Digitimes Report: Notebook Components Supply Issues

The effect of Coronavirus outbreak are appearing on the scene of the gadgets components supply shortage. A recent report of Digitimes confirms that the notebook ODMs have resumed their production in China, but still face the possibility of a lack of components starting in March, if their suppliers continue to be prevented from going to the work due to coronavirus outbreak.

Quanta Computer has started volume production at a new assembly plant in Taiwan to meet urgent needs from clients, but components shortages remain an issue. Now Digitimes Research estimates that global notebook shipments will fall 29-36% in first-quarter 2020, much steeper than previously thought.

As the Notebook ODMs running out of components, the Taiwanese notebook ODMs have already resumed assembly operations in China, but the looming risks of supply chain disruptions in March are also mounting, as the inventories of many components will run out by end February with many of their supporting suppliers still awaiting for the approvals from local governments to re-open their plants, according to industry sources.

It’s been reported Quanta steps up the notebook production in Taiwan and Taiwan notebook ODM Quanta Computer is moving to accelerate the volume production at its new assembly lines in northern Taiwan to meet the demand of shipments to US brand vendors, amid the coronavirus outbreak.

The global notebook shipments for first quarter of 2020 expected to tumble 29-36% sequentially on epidemic, says by Digitimes Research. Hence, the Global notebook unit shipments for first quarter of 2020 are estimated to experience a larger sequential decline of 29-36% than 17% projected earlier, as the severe components and labor shortages and stagnant logistics problem from coronavirus outbreak are distracting the supply chain in China.  Previously from China more than 90% of global notebook production was operated, according to Digitimes.

WHO had declared the outbreak a global emergency on Jan. 30 days after the Chinese central government imposed a lock-down on 60 million people in Hubei province and its capital Wuhan, epicenter of  virus that emerged in December in a seafood market.

On Saturday, Tedros said that he hoped the team would include experts from the U.S. Centers for Disease Control (CDC).

“It has to be meaningful on the ground,” Lawrence Gostin, professor of global health law at Georgetown Law, said in an interview in Geneva this week.