malaysia banned inter-state and inter-county movement, as well as catering, social activities, and suspension of work and classes, the epidemic did not cool down, and the government therefore strengthened control, the capital Kuala Lumpur and the economic center. Klang Valley even implemented a curfew from 8 pm to 8 am. Even though the semiconductor industry is considered an essential industry and can maintain operations, the government requires employees to work remotely, and the number of production line employees can only be 60% of the usual. Therefore, since the outbreak of the epidemic, the operation has been reduced in recent months, and the same situation is maintained now.
Equipment manufacturers said that the automation of packaging and testing equipment is relatively high, and the local semiconductor packaging and testing plant in Malaysia can still maintain about 70% of the full production capacity under the condition of reduced load operation, but the smooth flow of chips will be the biggest test.
The Malaysian Semiconductor Industry Association (MSIA) recently issued a statement stating that Malaysia is a major player in the global semiconductor trade, with nearly 7% of the world’s semiconductor trade flowing through Malaysia. At the same time, once production is interrupted, it may lead to the long-term transfer of production capacity of semiconductor factories to areas outside Malaysia, so it is suggested that the government should keep the semiconductor industry in operation.
However, most of the international IDMs that set up packaging and testing plants in Malaysia produce power semiconductor packaging and testing businesses mainly based on MOSFETs locally. Therefore, under the circumstances of load reduction in local packaging and testing plants and expansion of international logistics, MOSFET The tight supply is likely to be more severe in the second half of the year, and the shortage problem may continue to drive up MOSFET prices.
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