Automotive MCU chips and semiconductor packaging will maintain a strong momentum

According to the latest report, international IDM will increase its quotations for automotive MCU chips in 2022. Due to IDM’s long-term capacity consumption commitment, it is expected that its packaging and testing partners will keep a strong momentum from 2022 to 2023.

Digitimes reported that Renesas Electronics, headquartered in Japan, has decided to increase the price of its automotive MCUs from January next year to reflect increased production costs. According to sources, the company currently accounts for about 20% of the global automotive MCU supply.

Moreover, the manufacturer’s new pricing decision will prompt many automakers to increase the sales prices of new cars. For example, Mercedes-Benz has increased its sales by 5%.

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The source pointed out that Renesas Electronics’ scheduled foundry capacity in 2020 will only be available in the first half of 2021, which has enabled the back-end partners such as Powertech’s Chaofeng Electronics and Jing Zhaocheng Technology to increase significantly this year. Wire bonding and chip probing business.

“Driven by TSMC’s enhanced support for automotive IDM foundry in the second half of the year, the new wave of automotive MCU back-end orders has also made other packaging and testing vendors such as ASE, KYEC, and Xinquan Technology busy completing orders.” The source said.

In addition, sources said that IC design companies have few deployments in automotive MCUs, and they may face oversubscription of consumer applications MCUs. The tight foundry capacity has caused suppliers including Nuvoton Technology and Holtek to extend the delivery time of consumer MCUs.

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