Most electronics companies in Sichuan under the six-day power cut see limited impact on their operations
Chinese article by lauryn
English Editor 张未名
08-17 17:31

By Kate Yuan

The electronics companies in southwestern China’s Sichuan Province that have followed the government instructions to suspend or reduce their production for six days since Monday are responding that the ongoing power control has limited impact on their operations so far, JW Insights has learned.

The Sichuan provincial government introduced the six-day power control measure to ensure sufficient supply to residents in the heatwave.

In Sichuan, especially the capital city Chengdu, there are quite some IC companies operating there, including TI, Intel, ON Semiconductor, Diodes, Molex, ASM, and MPS. Huawei has its Kunpeng Ecosystem Base and an innovation center in Chengdu.

Sichuan is also one of the world's major production centers for laptops. Major Taiwan companies like Quanta, Compal, Wistron, Auras, and Simplo operate factories there. These companies said that the impact is limited.

China’s display giant BOE said that this power cut will not have an adverse impact on its operations. The company has four display production lines in Chengdu and Mianyang City.

Foxconn has suspended the whole factory, with employees on leave. It also responded that impact is not significant.

The lead frame and other packaging material makers from the Taiwan region  with local operations noted that the impact would be manageable because they were informed in advance of the power restrictions.

Monocrystalline silicon supplier Jinko Solar (晶科能源) admitted that the power control would have a short-term impact on the overall production capacity of the industry. It is actively coordinating resources to deal with the power cut.

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